WARSAW — There is likely nobody more pleased to see a new chapter unfold at the old Gatke property in Warsaw than Jeremy Skinner.

The large rusted industrial blighted tract on McKinley Street sat empty for decades and became a haven for small crime and homelessness, but that is now a distant memory as construction has begun for the Union Station Lofts.

[caption id="attachment_109985" align="alignright" width="420"] City officials sounded upbeat Thursday at the groundbreaking for the future Union Station Lofts. From left are Jeremy Skinner, director of community & economic development for the city, Warsaw Mayor Jeff Grose, City Council President Jack Wilhite, and former Mayor Joe Thallemer. News Now Warsaw photo by Dan Spalding.[/caption]

The development will feature 80 apartments and significant commercial space.

For Skinner, the city's director of economic and community development, it was a puzzle he’s tried to solve over the course of nearly two decades.

Skinner admitted it's been hanging over his head "for a long time."

"It feels good to finally get it going," Skinner said Thursday.

"We've had a lot of different ideas thrown at us over the years. Some not great ideas, some good ideas, without good financial backing and an ability to bring it to fruition," Skinner said.

"To be able to sit down with Shelby (Bowen) three or four years ago and hammer this project out and get to where we are today, it's been a long and rewarding project," Skinner said.

Bowen is the founder and partner with Rebar Development of Fishers, which has constructed large-scale residential developments across parts of Indiana and Ohio.

The Warsaw project stands out for certain reasons that made it more complicated.

"I'll tell you what was extraordinary," Bowen said. "This site was probably the most difficult in terms of overcoming environmental history that went along with what was here with Gatke over the years ... It took a long time and a lot of obstacles, but we were committed from the beginning."

Skinner and Bowen were among a large group that celebrated the start of construction of the future Union Station Lofts Thursday with a groundbreaking that included Mayor Jeff Grose, former mayor Joe Thallemer, KEDCO's Executive Director Peggy Friday and many other dignitaries.

[caption id="attachment_109991" align="aligncenter" width="500"] Architectural rendering of Union Station Lofts provided by Rebar Development.[/caption]

Several people spoke ahead of the groundbreaking about the $19 million investment that officials believe will spur development of the larger McKinley Street Ride-Walk corridor.

"The transformation of the former Gatke site into Union Station Lofts represents a major milestone for our community," said Mayor Grose.

"This development brings much-needed housing and vibrant commercial space while activating a key corridor that connects our neighborhoods and downtown. We’re proud to partner on this meaningful project that reflects Warsaw’s commitment to thoughtful growth and revitalization," he said.

"Union Station Lofts is exactly the kind of investment that strengthens our community fabric," said Friday. "By reimagining this historic industrial site, we’re creating a destination that will serve residents, small businesses, and entrepreneurs alike. It’s a powerful step forward for both our local economy and quality of place."

The development includes 80 class-A apartment homes with one- and two-bedroom floor plans and three commercial studios totaling 3,306 square feet.

The Union Station Lofts will have elevated amenities that include a rooftop terrace, work-from-home lounge, resident cafe, state-of-the-art fitness center, bike storage, pet spa, and incredible views of Winona Lake.

The commercial space is expected to include a mix of retail, office, or restaurant space.

Union Station Lofts is a public-private partnership that includes a $4 million redevelopment tax credit from the Indiana Economic Development Corporation and Northeast Indiana Regional Development Authority.

Additionally, through the Orthopedic Industry Retention Initiative (OIRI), housed by OrthoWorx, the project will receive an additional $1.4 million in funding.

Construction should be complete in about 14 months, Bowen said.

The name of the lofts has been revised several times, but settled on the current name a few months ago.

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WARSAW — The first major sign of construction, an elevator shaft, is now visible at the site of the future apartments and commercial development on the old Gatke property on McKinley Street in Warsaw.

The Reuben Williams Lofts are a $20 million development. The project will include about 75 market-rate apartments, 4,300 square feet of commercial space and what is described as 12,000 square feet of flex space for commercial/live work units.

