$61.5M Riverfront West project moves forward with READI 2.0 funds
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One of 13 projects awarded part of the $42.5 million in READI 2.0 funds by the Northern Indiana Regional Development Authority, South Bend’s Riverfront West development, is set to convert a defunct office park into about 400 rental units on the St. Joseph River.
Acquired by the South Bend Redevelopment Commission last year, officials say the former River Glen Office Park will play a pivotal role in the city’s redevelopment efforts to revive the southern part of downtown and reconnect it to the rest of the city center, addressing past urban renewal efforts.
“This is an area of downtown South Bend that over time, has gotten disjointed and disconnected from the overall downtown street grid,” South Bend Executive Director of Community Investment Caleb Bauer said. “We’re also hoping to set up further redevelopment to the south. The city purchased three buildings in River Glen office park last year, and we are seeking developers for that parcel.”
The Riverfront West development comprises several buildings and surface parking west of the St. Joseph River, across from Howard Park. The northernmost building still serves as Crowe LLP’s headquarters, while the southernmost property would be demolished. The development also includes three more buildings in the River Glen office park.
“We issued an RFP for the River Glen site. We didn’t have any responses to that RFP, but we’ve had outreach from developers since then, and we have some active conversations,” Bauer said. “We’re looking for higher-density housing development along the river, but I don’t have a date as far as when we would see an agreement coming.”
Already, the city has secured a development agreement from Carmel-based J.C. Hart Co. to build two multi-family residential buildings with a total of 291 market-rate units and a 398-space parking garage where the southernmost building currently sits.
“We’ve made a lot of progress as far as adding affordable housing and income qualified units into the downtown and broader inventory in South Bend and that remains a commitment from this administration,” Bauer said. “This project specifically doesn’t have that, all the units are market rate. But we’re continuing to add units throughout South Bend at multiple income levels.”
Bauer talks about the scope of the Riverwalk residential development by J.C. Hart Company.
Following the award of $5.64 million from the Regional Economic Acceleration and Development Initiative in December, last month the Redevelopment Commission approved building plans that would see J.C. Hart invest at least $61.5 million in the project. In addition to the READI funds, the city would also issue $14.8 million in bonds towards construction costs, backed by property taxes from the residential development.
Drawn in by the planned Amazon Web Services data center and the GM-Samsung SDI electric vehicle battery plant in New Carlisle, in addition to the general momentum the region is experiencing, a J.C. Hart spokesperson said the 900-square-foot units would likely rent for about $2,000 per month. Planning is already ongoing and the buildings are expected to be move-in ready by the end of 2028.
Demolition of the existing building is set to commence in the third quarter of this year.
“We have a lot of employer growth in our broader region, which is really exciting,” Bauer said. “We’d love if they are relocating employees to live in the city of South Bend, and we want the city of South Bend to serve as that prospective employee base.”
The project would also make quality of life improvements by enhancing public access to the riverfront and building a connection through the existing pedestrian bridge to Howard Park. Upgrades will also be made to an existing trail to make it more accessible.
“Right now, the west side of the river doesn’t necessarily always feel like a public space, because the access is through a parking lot,” Bauer added. “So really developing those public thoroughfares so people understand that this is a public space that they can experience as well.”
Altogether, the awarded READI 2.0 projects will infuse a collective $613 million of private investments in the local economy, strengthening its competitiveness as a place to live and work, the RDA said.
“READI 2.0 is an incredible opportunity for the region to build on the successes of READI 1.0 and Regional Cities funding,” RDA Chair John DeSalle said in a release. “We had more than 50 projects apply, totaling more than $250 million requested. With this batch of projects selected for funding, I expect we will see many of our region’s greatest needs addressed.”
Bauer said the entire Riverfront West development is expected to be largely residential, with limited opportunities for office space, a riverfront restaurant or even a neighborhood grocery store.
“Previously, the river was a center for industry, now we view it as an amenity and a quality of life asset, something to really accentuate and activate,” Bauer said. “By allowing for these types of developments on the river, we see the potential property tax values actualized as well.”
Bauer said the city plans to use the READI 2.0 funds for the projects’ infrastructure needs, including redirecting utilities to the new apartment and building a new street.
“The READI funds are critical to the ability for this project and projects to the south to move forward,” he said. “We’re thrilled with the state’s investment. The READI program has really made a number of transformative investments possible and that was the intent.”