Unit could have 60 apartments

Photo by Tucker Henderson
This vacant field south of New York Mills could soon become home to a new 60-unit apartment building. Prospective developers are seeking a tax abatement from the City of NY Mills, NY Mills School District and Otter Tail County to help make the project come to reality. 

By Chad Koenen


The City of New York Mills approved a tax abatement for a planned 60-unit apartment south of town last week.

During its regularly scheduled meeting on Tuesday night, the NY Mills City Council approved a tax abatement plan to help make the expansive housing project a reality. 

The plan will last for up to 15 years, or $752,000 in taxes, or whatever comes first. The tax abatement will need to be approved by the city, NY Mills School District and Otter Tail County. 

Jason Murray, of David Drown Associates, said the county had positive comments about the project earlier in the day. 

“This morning the county held their public hearing, positive comments, however they usually wait until their next meeting to approve an abatement,” said Murray.

The school and county are expected to vote on the project later this month.

According to one of the developers of the project, the 60 unit apartment building will be market rate rent. The exact amount for rent has yet to be finalized but there will be 23 units that are 1 bedroom/1 bath are estimated to be $1,120, there will 33 units that are 2 bedroom/2 bath apartment are estimated to be $1,320 and there will be 4 units that are 3 bedroom/2 baths that will be approximately $1,400 per month. 

The building will also have 36 tuck-under garage parking stalls and 28 detached parking stalls. The total development costs are estimated at $10.1 million. 

The proposed site of the apartment building is at an 80 parcel lot owned by the City of NY Mills on roughly 4-6 acres of land south of town.

City councilman Jerry Nesland said the project will provide additional housing for people moving to town, as well as those who live in town and may want to downsize in the future. 

If similar abatements are approved by Otter Tail County and NY Mills School, the plan would be to start construction on the apartment building this fall. 

In other news

• Heard the monthly liquor store report, which showed that net revenues for the month were up 1.5 percent as a percentage of sales from last year, while the net revenues year to date were down 30.35 percent from last year at this time. 

• Heard the monthly fire department report, which showed that the department responded to 22 calls for the month of June. The council also approved the hiring of Tyler Mueller for an open position on the fire department. 

Photo by Tucker Henderson
A pre-construction meeting for the North Boardman project is set for this week in New York Mills. 

• Heard the monthly call report from the NY Mills Police Department, which stated the department responded to 169 calls for service in June. They issued five citations and made seven arrests. 

• Heard the monthly public utilities report which stated the concrete should be completed in the near future for the new public works building. The North Boardman pre-construction meeting will be held on July 21 and Al Holtberg has given his notice of his intent to retire effective July 29. 

• Heard about a plan from a local group of volunteers about installing a dog park in Hidden Trails. The project will be funded through donations. The estimated project cost was $41,000 for the project, which includes fencing, a rain shelter, signs and site development. 

• Heard from a plan from Arvig for expanding fiber overbuild set for 2023 in NY Mills.