Redevelopment authority approves $400,000 in construction loans to Habitat for Humanity for Dominican Park lots

The Waukesha City Redevelopment Authority voted to approve two $200,000 construction loans, totaling $400,000, to Habitat for Humanity of Waukesha and Jefferson Counties for Lots 1 and 13 at the Dominican Park subdivision. Staff recommended release of each disbursement only upon building-permit issuance and tied the loans to a 3% annual interest rate and repayment due at sale or transfer.

Jeff, redevelopment authority staff, explained that the disbursements would be timed so the program retains cash for other projects and that incoming repayments and scheduled closings will replenish the loan pool. He told the committee staff expects roughly $400,000 to return to the program via three closings in May (one closing and two additional scheduled closings), which would largely offset tonight’s approval.

Melissa, a representative of Habitat, told the committee the Dominican Park schedule is moving quickly: “Dominican Park will be done by December 2026,” she said, describing active construction across Oakland and that Lot 1 would be among the last to be finished. Committee members asked about turnaround between construction and sale; staff said typical turnaround is about 10 months but allowances are made for delays.

The motion to approve the $400,000 in new construction loans was made by a committee member and seconded; seeing no objection, the chair declared the motion approved.

Why this matters: the loans provide gap financing to complete Habitat’s Dominican Park phase, unlocking new affordable-home construction while maintaining program liquidity for other projects. The release conditions and 3% interest are intended to protect the authority’s ability to re-lend funds to future projects.

Next steps: staff will administer loan disbursements as permits are issued and track repayments into the loan funds.