3 days ago
West End TIF board won't buy Nia Center for Goodwill affordable housing development
This story has been updated with information from a June 12 meeting and to attribute a quote to William Summers V.
The West End Opportunity Partnership will not purchase the Nia Center and lease it to Goodwill to build affordable housing, after a tied vote during a special board meeting June 12.
A motion by the WEOP board to purchase the $2.1 million property owned by the Transit Authority of River City failed after members could not come to an agreement on the proposal.
TARC, which has leased the Parkland neighborhood space to various businesses and organizations since 1997, notified tenants in May that it would be selling the building, leading several community members and business owners to protest outside its headquarters.
Goodwill previously confirmed plans to build 76 affordable housing units on the property. During a June 10 meeting of the WEOP finance committee, a presentation stated the nonprofit would partner with Woda Cooper Companies on the project, with Goodwill committing $500,000 to demolition and site preparation, before Woda Cooper Companies began construction on a $21.5 million four-story housing complex.
According to WEOP staff, Goodwill had hoped to solidify the purchase before June 15, when low-income housing tax credits obtained by Woda Cooper Companies expire.
The WEOP is a nonprofit partnership created in 2021 that's tasked with deciding how to spend revenue from a tax increment financing (TIF) district that covers Louisville's West End.
Sharon Allen, a representative of the Parkland neighborhood on the WEOP board, called the development a "blessing" during the June 12 meeting.
"I just feel like this is a great opportunity for the Parkland area," Allen said. "At least we are building something that's going to help the neighborhood, not saying that the Nia Center didn't or hasn't, but if we don't invest in it, then somebody else will, and what's to say what they'll build in it."
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Some board members had concerns about the speed of the process, the displacement of Black-owned businesses and the outcry from community members. Of the four board members present at the finance committee meeting, both Douglas Craddock and Mike Neagle voted not to go through with the purchase, citing concerns about Nia Center tenants and the value the project would bring to the WEOP, which would have leased the property to Goodwill for $1 annually.
'We're not making money on it,' Neagle said. 'We've had a lot of discussions over the last couple months about sustainability. So now we're looking at taking 8% of our remaining money, tying it up in a property for 99 years.'
Other WEOP board members and staff, however, felt the purchase of the property was not only a valuable investment but also part of the partnership's obligation to address housing needs in the community.
'We're buying land that around it there has been over $100 million worth of investment,' said William Summers V, who represents Republic Bank on the board. 'So as you look at what's going on, that makes that property more valuable as well. I think that this is truly, truly an investment, and we're able to do other things that we are called to do within our mission as well.'
The project's goal is to provide long-term, stable housing to graduates of Goodwill programs and others in the community, according to a presentation at the committee meeting.
'Residents are not required to be program graduates, but a preference is given to individuals who have graduated a program or completed recovery, transitional housing or workforce development programs through Goodwill,' the presentation stated.
Tenants of the Nia Center say they're not opposed to more affordable housing in Louisville, but they question why the center must be sacrificed to build it. The Nia Center has served as a small business incubator in the West End for years and is seen by many as a staple within the community. Tenants and Parkland residents have expressed frustration with both TARC and Goodwill over the development proposal and potential loss of the space.
The partnership board said Goodwill has been in talks with Louisville Metro Government, which manages the center, about providing an alternative space for tenants, at a nearly $200-a-month rent increase, but did not say where a new center would be located.
Tenants of the Nia Center who attended the committee meeting said they have received no communication from Goodwill or the city about a new space or building. Tenants will be able to stay in the Nia Center until December rent-free.
Reach reporter Keely Doll at kdoll@
This article originally appeared on Louisville Courier Journal: West End TIF board won't buy Nia Center to lease to Goodwill
