State Awards Tax Credits for Renovation of Historic Kohr Building into New Affordable Housing Development
The Bloomington Housing Authority (BHA) and Brinshore Development, L.L.C. (Brinshore) are pleased to announce that the State of Indiana Housing Community Development Authority has awarded 9% Low Income Housing Tax Credits for the renovation and construction for the Kohr Administrative Building for a new affordable housing community. The tax credit will provide more than $10 million in additional financing for the estimated $18.6 million project. Located in the City of Bloomington’s new Hopewell neighborhood, where the City and the Bloomington Redevelopment Commission have been redeveloping the former site of the IU Health Bloomington Hospital, Kohr Community Flats will be a cornerstone project for the newly envisioned neighborhood within the City.
The adaptive reuse and rehabilitation of this historic former hospital, erected in 1947, will create nine Permanent Supportive Housing apartments in partnership with Centerstone. An additional 29 apartments will be provided for individuals on the BHA waitlist who earn below 50% of the area median income (AMI). Brinshore has extensive experience with historic adaptive reuse, and building and operating affordable housing targeting homeless or low-income families. Kohr Community Flats will be BHA’s first development to create supportive housing and is another significant step forward in the city’s continuing efforts to address homelessness.
“Bloomington Housing Authority’s conversion of the Kohr building will create homes for homeless and other hard-to-house individuals, not a shelter,” said Kate Gazunis, Bloomington Housing Authority’s Executive Director, underscoring that this will allow for much needed housing exits from the City of Bloomington’s complex shelter system. In addition to Centerstone’s services staff, residents of Kohr Community Flats will have access to services offered by BHA’s resident services program to ensure the health and stability necessary for these formerly homeless or at-risk individuals to successfully live independently.
“Kohr Community Flats represents what is possible when city leaders and our communities think creatively about affordable and supportive housing solutions,” said Mayor John Hamilton. “Through this supportive housing community, with Centerstone just across the street, Bloomington is adding another important component of our shared efforts to address homelessness in our community by creating permanent housing opportunities.”
The vision for Kohr Community Flats is to transform and modernize the outdated, three-story building, preserving its Bloomington limestone Art Deco façade and adding a four-story addition in order to maximize housing capacity. The project will provide 38 one- and two-bedroom apartments, each with a modern kitchen, a full bathroom, and laundry. Renovation plans include a new community space for property management offices, onsite services, case management, and an activities center. Additional property amenities include bike storage, a bed bug decontamination room, community room, fitness center, social services office, and community outdoor space.
"We are very excited about the news on funding for the Kohr Building's redevelopment. Its preservation and evolution into 38 affordable housing units has been a priority for the City since the inception of the Hopewell neighborhood–a once in a generation opportunity for Bloomington. The City of Bloomington looks forward to continuing work with Brinshore, Centerstone, the Bloomington Housing Authority, Summit Hill Community Development Corporation and our neighborhoods to move the project ahead–and we will celebrate the day when the first resident is there," said John Zody, Director, Housing and Neighborhood Development Department (HAND), City of Bloomington.
“As a cornerstone project for the City’s Hopewell redevelopment, this project is a symbol of the City’s commitment to creating affordable housing and preserving historic landmarks in the community,” said Karly Brinla, Vice President Development Manager at Brinshore Development. “It is impossible to create housing for hard-to-house populations without strong community partners like the Bloomington Housing Authority, the City of Bloomington, and Centerstone.”
Additional financing for the $18.6 million development includes $1.03 million in funds from the City of Bloomington, $1.8 million in permanent financing from a lender, $10.6 million in tax equity credit, $1.6 million in land contribution in the form of a Seller Note, a $500 thousand IHCDA Development Fund Loan, $1.5 million from the IHCDA National Housing Trust Fund, and $1.4 million in Historic Tax Credit Equity. The BHA will lend $377,000 to the project. Kohr Community Flats is slated for completion in early 2026.
For more information about the project, please contact Karly Brinla, Vice President Development Manager, Brinshore Development, LLC, at email@example.com or 847-363-5202.
Share your news with us!
Submit your news to the Chamber by the 12th or 28th of each month to be included in the bi-weekly Membership Matters emails.