Shorewood’s thriving Kensington Square district will soon welcome four more businesses with the Ravenna development nearing completion.
Milwaukee developer WiRED Properties President Blair Williams said he expects the new four-story, apartment and retail development to open in early November.
The businesses, which include Yo Mama, a frozen yogurt shop; Indulgence Chocolatiers, a Waukesha-based artisan chocolate wholesaler opening its first store; Elements East, which specializes in art, furniture and other accessories from Asia; and Performance Running, which will move from its temporary space in Shorewood at 4401 N. Oakland Ave. could start moving in as early as mid-October.
Elements East will make the move from its Whitefish Bay location at 109 E. Silver Spring Dr., where it has been for more than a decade.
WiRED broke ground in fall 2011 on the $7 million project at 4533 N. Oakland Ave., across the street from its other project, the Cornerstone.
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The project includes 20 apartments; 8,100 square feet of retail space; and underground parking. The apartments will range in size from 1,065 square feet to 2,300 square feet with a mix of one-, two-, and three-bedroom units. Ravenna's monthly rents will start at $1,500.
The project was originally approved as condominium building in 2007, but a tough condo market forced Williams to ask Shorewood to amend an earlier agreement and allow a switch to apartments.
In the original agreement, it was outlined that WiRED would share any profits greater than 13.5 percent of its investment with the village. The amendment stipulates that the village will receive a portion of profits only under two conditions: if WiRED sells the property within five years, or if the developer converts the apartments into condos within 10 years. Under either of these conditions, if profits exceed 15 percent, the village will get 50 percent.
WiRED funded the development through a loan and equity. The village said it would sell the lot to WiRED for $230,000, which is market value.
In addition, Shorewood has spent $1.2 million purchasing the lot, razing structures and helping relocate a business owner to other location in the village back in 2005. The village will recoup the costs through property taxes from the developments in its already existing special taxing district on North Oakland Avenue.
This is the second major project under way in the village.
Milwaukee Developer the Mandel Group recently broke ground on its $34.8 million, six-story apartment and retail development in the Sendik’s parking lot at 4027 N. Oakland Ave. Walgreens will move across East Kenmore Place into the new development.