The City of Independence is transferring ownership of the old Mercy Hospital to a rural development group to turn it into a mixed-use structure with residential and commercial units. 

The Independence City Commission has approved an agreement with the De Soto, Kansas-based Rural ReDevelopment Group, LLC., to transfer ownership of the building, with the goals of creating new housing units.

The project will redevelop the existing structure at 811 W. Laurel into a mixed-use complex of commercial and residential units, directly advancing the Commission’s established goals to expand quality housing opportunities and encourage private investment in Independence.

 

Per the agreement, the City will convey the former Mercy Hospital building and adjacent lots to RRG. The purchase will be completed via a $500,000 second place forgivable note from the City to RRG. The City is not providing any cash to the buyer. Note forgiveness is strictly contingent upon RRG completing the development of apartment units in the building; otherwise, the note must be repaid. According to the plan, the project also will include development of commercial spaces on the property.

 

City Manager Kelly Passauer says the project is the result of extensive collaboration between the Independence Housing Authority, City staff, the City Attorney, Montgomery County Action Council and representatives of the Economic Development Advisory Board, all of whom worked closely with the developer to create a framework that benefits both the community and private investors.

 

The agreement stipulates that a construction timeline of 24 months will be allowed for completion of the housing units.

 

Full details tomorrow during KGGF News at 7 on The Mighty 690.