MOUNT STERLING TURNS VACANT LOTS INTO OPPORTUNITY FOR NEW HOUSING

MOUNT STERLING, Ill. — Mount Sterling is partnering with the Central Illinois Land Bank Authority on an effort to turn long-vacant properties into new homes, with three city lots selected for the first round of development.

The project is part of the land bank’s “Vacant Lots to New Homes Initiative,” which is designed to make it easier and less risky for developers to build housing on unused property in smaller communities.

The three Mount Sterling properties are located at 502-504 West Washington Street, 121 East Coline Street and 607 North Capitol Street. City Administrator Vada Yingling said one of the lots has been vacant for roughly 30 years, another for about five years, while a third became vacant more recently after a blighted house was removed.

City officials initially identified more than 60 vacant lots around Mount Sterling and determined about 40 could be desirable for redevelopment. Letters were sent to those property owners, with three ultimately responding and moving forward in the program.

The city is particularly interested in adding what officials describe as missing middle-income or workforce housing — homes that working, two-income families can realistically afford. Land bank Executive Director Mike Davis said the goal is not luxury housing, but potentially homes selling for $250,000 or less.

Developers will have flexibility in deciding what type of home best fits each property, including different sizes and bedroom configurations depending on the lot.

The program is also offering significant incentives. The highest-scoring qualified developer can receive the land for just $1, while Mount Sterling is waiving city permit fees and tap fees associated with the project. Developers will be evaluated based on factors including their construction experience, financial ability and readiness to begin work.

Officials say the broader goal is to put currently empty properties back on the tax rolls, improve neighborhoods and create more homeownership opportunities while strengthening Mount Sterling’s housing supply.

Contractor proposals are due by 1 p.m. September 1 and may be mailed or delivered to Mount Sterling City Hall.

Mount Sterling is only the second community to participate in the initiative. A similar effort is already underway in Casey, Illinois, where officials hope five to six new homes will be constructed over the next 12 to 18 months. Additional projects are planned in several other central Illinois communities.