With 60 apartment units occupied, developer Ed Kaeding begins final two phases
Two down and two more to go. That’s where apartment developer Ed Kaeding stands with his Mill Pond II housing project.
Kaeding completed the second building in the first phase of his Mill Pond II project earlier this summer. In July workers began constructing the third 30-unit, three-story apartment building. It is on track for completion late next spring.
Kaeding Properties or Kason, Inc. could begin work on the fourth phase of the complex sometime next year.
It’s been a good two years for Kaeding, a builder in Forest Lake since 1988.
“We were full the day we opened,” Kaeding said of the first 60 units of Mill Pond II. “The demand is definitely here in Forest Lake.”
Mill Pond II is defined as a workforce family housing complex offering affordable rental rates for its two-bedroom and three-bedroom units, said Doug Borglund, the city’s community development director.
Borglund said Mill Pond II fits nicely in the city’s goals for housing. “This project is certainly helping with those goals,” Borglund said.
The project now under construction has market valuation of $2.7 million, Borglund said.
The first two building of Mill Pond II are located at 525 SW 4th St. The final phase for buildings three and four is at 685 SW 4th St. The first segment is served by a private drive on a vacated SW 5th Avenue while the final phase will be served by an improved SW 7th Avenue which remains a city street.
Mill Pond II is located east of SW 4th Street and west of the Hardwood Creek Trail bike path. The apartment complex will have easy access to the trail and a small playground available to the public.
All Mill Pond II buildings will have underground parking, a spa, recreation and exercise room, outdoor patio, full laundry and cable and satellite television availability.
The apartment units range in size from 980 square feet to 1200 square feet with the average size. Base rental rates will run between $800 and $900 a month, Kaeding said.
Some 60 percent of the apartment units are classified to serve average income families.
Kaeding, a North Dakota native who moved to Minnesota in 1981 after graduating from North Dakota State University in Fargo, started his commercial building career with single-family houses and duplex units.
Mill Pond II follows the successful Mill Pond I two-building project. The first Mill Pond project is located south of the Forest Lake Fire Station on SW 4th Street and north of SW 11th Avenue with the Hardwood Creek bordering to the east.
The first 18-unit building of Mill Pond I facing SW 4th Street was built in 1998. It was followed by the 30-unit complex situated to the east with a connection via SW 9th Avenue. The second building went up in 2002.
In moving ahead with Mill Pond II, Kaeding acquired multiple properties and combined the land to house the 120 apartment units. The site in the early 1900s was the Benoy family farm property.