MADISON, Wis. (WMTV) -- A committee approved a developer to build a grocery store and housing project on Madison’s South Side Monday.
The Madison Finance Committee recommended Rule Enterprise’s proposal for a 30,000 square foot grocery store at the site of the former Truman Olson United States Army Reserve Center at 1402 Park Street.
Rule’s proposal includes two phases. The first phase includes a six-story building with a grocery store, 150 mixed-income apartments, and 345-space parking garage. The hope to have the $41.3 million project to be completed by early 2022. Rule plans to buy the property for $1.5 million.
City staff reported Kroger, the parent company of Pick ‘N Save, wishes to close the Park Street Pick ‘N Save. There is a lease agreement that the store could close as late as 2022, but it could close earlier if the current property owner or Kroger determines it is in their best interest to exit the lease.
Rule did not name a grocer for the $41.3 million project. City staff recommended the company to reach several obligations, including a grocer to be secured Jan. 16 or it will go with Gorman and Company for the project.
Gorman’s project proposal includes a 24,000-square feet grocery store operated by Maurer’s Markets. It would also include 93 apartments, with a majority of units being low-income. The project costs $22.8 million. Gorman plans to buy the property for a dollar, with the City needing to consider nearly $1.1 million in TIF assistance.
Judge Doyle Square Project
An apartment building a part of the Judge Doyle Square Project for Block 88 was also approved by the Finance Committee.
It was part of an agreement that would allow Stone House Development to build a nine-story building above a city-owned parking garage on the same block as the Municipal Building.
The agreement would also have Stone House buy commercial space on the first floor. The building would have 161 apartment units, 40 of which would be lower-cost units for those who make less than 60- or 80-percent of Dane County’s median income.
Stone House agreed to purchase the commercial space, above-ground parking called the Podium for $5 million with an additional $1 million paid at the 15-year anniversary of the date the project is placed for service.
If approved by the City, construction would begin June 2020 with a move-in targeted for July 2021.
Both the Park St. project, and Judge Doyle Square project are set to be voted on the full Common Council on Dec. 3.