Industrial building in zoning battle
Developer wants to switch plans, convert site to apartments
A proposal to convert a long-vacant, blighted Menomonee Valley industrial building into apartments could proceed under a preliminary decision from city officials.
The Plan Commission on Monday recommended approving a zoning change for a four-story, 60,000square-foot building at 324 N. 15th St., south of West St. Paul Avenue.
The Common Council’s Zoning, Neighborhoods and Development Committee will review that recommendation, possibly in May. The zoning change already has the support of at least one current committee member, Ald. Robert Bauman, who spoke at the commission hearing.
Kendall Breunig, who operates Sunset Investors, initially considered converting the building into offices when he began working on his development plans. But the post-pandemic decline in office space demand makes that approach too risky, he told the Journal Sentinel in January.
At the commission hearing, Breunig said the building’s structural issues prevent it from being able to handle heavy loads tied to office use.
Breunig instead wants to create around 45 apartments, with monthly rents of $1,500 to $2,000. Marquette University students and staff would be the primary market, he said, along with people working in the valley and downtown.
The building would have commercial uses on the first floor. He said the latter could include Central Bark Doggy Day Care, 333 N. 25th St., which needs to relocate when Interstate 94 is widened.
If City Hall rejects his proposal, Breunig said, the building will remain for sale − with buyers avoiding it in part due to the site’s environmental issues.
The fire-damaged, vandalized building likely has three to five years before continuing deterioration makes it impossible to renovate, said Breunig, an engineer who’s redeveloped other historic buildings.
Breunig’s zoning change application isn’t supported by Mayor Cavalier Johnson’s Department of City Development.
The zoning change is inconsistent with city plans for the valley, according to the department’s report.
Also, a “housing development at this location has the potential for a variety of adverse impacts on the health and safety of residents,” it said.
That includes conflicts with heavy truck traffic tied to nearby industrial businesses.
Menomonee Valley Partners Inc., which leads valley redevelopment efforts, opposes converting such properties to residential use.
Allowing apartments in the valley creates conflicts with manufacturers and makes their future uncertain, according to the group.
“If residential uses are allowed here, this would create the expectation that rezoning can happen anywhere,” wrote Corey Zetts, Menomonee Valley Partners executive director, to the Plan Commission.
Zetts said the city’s decision “comes down to preserving one long-neglected, vacant building” or upholding policies that “support long-standing businesses and public health and safety.”
Zetts, speaking at the hearing, said maintaining the valley’s largely industrial profile is key to providing family-supporting jobs.
Others opposing residential development include operators of two valley industrial businesses: Allied Insulation Supply Co., 315 N. 12th St., and Standard Electric Supply Co., 222 N. Emmber Lane.
Some of the valley’s newer, non-industrial business owners support Breunig’s proposal.
Those include owners of Plum Media Co., 1418 W. St. Paul Ave.; Third Space Brewing, 1505 W. St. Paul Ave., and River Valley Historic Venue and Christopher Kidd and Associates architectural firm, both at 422 N. 15th St.
They told commission members that Breunig’s plan would transform a vacant eyesore that draws vandals and graffiti artists.
“The condition of that building gets worse by the minute,” Kidd said.
Other supporters include Steven Raasch, chief executive officer at Zimmerman Architectural Studios, 2122 W. Mount Vernon Ave.
The area along St. Paul Avenue is separated from the rest of the valley by the Menomonee River, Raasch wrote, and “is appropriate for a different zoning classification” that includes apartments.
Supporters also said the truck traffic is a minor inconvenience and not a major safety hazard.
The building was constructed around 1895 for the Geuder & Paeschke Manufacturing Co., which later became Geuder Paeschke & Frey, a metal stampings maker. It has been vacant for about 40 years.
Breunig would use historic preservation tax credits to help finance the development, which Milwaukee Preservation Alliance supports.
His other projects include the redevelopment of the historic former Pritzlaff Hardware Co. buildings, at West St. Paul and North Plankinton avenues, into apartments, offices and other new uses.