South Bend Development News

City Council Reviews Beacon Heights Renovation Project with $1.25M Forgivable Loan

The City Council is reviewing a proposal for the Beacon Heights renovation project, which includes a $1.25 million forgivable loan from the city to support the rehabilitation of an existing affordable housing complex. The project, partnered with LM Development Partners, aims to preserve and improve 174 housing units and community spaces, with a total estimated cost of $47 million. The city's loan is contingent upon the successful closure of land acquisition and financing by the developer, and will be forgiven upon documented completion of the private commitments. The project has already received initial approval from the Redevelopment Commission for the TIF funds and is proceeding through various city approvals, including a public hearing and final common council approval. The renovation is expected to be completed by late 2027, with strict affordability requirements for 30 years tied to HUD and LITECH programs.