During a discussion of an amendment to the Main Street Grant application that would ultimately increase the number of apartments being constructed in the upper floors of downtown Garnett Street buildings, Henderson City Council member Garry Daeke questioned the amount of housing being constructed.
The discussion took place during Monday evening’s meeting of the council.
“At some point we have to discern what is the market need of apartments downtown,” Daeke.
Daeke expressed the opinion that only a few people would be ready to move into the apartments in the next year or two.
An increase in the grant that currently provides the majority of funding for the construction would increase the number of apartments from 29 to 36.
The project originally entailed 25 apartments ranging from one to three bedrooms.
Daeke said that he was concerned that instead of renting the apartments to young professionals, owners will rent to “unemployed and not much income tenants” in order to realize a return on their investments.
Member Mary Emma Evans asked Daeke if his was trying to “keep poor folk from downtown”.
Daeke responded that the grant is designed to bring in people who will bring “viability” to the downtown area, namely low-to-moderate income people. He said that part of the value that group of people bring to the downtown area is income.
The Ward 3 council member said that he did not know if a downtown business district with people who do not contribute to the economy is desirable.
Daeke noted that Henderson is already composed of two-thirds rental housing.
Evans responded that she did not understand “folks not wanting to provide housing for low income”.
As the council discussed the matter further, City Manager Ray Griffin said that it would probably be well into 2011 before any agreements were executed, assuming that the grant was approved.
The council passed the amendment, with Daeke casting the sole dissenting vote.