New Ulm Planning Commission approved a comp plan amendment and preliminary plat that would allow the construction of a new apartment building at 1011 N. Garden Street near the Garden Terrace Apartments.

NEW ULM — The New Ulm Planning Commission took the first steps in paving the way for a third Garden Terrace apartment building during the Thursday meeting.

Earlier this year, the New Ulm Economic Development Authority (EDA) sold the two Garden Terrace apartment buildings to Rebound Real Estate with the understanding that the owners would construct a third Garden Terrace building on a vacant lot on the same property.

The proposed project will be a 45-unit, three-story apartment building on the property, providing housing for independent seniors aged 55 and older. Rebound is working with Oak Hills Living Center on the project.

Rebound’s president, Jay Scott, said the plan is to enter into a lease agreement with Oak Hills to utilize the property. Part of the agreement would all Oak Hills to buy the property once they have sufficient fund. A similar agreement is already in place for Garden Terrace 1.

Scott said the long-term goal is to create a continual campus for Oak Hills, which is next door to the Garden Terrace apartments.

Andy Biebl, a former Certified Public Accountant who was volunteering his time at Oak Hills Living Center, spoke during the public hearing on the need for a senior housing option in New Ulm.

He said many skilled nursing facilities like Oak Hills were struggling in the state due to regulations restricting how much skilled nursing homes are able to charge. One solution to this restriction was to add additional levels of care to Oak Hills, including independent living apartments.

Biebl said that is the plan for Garden Terrace 3, to offer apartments for independent living seniors. This would be a step down from assisted living. Residents in Garden Terrace 3 would live on their own with some light assistance from Oak Hill, such as a daily meal, light house keeping and basic healthcare service.

Biebl said in New Ulm there was currently a void in the market for independent senior living. According to a recent survey, there were 14 people in New Ulm living in Assisted Living environments that could be in independent housing, but there were not enough options.

In order to begin construction on Garden Terrace 3, the city will need to approve an amendment to the comprehensive plan to change the property from medium-density residential to high-density residential.

Commissioner Bill Turnblad asked if the building would have sufficient parking to accommodate independent senior living.

City Planner John Knisley confirmed the plan met the city’s parking requirements. The parking plan included 42 enclosed parking stalls and 44 surface parking stalls.

The new Garden Terrace building would be located 190 feet from the nearest single-family home and 130 feet from the other Garden Terrace buildings.

Commission Chair Anne Earl asked if the current Garden Terrace apartments would become age-restricted.

Community Development Director David Schnobrich said currently, Garden Terrace 1 and 2 are not age restricted. The properties were originally set up as market-rate apartments, but the primary renters became senior citizens. The new Garden Terrace would be age-restricted to 55 and older after construction. The original Garden Terrace buildings could become age-restricted if Oak Hills acquires them.

Commissioner Bobbi Fuhr made the motion to recommend amending the comp plan to allow high-density land use on the Garden Terrace property. The was unanimously approved by the commissioner. Later in the meeting, the commissioner would also approve the preliminary plat for the new Garden Terrace addition.

The comp plan amendment and preliminary plat recommendations will come before the New Ulm City Council during the Tuesday, Sept 3 meeting.

[gallery ids=”965904,965905,965906″