Nacogdoches grants incentive for apartments

A site plan show a proposed apartment complex at Pearl and West Austin streets.
Via City of Nacogdoches

The Daily Sentinel
By NICOLE BRADFORD Staff Writer
October 17, 2023

Nacogdoches City Councilwoman Kathleen Belanger cast the lone vote against a five-year tax rebate for a proposed apartment complex at Pearl and West Austin streets.

City council on Oct. 10 approved the agreement, 4-1.

“We have extremely low home ownership rates,” Belanger told fellow council members. “We do not need to be incentivizing apartments. Every time we incentivize apartments over home ownership, we are increasing that discrepancy.”

City Council last year rezoned 15 acres at West Austin and Pearl streets for Zara Apartments, then proposed as a three-story complex with club house and pool. Nacogdoches Economic Development Corp. Director Larissa Philpot-Brown said the developer is now considering an 80-unit townhome complex with an estimated construction cost of $16 million.

“We know that area is so prone to flooding,” Belanger added, “I just think we need to reserve our incentivizing for home ownership.”

Others on the council said the city’s available apartments are aging and many families can’t afford home ownership in 2023.

“We have a housing need,” Councilman Chad Huckaby said. “I know there are apartments in town that are probably vacant — there might be a reason why they are vacant though.”

Over the five-year period, the city is expected to receive an estimated $480,000 in gross tax and permit fee revenue.

“Having this built and added to our tax rolls has to be something the council considers, very cautiously,” Huckaby said. “Getting that return on investment on completely new valuation — I just think this is something we need to move on.”

Mayor Randy Johnson said he is also a strong advocate for home ownership and building subdivisions of single family homes.

“But we have a problem — it’s too expensive,” he said. “And we’re looking at some things maybe in the future to help that situation.”

He mentioned two subdivisions recently incentivized by the city.

“The reason we haven’t had any (new subdivisions) and they’re all going to Central Heights or Woden is because it’s so expensive with the infrastructure to put these subdivisions in,” he said. “I’m 67 years old and I’ve never known anything to be on this property except vacant land. The person having the risk in this is the guy spending $16 million.”

Nicole Bradford’s email is nicole.bradford@dailysentinel.com.