Large Walker's Point apartment proposal canceled

A proposal to develop a large upscale apartment building in Milwaukee's Walker's Point neighborhood has been canceled, with the developer citing both an oversupply of new apartment units as well as rising construction costs.

David Winograd said market conditions have changed since he began working two years ago on his proposed 234 Apartments.

The 12-story, 164-unit development would have been built on a vacant lot overlooking the Milwaukee River at 234 S. Water St., just downstream from the Pittsburgh Ave. bridge.

"A lot more high-end stuff is coming on line now than when we started," Winograd said.

That includes Northwestern Mutual Life Insurance Co.'s 34-story, 324-unit apartment high-rise that is to open in May 2018 at 795 N. Van Buren St.

Northwestern Mutual announced that project in October 2015. That was the same month Winograd went public with his proposal, which city officials approved in December 2015.

Other plans which have since surfaced include Mandel Group Inc.'s proposed Portfolio, a 24-story, 235-unit high-rise at 1350 N. Prospect Ave. Mandel is considering a fall construction start.

Also, construction costs have increased substantially since 2015, Winograd said.

His $30 million project would have had monthly rents from around $1,500 to $3,000 for units ranging from studios to three bedrooms.

The building would have included street-level retail space, underground parking and a stretch of RiverWalk.

Winograd said Walker's Point remains a good place for developers.

His other neighborhood projects include last year's conversion of three adjacent buildings at the northeast corner of S. 2nd St. and W. Pittsburgh Ave. into 12,000 square feet of restaurant and store space, and 10 second-floor apartments.

Winograd also plans to convert a three-story building his group bought in November, at 228 S. 1st St. into improved office space.