Village Firehouse Plot Plan Finally Moves Ahead

After a year of discussion, a plan to redevelop a city-owned lot in the Village, along with a key private property next to it and on a highly visible corner, is going forward.

The Community Development Authority voted unanimously Thursday to declare its preferred developer, Phelan/WIRED, the "chosen" one and to recommend the sale of the city lot to them.

The city-owned lot would be sold for $150,000 and the development allowed there would have to stay within existing zoning code, or no more than 40 feet in height.

The city parcel was left over from the reconstruction of Fire Station No. 1 on Underwood Avenue, creating a home-sized hole in the block just off Harmonee Avenue.

Selling that lot alone would never have amounted to much – maybe a few tight apartment units – and city and neighborhood planners had long looked at joining the firehouse plot with the neighboring property, now home to Cody and Co., a hair-styling salon owned by Linda Craite.

Sean Phelan of the Phelan/WIRED consortium secured Craite's promise to sell to him and proposed a four-story mixed-used development on both plots, calling for retail on the street level and 36 apartments above, reaching four stories and requiring a zoning variance.

Neighbors behind on Church Street objected to the height, and Phelan was asked to reduce the altitude to three stories.

That did not seem economically feasible to Phelan, but he did come back with a three-story plan that could work only if he received $1.8 million in city tax-financing assistance.

The Wauwatosa Common Council indicated little appetite to provide that much funding, and Phelan suspended the project. The private property owner, Craite, was under contract with Phelan and said she wouldn't back out of her agreement with him but would rather stay put.

That was months ago, and Thursday's action showed that in the interim, the city has come around to the realization that its desired redevelopment of both parcels will never happen unless it offers some assistance.

Jim Plaisted, the director of the Village Business Improvement District, reminded members of the authority that, "This proposal meets every criteria of the RFP (request for proposals) and the Village Plan.

"We have an exemplary developer in Phelan/WIRED. This is our last chance."

Ald. Joel Tilleson, a member of the commission, echoed Plaistad, saying, "If we walk away from this, we will never have another opportunity."

Ald. Pete Donegan, a believer that tax-funding in the amount being suggested is beyond the city's scope, vowed "the fight of your life" to get so much public assistance, but he also urged the CDA to approve the matter and hand it over to the Common Council.

"You didn't get a green light for a TIF," Donegan said. "If you come for a TIF you'll have the fight of your life. No matter what you do, it's going to be redone by the Council.

"Your work is done. Move this on. If you want to keep chewing on this, go ahead, but I think it's bad public policy, and we're abusing it."

The development authority did just that in its unanimous vote, with members including Tilleson vowing to follow it through every step of the Common Council process – committee by committee – to see that it succeeds.