The four-story lofts are being named in honor of a historical Civil War legend whose family continues to own the Times-Union newspaper in Warsaw.

The developer is Rebar Development, Fishers. The contractor (pictured) is CPM of Indianapolis. 

A completion date has not yet been set.

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WARSAW — Warsaw’s redevelopment commission took a precautionary step involving a new special tax that officials say with confidence it will not be enacted.

The special tax is one of several backup plans put in place by the commission as part of a financing plan for the$20 million Gatke redevelopment project 

The bond issue for the project is not to exceed $3 million for a period of not more than 25 years.

Jeremy Skinner,  Director of Community & Economic Development for Warsaw said the plan is an effort by the city to established a series of back-up plans to cover the bond and secure a lower interest rate.

 If the city ran into trouble and coud not cover the bond payment, a second backup would come from the developer who will include a guarantee.

"If that falls short, then your EDIT is your third back up. If that falls short, then they have the ability to issue a tax to cover any shortfalls," Skinner said.

But at the same time, Skinner said the city could turn to other funds rather than a special tax.

Wording about a tax, he said, is an attempt to help ensure the city gets a lower interest rate on the bond.

Asked if it's strictly intended to secure a lower interest rate, Skinner replied, "yes."

A public hearing on the lease between the city of Warsaw Building Corporation and Redevelopment Commission related to the Gatke development project drew no comments from the public Monday.

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WARSAW — Financial plans for an apartment complex on the site of the old Gatke property are coming together.

A mix of funding sources are being used as the city of Warsaw, the state and a developer, Rebar Development, are working to finance the $20 million project that will be part of a redevelopment plan that will include upward of 75 apartments off of McKinley Street.

Jeremy Skinner, director of community and economic development for the city, explained the details Tuesday night.

He said the city will put in $3.3 million, the state has offered $4 million in tax credits, plus $10 million in a loan from Rebar and more cash provided by the developer.

The city will cover the $3.3 million with money from two sources — revenues from a tax increment finance district and the city's EDIT fund for cash payments, Skinner said.

Randy Rompola, bond counsel with Barnes & Thornburg, updated council on the plan and said it creates a lease between the Redevelopment Commission and a Building Corporation. 

To hear a full recap, check out part of Rompola’s presentation that's included in the city's livestream, which begins at about 15:30 of Tuesday's meeting.

Skinner said Rebar hopes to begin demolishing some of the buildings on the site soon after financial terms are finalized.

He said he believes construction could begin in the spring.

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WARSAW — As 2023 comes to an end, News Now Warsaw is looking back at some of the biggest, most impactful stories. Here are ten issues that stood out, not necessarily in order of importance.

• LSC Communications closes, hundreds lose jobs

LSC Communications, formerly known as RR Donnelly and Sons, closed its operations in Warsaw, leaving more than 500 people without jobs. The move comes after decades of decline in the catalog printing business.

• Downtown business changes

Downtown Warsaw saw lots of changes — likely the most in recent memory in terms of new stores, renovations, relocations and expansions. It also included the opening of Atelier, an art gallery on Center Street. More changes are expected in 2024. 

• Orthopedic growth

It was a big year in local orthopedic news. A Singapore-based company, Mentore Media, opened a new facility in the Warsaw Technology Park while Paragon finished expansion plans and was then abruptly sold. Two much smaller firms with an eye on expanding announced plans to take up shop in a shared space provided by KEDCO.

• OrthoWorx money

In an unprecedented move in Kosciusko County, the state legislature announced it would provide $30 million to OrthoWorx for the purpose of coming up with projects that would boost job attraction and retention in the local orthopedic sector

• [caption id="attachment_87615" align="alignright" width="290"] The first phase of residential work on the David Mattews development on North Buffalo Street can be seen in the background, but constructtion materials sit unused in the foreground where work was halted unexpectedly in 2023. News Now Warsaw photo by Dan Spalding.[/caption]

  Buffalo Street development 

Developer David Matthews LLC reneged on long-held plans to construct a series of upscale homes and a multi-use building on the shores of Center Lake in Warsaw. As a result, he lost out on a large but uknown amount of money from the state. A new plan, in which he would finish some of the residential, remains in doubt, based on the lack of activity.

