The Sioux City Council approved a HOME investment partnership program loan for Web Apartments LLC in its meeting Monday.
According to a memo, the city will provide $600,000 in the form of a one percent fifteen-year HOME loan. City funding depends on Web Apartments receiving low-income housing tax credits from the Iowa Finance Authority.
The housing project is located on 417 Market Street and is expected to cost $18 million.
Web Apartments plans to create a new building and redevelop the former Lamb Theater building into 54 affordable housing units, five of which will be designated HOME-funded units.
Additionally, the city council rescinded Web Apartments’ $300,000 loan for the same project due to the inability to receive the tax credits from the IFA.