WARSAW — Eighty-six new apartments in downtown Warsaw should be ready by the time Slate Auto revs up its new electric pickup production a year from now just west of Warsaw.

That little fact was aired at Tuesday’s groundbreaking for Millworks, which will offer market-rate apartments where the Owens Supermarket once stood.

The $21 million project will feature numerous amenities, including a rooftop deck, bike storage and pet-friendly facilities.    

There will be a courtyard in the middle, angled parking around the entire development, and a restaurant on the southeast corne of the lot.

The proposal faced numerous delays, and AP Development President Jon Anderson sounded eager to see construction commence.

He spoke at Tuesday's groundbreaking as a nearby construction crew began some initial work.

"I apologize for the noise, but that's why we're here. This project will go fast now ... Once we go vertical, it will go fast, and you will see it go up quickly. We plan to be open by this time next year if not sooner," Anderson said.

When complete, the apartment complex will make the downtown feel a little bigger, says Jeremy Skinner, the city's director of community and economic development.

"Our intent was to create housing opportunities, create density, and to support our downtown. This project does those three things," Skinner said.

Expanding housing options has been a top issue that took root under former mayor Joe Thallemer and into the Jeff Grose administration, as Slate and another orthopedic manufacturer, AutoCam, announced expansion plans earlier this year.

Millworks is one of two apartment projects currently under construction. The other is Union Lofts on Jefferson near Argonne Road and Winona Avenue.

[caption id="attachment_119964" align="alignright" width="220"] Peggy Friday[/caption]

Millworks will arrive at a good time as the community works to provide housing to a fast-growing workforce.

"Slate Auto will be opening at the end of 2026 for full production, so we really want those folks to live here and be engaged ... spend those dollars here in our community rather than leave the county," said Peggy Friday, the CEO of Kosciusko County Economic Development Corp.

Anderson was complimentary of the city's support, saying officials stood out mightily against other communities the company has worked with in the past.

Likewise, city officials said they found a good partner in AP Development for the project.

Funding came from several sources, including Indiana's Regional Development Authority (for $3 million) and money from the city of Warsaw.

Mayor Jeff Grose, whose family shopped at the Owen's store decades ago, thanked various people for their support in the project but said much of the credit goes to Skinner and former Mayor Joe Thallemer.

Thallemer also attended the ceremony and reflected on the lengthy efforts behind redeveloping the property.

"The moment it became available, that was the whole thought — that it would expand our urban core ... we had a great opportunity to get it done," Thallemer said.

Thallemer also tipped his hat to Rob and Nancy Gast, who owned a beloved bike shop behind the grocery store for many years.

"They owned a nice hunk of that property and they were very excited about the project and were willing to sell the old Tarkio Road bicycle shop," Thallmer added.

[caption id="attachment_119952" align="aligncenter" width="770"] An architectural rendering of the future Millworks apartments. Artwork provided.[/caption]

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WARSAW -- Two future apartment projects in Warsaw will see significant investment from the city.

Both the Gatke lofts on McKinley Street and the Millworks apartments where Owen’s grocery store once stood will rely in part on money provided by the city using two separate bond issues.

Exactly how big those bonds will be remains uncertain. The bond amount for the Millworks project will be in the neighborhood of $2 million.

The bond issue food the Gatke project is expected to be around $1.5 million, according to Jeremy Skinner, the city’s Community Economic Development Director.

The city is also providing about a million dollars in parking and sidewalks for the Millworks project, which will bring 72 market-rate apartments to near downtown.

The Gatke lofts will have about 80 apartment units - also market rate.

The cost of both apartment projects is expected to be $20 million each.

The growing demand for affordable housing has collided with increasing construction costs in recent years. Without assistance from the city, the projects very likely would not be happening, according to Warsaw Mayor Joe Thallemer.

City councilman Mike Klondris said the city contributions essentially serve as seed money and noted that the state agencies are also doing more to support workforce housing across the state with additional money – much more than they had in the past.

In both cases, the bonds will be repaid by the city using tax increment finance dollars that are derived from improvements in the immediate area.

Both apartment projects were announced this year and will both include some commercial use.

On Monday, the city council approved an agreement with the developer of the Millworks projects to move forward.

[caption id="attachment_79875" align="aligncenter" width="796"] Above is a preliminary drawing of what the Millworks apartments could look like. Photo provided.[/caption]

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