• Changes in city hall leadership

Warsaw Mayor Joe Thallemer announced plans to retire after three terms in office and longtime city councilman Jeff Grose, whose name rose to prominence decades ago as Indiana's  Mr. Basketball was unopposed in his run for mayor. Juegen Voss is the only other newly elected official.

• Winona Lake Clerk-Treasurer

After months of animosity from Winona Lake Town Council members, Clerk-Treasurer Laurie Renier resigned in October and blasted town officials over how she was treated and claimed town finances were a mess before she arrived two years earlier when she replaced the late Kent Adams. Two other employees resigned. A long-awaited audit by the Indiana Board of Accounts is expected to be released in 2024.

• Blight be gone

Mayor Joe Thallemer’s administration was able to take major steps to eliminate the two biggested blighted properties in the city — Gatke and the Arnolt building. Apartments will soon open on the old Arnolt property and demolition is close to happening on the old Gatke property where a multi-use building project has been proposed. The city also announced redevelopment plans for the old Owens grocery store and lined up a company charged with finding a new use for the old Marsh grocery store.

• Parks – city and county

It was a memorable year for parks. The city of Warsaw constructed a new parks office, renovated the old Center Lake Pavilion with the support of Zimmer Biomet and established a recreational trail along Center lake with funding from a private family. At the same time, Kosciusko County established a parks system that will initiallly focus on development of bike trails.

• Hospitals expanding

Two hospitals in Warsaw continue to evolve. Lutheran Kosciusko Hospital, formerly known as Kosciusko Community Hospital, began major renovations to its facility, including a revamped entrance and surgical centers. Meanwhile, Parkview Warsaw has changed its name to Parkview Kosciusko Hospital (PKH) and has more than doubled its square footage, adding inpatient care, surgery and specialty care, and oncology services via an extension of the Parkview Packnett Family Cancer Institute. LKH renovations are still underway. Patients can begin using new parts of PKH in early January.

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WARSAW — The future redevelopment of the old Gatke property will honor Warsaw legend Reuben Williams, who fought in the Civil War and helped establish what is today’s Times-Union newspaper.

Rebar Development had initially planned to refer to the mixed-use development as the Gatke Lofts, but that has changed.

That was announced Wednesday at a Board of Zoning Appeals meeting in which a variance was approved for the construction plan that was needed to go forward since the land is zoned heavy industry.

Shelby Bowen, speaking for Rebar, said the decision came after further discussions in the community.

"Not everybody looks fondly on the Gatke era, (concerning) how they left the site, which was in pretty rough shape, so we did some research. RW is Reuben Williams who really is fondly looked at here locally from Civil War on up to being editor of the Warsaw Times," Bowen said. "We thought that was more appropriate."

The future development will be known as R.W. Lofts.

Williams fought in the Civil War and went on to be editor of the Times, which later became the Times-Union. Click here for a full recap.

The Times-Union is one of the few — if only — remaining family-owned newspapers in the state and is the only newspaper of its size in the region that continues to print six days a week.

Bowen told the BZA Wednesday night that they’re  moving closer to demolition of the industrial site, which has sat empty for several decades.

The land is south of McKinley Street, north of the railroad tracks that run parallel to Winona Avenue and west of Argonne Road.

He said a series of tests on the property have been completed and that one more awaits.

For a full story on the meeting, click here for the Times-Union article.

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By Dan Spalding
News Now Warsaw

WARSAW — Warsaw officials expressed elation on Monday about plans to transform one of the few longtime blighted industrial properties — that Gatke property — into a multi-use development that will include 75 apartments.

