Hill City breaks ground for affordable housing development

HILL CITY, S.D. — In a ground breaking ceremony on Wednesday, Hill City celebrated the beginning of an affordable housing development that will hopefully have four houses completed by next year.

Thirty-four new single family, tiny homes and duplexes will be built in Hill City within the next few years.

Construction began with a ground breaking ceremony held on Wednesday afternoon on the 6.5 acres of land on the intersection of Top O Hill Avenue and Buds Drive.

The affordable homes range from $175-250 thousand built by Scull Construction Company.

“It will be a really first-class development, and it will also improve the neighborhood, so it’s pretty fun,” said Jim Scull.

The vote was unanimous to approve a $2 million in tax increment financing is going toward the success of the development. Without this, the homes would be an additional $35 thousand or more.

Mayor of Hill City, Kathy Skorzwski says that Tax Increment Financing (TIF) allows for improvements such as paved streets, water, sewer, green space and sidewalks that are needed.

“We needed something,” said Mayor Skorzwski. “We needed to be able to provide people with an area they could go, and they could find something to live in. You can’t even find it, even if you use a broker or a real estate agent. So this allows us to bring the houses in at a more reasonable cost, and actually make them available and increase our surplus.”

In a 2018 Hill City housing study, tiny homes were suggested to meet housing demands. Seven to ten single family housing units per year needed to be built between 2018 and 2023.

A survey suggested people were interested in living in Hill City if there were more affordable living options.

Even in a population of less that 1,000, stakeholders think the houses will move off the market.

“To sell houses in a small community it would be very difficult. Except, it’s Hill City — in the proximity of Custer, Keystone, even Rapid City,” said Mayor Skorzwski. “People like to live in the hills and there’s an excellent school system here. A really nice vibe in this community, so I’m hopeful that people will just want to live here.”


Categories: Local News, South Dakota News