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Baileys Harbor, Sister Bay Hear Workforce Housing Proposal

The Baileys Harbor Town Board and Sister Bay Plan Commission will both hear a proposal by Donn Dresselhuys this month to create a three-acre workforce housing campus. Dresselhuys first appeared before the Gibraltar Plan Commission in December 2016, when the proposal was rejected.

“There is a dichotomy in all of this,” said Dresselhuys, explaining his motive for the project. “People like to think of being in a rural area, nevertheless we need to be able to go to a grocery store and gas station to get supplies. For that to happen, the merchants have to be supported.”

He is proposing a group of six to eight single-family, two bedroom houses that would hold up to four people each. The manufactured homes covering around three acres would have a full kitchen, washer and dryer. Dresselhuys would purchase the land and locate the homes there. He would then sell each home to a business owner but still have a separate business manage the property.

Sale of the property would also require it be used for workforce housing, preventing speculative purchase of the homes for vacation rentals or other uses.

“They’re going to be sold to business owners for the purpose of employee housing and that will be in the conditions of ownership,” said Dresselhuys, adding the measure will be enforced by an association of the homeowners. If a business owner sells the house, that condition stays with the sale.

Dresselhuys is hesitant to list prices without knowing where the homes would be located. If a municipality sells property at a low cost to contribute to the solution, the cost could be significantly less. Availability of utilities will also affect price significantly.

Under the model, the business owner would be responsible for maintenance inside the house but the property manager would do landscaping, plow driveways and manage sewer, water and electricity.

“The main goal is to get the [business] owners out of the slumlord business,” said Dresselhuys. “It is a case of trying to help the owners concentrate on running their business.”

He is confident the cost for him to develop the property and for business owners to purchase the homes outweighs what business owners are paying now for lack of productivity.

“It’s less expensive to do this than to not do it,” said Dresselhuys. “It’s really expensive to not be able to open in May or early June. It is possible for the owners to pay all of the operating expenses as a result of very marginal increase in productivity for those five months.”

Dresselhuys appeared before the Sister Bay Plan Commission on July 25 and was asked to return to the Aug. 29 meeting with a developed plan. Dresselhuys will appear before the Baileys Harbor Town Board on Aug. 14 with architectural renderings and floor plans for the project.

His request to rezone a property for the project before the Gibraltar Plan Commission, the township Dresselhuys has owned property in for 30 years, was met with significant testimony in opposition. Residents living around the property, located near the intersection of County F and County A, claimed the project would be a nuisance even though some dissenters praised the idea and suggested it be located elsewhere.

While Gibraltar’s Comprehensive Plan calls for support of seasonal housing, commissioners felt the project was spot zoning and turned it down.

A similar business-owner supported workforce housing project fell apart in the Village of Egg Harbor due to a lack of interest from business owners to purchase a stake in the development.

Dresselhuys said he hopes to get started on the infrastructure work by this fall pending approval by either Baileys Harbor or Sister Bay.

Sister Bay Village Administrator Zeke Jackson said there is not a specific property being discussed for Dresselhuys’ project and that the conversation is still in its early stages. Dresselhuys will seek a three-acre portion of the 40-acre plot near the Baileys Harbor Rec Park when he appears before the town board on Aug. 14.

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