The city took the first major step Monday to secure plans for an $18.3 million mixed-use housing project at the old Gatke site on McKinley Street.

The dilapidated property that includes a rusting steel shell of a large warehouse and numerous smaller brick buildings near the railroad tracks has been an eyesore for decades. 

Rebar Development has proposed renovating part of the existing warehouse into a mixed-use building that would include commercial and office space. Further to the south will be a four-story apartment building with 75 units intended for “workforce housing” — a term often used for market rate.

The announcement was made Monday afternoon at the city redevelopment meeting.

Rebar President Shelby Bowen said financial details could be sewed up by July and the construction is expected to begin by late summer.

He said he hopes the project will be complete by March 2025.

Rebar will invest more than $11 million into the project with the city and the state covering the remaining portion, officials announced. The state will provide $4 million in tax credits while the city will provide $3.3 million.

While the city has successfully pursued three apartment developments aimed at serving low-income families, rental rates will be market value. Bowen said monthly rental rates will be between $1,000 to $1,200 for a one-bedroom and upward of $1,500 for two-bedroom units.

He said the company has enjoyed great success with similar projects in Lafayette, Plainfield and Noblesville.

“There’s always the risk that we don’t think it’s as great of a project as when we first set out, but we haven’t had that issue yet. I think we have a very compelling place where people want to live. We’ve seen all our projects fill up very quickly because they’re unique, they’re high quality, they’re  in good locations and the rent is reasonable for the area.” Bowen said.

City officials sounded ecstatic on Monday.

"It's happening," said Jeremy Skinner, the city's community economic development director. "It's a very long time coming. Since I've been here since 2004, it's been, 'What are we doing with Gatke?' "

The move marks another effort to provide more housing in the city -- a top priority for Mayor Joe Thallemer in recent years.

"We’ve been entertaining what to do with this property since (councilman) Jeff (Grose) and I started on council 23 years ago,”  said Thallemer who noted that he fully supports the plan.

City Councilman Michael Klondaris, who sits on the redevelopment commission described the plan as "fantastic" and likes the financial arrangement.

“It’s important that the city has some skin in the game too. He’s putting in his money, obviously believing in the project and we have to believe in it too,” Klondaris said.

Thallemer also addressed the finances.

“The costs are such that you can’t build it and create market-rate rents that are useable. You’ve got to have investment from the city and the state and that’s what we’re asking here,” Thallemer said.

The proposal would also lend itself toward linking bike trails between Warsaw and Winona Lake. The connection will come in the form of a raised walkway across Winona Avenue where it connects with McKinley Street.

The development will be highlighted with a public plaza in front of the mixed-use building that will be partially covered and intended to serve bicyclists passing between the two communities.

Thallemer credited Kosciusko Economic Development Corp., for helping secure tax credits from the state.

KEDCo CEO Alan Tio said the overall project has involved plenty of work and more will be needed to get the project done.

But in the end, Tio said, the proposed development will be the type of transformative development that will be a highlight for the city -- the kind people talk about.

[caption id="attachment_78077" align="aligncenter" width="696"] A car passes along McKinley Street in front of the old Gatke property in Warsaw. The city announced plans to rehabilitate the blighted property on Monday. News Now Warsaw photo by Dan Spalding.[/caption]

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WARSAW -- The city of Warsaw is moving forward with a developer on an $18 million mixed-use and housing project at the old Gatke site on McKinley Street.

The announcement was made Monday afternoon at the city redevelopment meeting.

Rebar Development has proposed renovating much of the existing warehouse on the property into a mixed-use building that would include commercial and office space.

The plan also includes the construction of a four-story apartment building with 75 units that will be intended for workforce housing.

Rebar will invest more than $11 million into the project with the city and the state covering the remaining portion, officials announced.

Look for a full story online and on air at NewsNowWarsaw.com Tuesday morning.

Below are renderings of the plan.

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