On July 9, the Vermilion Municipal Planning Commission voted 3 to 2 to recommend a zoning change that would allow Wallick Asset Management LLC to move forward with a proposed 112-unit affordable housing development on Douglas Street.
Representatives James McCune and Matt Dennis, speaking on behalf of Wallick Communities, outlined their plan to build a mix of one-, two-, and three-bedroom apartments on the parcel near the Vermilion elementary and middle schools. The complex would target residents earning less than 80 percent of the area median income, including seniors, service workers, and young families. Rents would be income-restricted under the federal Low-Income Housing Tax Credit program.
The proposal includes amenities such as a community center, playground, computer room, exercise space, on-site management, and security cameras with police access. The buildings would be two-story walk-ups with patios or balconies. No elevators or garages are planned.
However, zoning concerns surfaced. City code currently allows a maximum density of six units per acre in R-5 districts, which would permit only 64 units on the site. Wallick’s proposal calls for nearly double that amount. Commission members and the city engineer noted the discrepancy, and the matter is now expected to be reviewed by the city’s law director.
If approved, the project would be funded through a competitive housing tax credit process. Wallick must submit its application to the state by August 16. To meet that deadline, city officials discussed the possibility of calling a special council meeting before the standard third reading of the rezoning ordinance on August 18.
Mayor Jim Forthofer acknowledged that the city lacks affordable housing options for both seniors and working families, and said the proposal could help address that need. He cautioned, however, that further review will be needed regarding density, traffic, and infrastructure.
If the tax credit application is successful, construction would begin in late 2026 with a projected 15- to 17-month timeline. The development is expected to cost between $35 and $40 million and would house approximately 200 residents.
The next Planning Commission meeting is scheduled for August 6 at 7 p.m. at the Vermilion Municipal Complex on Decatur Street.
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