Habitat for Humanity to build affordable homes in Sturgis

Published: Jan. 25, 2023 at 7:54 PM CST
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RAPID CITY, S.D. (KOTA) - Last Tuesday, the Sturgis City Council approved the latest tax increment to finance a District 26 plan. It will provide the infrastructure Habitat for Humanity will use to build two houses. With the need for affordable housing in the Black Hills, the non-profit organization is also planning for 2023 to get more families into homes.

The affordable housing TIF approved by the City of Sturgis for the Black Hills Habitat for Humanity, is only the start of a year-long series of upcoming projects for the non-profit organization.

“We’re just starting conversations for a possible larger build site in Belle Fouche. We know there’s a significant workforce housing challenge for employees that support Spearfish, Lead-Deadwood, and now Belle with some of the new manufacturing coming in,” said Black Hills Area Habitat for Humanity executive director Scott Engmann.

According to the City of Sturgis, approving TIFs like this one is crucial in making sure that people can find housing that fits their budgets.

“That is important for a lot of workforces in our community. It’s important to make sure that there’s housing available so that people can live in the same place that they work. So they don’t have to spend as much money and time commuting,” said the City of Sturgis city manager Daniel Ainslie.

The TIF will use the increased property tax dollars to help pay the debt of the two homes.

“That can allow the property taxes that those new homeowners will be paying over the next several years to capture that money and use that to build the infrastructure that’s necessary so that those homes can be constructed,” said Ainslie

For Black Hills Habitat for Humanity, this means more than building affordable housing in the Black Hills. It’s working with the cities and towns to make sure people living there are happy.

“But it’s that kind of partnering you need with a municipality. Where they understand the needs of their residents and they understand the needs of the developer. Where they can bring us together to bring that construction down,” said Engmann.

According to Ainslie, construction for the first house will be later this year, and the second house will be built in 2025.