Milwaukee, Wisconsin, September 28, 2025
News Summary
Milwaukee is seeing a multi-pronged push to expand affordable housing: a developer is nearing a deal to convert the vacant former human services building at 1220 W. Vliet St. into 66 affordable apartments with ground-floor commercial space and a county behavioral health clinic; an Indiana-based developer has broken ground on Union at Rose Park, a 75-unit mixed-income project with family townhomes, rooftop solar and resident services; and state lawmakers have advanced a package of bills offering homebuyer assistance, ADU rules, funding tools and permitting reforms to spur more housing production statewide.
Major affordable-housing moves in Milwaukee area: redevelopment, new groundbreakings and state bills
Three separate efforts</b — a private developer nearing a deal to convert a century-old county building into affordable apartments, a ceremonial groundbreaking for a 75-unit mixed-income complex on North King Drive, and a package of state-level bills aimed at boosting housing supply — highlight momentum and challenges in the region’s affordable housing landscape.
Top development: former Marcia P. Coggs Human Services Center
A developer is close to finalizing an agreement with Milwaukee County to buy and redevelop the former human services building at 1220 W. Vliet St. The plan calls for converting the early 20th-century building into 66 affordable apartments plus commercial space and a county-run Behavioral Health Services clinic on the first floor. Construction is expected to take about 18 months, with a potential opening in mid-2027 if the deal closes as planned.
The project totals roughly $32.3 million in development costs and relies on multiple financing sources, including state and local support, federal bank financing and tax credits. Key pieces include $13.9 million in low-income housing tax credits and $7.2 million in historic preservation tax credits. Developers must still secure a buyer for the low-income housing tax credits, a step complicated by reduced investor demand amid economic uncertainty. That market shift has made tax-credit equity more difficult to place than in prior years, which could affect timing or pricing for the deal.
Planned apartment sizes range from one- to three-bedroom units with square footage between roughly 740 and 1,740 square feet. Monthly rents are planned to fall between about $823 and $1,576 to align with U.S. Department of Housing and Urban Development affordability definitions. The building has a long local history: it began as a department store, became county welfare offices after a 1960s purchase, and was named for a prominent state lawmaker in 2003. County officials previously assessed the structure and recommended sale after rising maintenance costs and tenant moves prompted relocation to a new county human services site nearby.
Groundbreaking on North King Drive: Union at Rose Park
An Indiana-based developer held a ceremonial groundbreaking for a 75-unit mixed-income development at 3040 N. King Drive in the Harambee neighborhood. The Union at Rose Park will include one-, two- and three-bedroom units, with most set aside for lower-income households. Seventy of the 75 units will be allocated under an Affordable Housing Program, with several units targeted to households at roughly 30%, 50% and 60% of area median income. Five units will be market-rate.
The project footprint spans about 1.39 acres and rises four to five stories. It will feature 12 three-bedroom townhome-style units for larger families, a community room, fitness and business centers, rooftop solar panels, and onsite services such as financial-literacy and nutrition programming provided by a nonprofit partner. A small portion of units will be held for veterans for a short reservation period before opening to general qualifying renters.
Financing combines tax credits, tax-exempt bonds, private construction lending and public gap support. The development is designed to meet green building standards and represents the developer’s first community in the state. Completion was projected in winter 2026. The project is part of a wave of recent and planned projects along North King Drive that aim to add housing but have drawn mixed reactions from residents concerned about replacing local retail and community amenities.
State policy: Assembly Republicans unveil affordable-housing bill package
State lawmakers announced a multi-bill package intended to expand affordable housing supply across Wisconsin. The proposed measures include a mix of incentives, regulatory changes and new financing tools aimed at both homebuying and housing production. One bill would create a Workforce Home Loan Program offering first-time buyers a second mortgage up to $60,000 at 0% interest for down payment and closing cost assistance, with flexible repayment options and the potential to defer payments for lower-income households.
