Oswego School District 308 and the village launch a financial analysis for a 161-unit redevelopment of the old Traughber Junior High, a major step in repurposing a costly vacant property.
In a significant move for municipal finance and property redevelopment, Oswego School District 308 is moving forward with a joint financial analysis with the village of Oswego for the proposed Traughber Estates project. This plan aims to transform the long-vacant former Traughber Junior High School at 61 Franklin Street into a 161-unit apartment and townhouse development. The district and village will each contribute $10,000 to hire Johnson Research Group, a specialist in tax increment financing
and urban planning, to conduct a crucial due diligence review. This step is vital as the property lies within a TIF district**, meaning a substantial portion of the project’s funding is expected to come from the incremental property taxes generated by the new development.
The proposed **property redevelopment** represents a strategic solution for the school district, which has been burdened by the vacant building for over 15 years. Superintendent Andalib Khelghati referred to the property as an “albatross,” costing the district approximately $250,000 annually in maintenance and insurance. The **intergovernmental agreement** allows both entities to share the cost of an objective financial analysis, ensuring the final decision serves the community’s best interests. The development, led by JTE and Cordogan Clark, was already scaled back from its original concept—removing a contentious five-story building and reducing units from 202 to 161—to address village trustees’ concerns about density and height.
While the **concept plan** received unanimous village approval in December, key hurdles remain, most notably a pending traffic study for the already congested area near Oswego High School. Village President Ryan Kauffman emphasized that the project’s future hinges on this study’s findings. For local finance professionals and community stakeholders, this collaboration highlights a practical model for leveraging TIF mechanisms to eliminate municipal liabilities, activate underutilized assets, and generate future revenue streams, balancing economic development with community impact considerations.
The partnership between Oswego School District 308 and the village exemplifies a strategic approach to property redevelopment and public finance. By leveraging a TIF district and an intergovernmental agreement, the entities are conducting essential due diligence on the Traughber Estates concept plan**. This process aims to transform a costly vacant property into a community asset, with the joint financial analysis serving as a critical tool for informed decision-making that benefits both the district’s finances and the village’s development goals.
