Decatur awarded IHDA financing support for Garfield School repurposing

     Thanks to significant financing support from the Illinois Housing Development Authority (IHDA), the City of Decatur and its development partners are excited to move forward with plans for the repurposing and adaptive reuse of the former Garfield School.
     IHDA’s support paves the way for the first phase of a sustained community revitalization effort: repurposing the former Garfield School at 1077 W Grand Ave into high-quality, affordable, independent senior (aged 55 and older) housing for the community. This $20.7-million development involves the complete restoration and adaptive reuse of the vacant school building, creating 32 apartments, plus a new construction addition creating 31 more apartments for a total of 63 apartment units. The deteriorating, non-historic 1970s auditorium will be demolished to make way for the new construction addition.
In addition to IHDA’s backing, the development would not be possible without the Decatur Housing Authority’s (DHA) financial commitment. DHA will subsidize 18 of the units annually. In 2024, the support would equate to approximately $182,000, although DHA’s financial support will likely rise each year as housing costs increase.
     The City’s partners, a joint-venture team of Bywater Development Group, Simmons Development Group, and SOCAYR, will receive federal Low-Income Housing Tax Credits (LIHTC) and other development financing from IHDA. The lead developer, Bywater, is an experienced affordable housing developer, having completed 11 LIHTC developments across multiple states. Additional support for the project includes $400,000 in federal Home Investment Partnership funds approved by the Decatur City Council in early 2023. Another $250,000 in federal funds from the City is assisting the Decatur Park District’s modern redesign and reactivation of the adjacent Garfield Park, and work on this park is presently underway.
     Along with this historic building rehabilitation and redevelopment, future plans include adding mixed-income housing and new retail space to the area. The City recently approved a Tax Increment Financing (TIF) district that includes this property, which will also assist with continued community revitalization and development in this area of Decatur.
     Construction on the school building is estimated to begin in mid to late 2025.