Other bills would fund grants to help convert rental multifamily buildings into condominiums, create residential tax increment districts to help pay for subdivision infrastructure, standardize local rules for accessory dwelling units to ease creation of small affordable units, and streamline early-stage meetings between developers and local governments to reduce delays. One bill proposes delaying the statewide implementation deadline for updated commercial and multifamily building codes to give stakeholders more time to comply.
Advocates for the package describe the focus as expanding affordable options in existing housing stock and new builds, while industry representatives point to long-term trends of rising prices and an aging first-time buyer demographic as reasons policy action is needed. Some community members emphasize that new apartments alone may not replace essential neighborhood services, urging a balance of housing and street-level commercial uses.
Why these three items matter
Together, the redevelopment, new construction and state legislation show multiple approaches to affordability: adaptive reuse of historic buildings, mixed-income infill development, and statewide policy tools for both buyers and builders. Key obstacles remain: securing tax-credit equity in a weaker market, aligning public subsidies with construction costs, and balancing housing growth with community needs for stores, services and public space.
Frequently asked questions
What will the former Coggs Human Services Center become?
The plan is to convert the building into 66 affordable apartments, include street-level commercial space and house a county-run behavioral health clinic on the first floor. The project would also use historic tax credits because of the building’s age and character.
When could residents move into the Coggs project?
If the sale closes as expected and construction lasts about 18 months, occupancy could begin around mid-2027.
How is the Coggs redevelopment being financed?
Financing combines state and local support, loans from a federal home loan bank, public gap funding and tax-credit equity. The project depends on low-income housing tax credits and historic preservation tax credits, and still requires a buyer for the housing tax credits.
What kinds of units and rent levels are planned at Coggs?
Planned units include one- to three-bedroom apartments ranging roughly 740 to 1,740 square feet, with rents targeted between about $823 and $1,576 per month to meet federal affordability guidelines.
What is Union at Rose Park and who will it serve?
Union at Rose Park is a 75-unit mixed-income apartment project on North King Drive. Most units are reserved for lower-income households at various income tiers, with a small number of market-rate units and several units held for veterans.
What do the proposed state bills aim to do?
The bills include programs to help first-time buyers with below-market second mortgages, grants to support conversions to condominiums, tools for subdivision infrastructure finance, a statewide framework for accessory dwelling units, and process changes to align local rules with development needs.
Are there community concerns about these projects?
Yes. Some residents want new development to include more ground-floor retail, pharmacies, and youth-focused amenities rather than primarily more apartments. City policies offering resident preference aim to limit displacement in some projects.
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Project and policy at-a-glance
| Item | Location | Units / Scale | Key financing or policy tools | Estimated timing |
|---|---|---|---|---|
| Coggs redevelopment | 1220 W. Vliet St. | 66 apartments | Low-income housing tax credits, historic tax credits, WHEDA, federal home loan bank, city and county funds | 18 months construction; possible mid-2027 opening |
| Union at Rose Park | 3040 N. King Drive | 75 units (70 affordable, 5 market-rate) | 4% tax credits, tax-exempt bonds, construction loan, state and local gap funding | Expected complete winter 2026 |
| State bill package | Statewide | Various: homebuyer loans, conversion grants, ADU rules, subdivision tools | WHEDA-administered programs, redirected revolving loan funds, TID reforms, code-timing changes | Hearings prioritized soon; timelines vary by bill |
Deeper Dive: News & Info About This Topic
Additional Resources
- Milwaukee Journal Sentinel: Milwaukee affordable housing development would add life to North King Drive lot
- Wikipedia: Marcia P. Coggs Human Services Center
- Urban Milwaukee: Assembly Republicans announce bills to support affordable housing
- Google Search: Assembly Republicans affordable housing Wisconsin 2025
- REBusiness Online: Annex Group breaks ground on $25.8M affordable housing community in Milwaukee
- Google Scholar: Union at Rose Park Milwaukee affordable housing
- Spectrum News1: Milwaukee affordable housing investment — King Park
- Encyclopedia Britannica: Affordable housing
- WISN-TV: Milwaukee apartments open as city seeks to address affordable housing shortage
- Google News: Milwaukee affordable housing Coggs Union at Rose Park 2025
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