SPEARFISH, S.D. (AP) — Construction is underway at Sky Ridge, an affordable home development on the northern edge of the Black Hills. The Spearfish project will have 150 houses, walking trails, and softball and soccer fields.
The development reflects some current trends in South Dakota housing projects. It’s the result of a public-private partnership, and it blends housing with recreation, retail and other amenities.
Workers recently drove heavy machinery and carried supplies across the site, which was lightly dusted in snow. Nearby, Spearfish city officials, developers and other workers gathered to celebrate the groundbreaking of the first home.
“We have had a lot of growth in the last several years,” said City Planner Jayna Watson. “It’s a very desirable place to live, meaning that just causes real estate prices to continue to increase. But the wages locally don’t keep pace with the increase in housing, so we wanted to create a neighborhood that is geared specifically to affordable housing.”
Sky Ridge is on the east end of Spearfish, away from the downtown and other residential areas. Spearfish is home to Black Hills State University and is known for its outdoor recreation. The city has mountain biking trails, a public campground, a creek, and serves as the gateway to Spearfish Canyon and other Northern Hills sites, South Dakota Public Broadcasting reported.
The average cost for single-family homes is $280,000 in South Dakota and $338,000 in Spearfish, according to Zillow.
Sky Ridge will have 60 homes that cost up to $197,000, 60 homes that cost up to $247,000, and 30 homes that cost up to $300,000. Buyers will go through a pre-approval process to make sure they are in need of affordable housing and can stay on top of their bills.
A 2016 study found that Spearfish needed more affordable housing, and that the city would have to take an active role.
The city decided to use a tax increment financing district to pay for the roads, infrastructure and utilities in the Sky Ridge housing and sports development. That cuts down on costs for buyers.
The city is paying for the sports complex through fundraising and an $8 million bond. It hired Dream Design International, a Rapid City-based company, to build the homes.
Company president Hani Shafai said Dream Design should break even or make a small profit on the project, …….
Source: https://www.registercitizen.com/news/article/Public-private-partners-build-affordable-16704294.php
