A rarity in Johnsburg – apartments: New rental buildings will be ‘workforce housing’ with income limits

As of this week, there are 48 families who have applied to live in one of the 49 apartments at Tuckaway Townhomes in Johnsburg – but that should not discourage people from applying for a unit there, according to the developer.

“There are still units available, so they should contact the leasing office for the application,” said Sig Strautmanis of Wisconsin-based developer General Capital.

Now under construction at Route 31 and Johnsburg Road, the apartments were approved by the Johnsburg Village Board in 2022. The seven-building workforce housing complex has 25 three-bedroom, 11 two-bedroom and 13 one-bedroom units.

Households living there there can earn between 80% to 30% of the median income for the Chicago-Naperville-Joliet statistical area. A family of three could earn up to $80,720 a year and qualify for one of the units. Rent is limited to 30% of household income.

Of the units available, 16 are set aside for those making 80% of the median income, 17 for 60%, and 16 for 30%.

That lowest income threshold are set aside for people with disabilities, Strautmanis said.

The $24.8 million project was funded “by an interesting combination of sources” including tax credits, an Illinois Housing Development Authority loan, grants, and a traditional mortgage, Strautmanis said.

Solar credits allowed the developer to install panels to power the complex’s common areas. Each unit was built so that if more solar grant funding becomes available, each building could be fitting with panels at a later date, he said.

Providing affordable housing for working families is important to our community.”

—  Ed Hettermann, Johnsburg Village president

Internal Revenue Service code allows private financiers to purchase tax credits. For the duration of the tax credit, the investors get a break on their tax bills. The funds go toward affordable housing developments.

Tax credit financing is also competitive, so developers are held to a higher standard, Strautmanis said.

“We have super high-efficiency heat pumps, efficient AC [and] water saving devices. All of these things increase the quality and the efficiency of the projects” while also decreasing utility cost, Strautmanis said.

It also means construction is often more expensive than standard apartments.

“But there is an increase in the quality and efficiency and the long-term viability of the product,” Strautmanis said.

Tuckaway Townhomes is the second General Capital-led project in Johnsburg in recent years. The company also renovated the former Bush Elementary School, creating 68 units for those aged 55 and older in what they call Berkshire-Johnsburg. That building opened in 2021.

Prior to the Bush school project, there was just one rental apartment building in Johnsburg, Village Manager Claudett Sofiakis told the Northwest Herald in late 2022. More rentals and more rooftops encourage more private retail development in the village, she said.

It also is providing more options for residents, Village President Ed Hettermann said.

“Providing affordable housing for working families is important to our community. As the demographics of communities change, we need to adapt,” Hettermann said.

Tuckaway Townhomes joins the Taylor Place Apartments currently under construction in McHenry, another workforce housing project funded via tax credits and grants. The need for more workforce housing has also been discussed by the McHenry County Board.

Construction at Tuckaway should wrap up by late November and be ready for move-in in December, Strautmanis said. Because the company also has the Berkshire property on West Church Street, the two buildings are sharing management.

He touted the building’s playground and community center with a lounge, business center and fitness center as highlights of the development, along with the stability that comes with living there. Residents there “tend to be very stable and when turnover happens it is because (residents) found a different job and are moving up and out,” he said.

Information on applying for the apartments can be found at tuckawayjohnsburg.com, or by calling the leasing office at 815-354-3291.