"Bryk on Broadway" apartments looking to increase income requirements to fill units

ROCHESTER, Minn.-The Rochester Economic Development Authority (EDA) approved a measure that will increase income requirements for some apartments at "Bryk on Broadway" at Monday nights' meeting. 

The apartment complex consists of 180 units and is considered "workforce housing", with units capped at different income levels.

The income levels and number of units per level are:

-54 units at 50% of the area median income (AMI).

-18 units at 60% of AMI.

-108 units at 80% of AMI.

The latter AMI level is the reason for the income increase, according to the owner, Dirk Erickson.

Erickson said he has rejected more than 40 potential tenants because they make too much money and has struggled to fill the 80% AMI units.

Monday's decision, which still needs additional approval by Destination Medical Center, means 50% of the 108 units at the 80% AMI can be rented by people at the 110% AMI. 

Those higher income earners would also pay the same amount of rent (30%) as an 80% AMI tenant.

Ward 4 Councilmember Kelly Rae Kirkpatrick said she is worried it may limit options for some renters, however she understands why the change is needed. 

"It feels a little bit as though those folks that perhaps have the lower incomes and may have the most difficult income finding housing are going to get squished out and that bothers me but I do very much respect that supply chain differences, increased expenses, taxes and all of that and I understand that has to pencil out," Kirkpatrick said.

Erickson said he would like to make more units available to AMI levels that are lower than 80% but added that it would require additional funding from the city.

"We would love to offer more 50% and 60% units we would just have to get more assistance from TIF (tax increment financing), the county and DMC," Erickson said. 

The amendment is only good until Oct. 1, at which time units will revert back to 80% AMI apartments if the tenant moves out.