At Spoerl Commercial, we understand that affordable housing doesn't just happen. It takes commitment, creativity, and collaboration at every level. In a recent feature with Door County Knock, our founder Brian Spoerl shared a behind-the-scenes look at what it takes to develop truly affordable housing in communities like Sturgeon Bay.

This article reflects what we’ve learned in the process of planning and launching The Avenue, a new development that will bring 59 affordable apartments to Door County.

Understanding the Challenge: Why Affordability Doesn’t Add Up Without Help

For many Door County households earning less than 60 percent of the Area Median Income (AMI), quality housing is simply out of reach. Without public support, building housing at affordable rent levels is not financially viable for developers.

Door County's AMI for a family of four is $103,700. That means a unit priced at 60 percent of AMI must rent for less than $1,555 per month. Units at 30 percent AMI need to be even lower. These numbers don’t work without layered financing support. Projects like The Avenue rely on a combination of tax credits, grants, low-interest loans, and local incentives to make them possible.

Real Costs, Real Effort: What Happens Behind the Scenes

As Brian explained in the interview, several factors make affordable housing development especially challenging:

• Construction costs are rising, especially in rural areas where materials and labor are more limited.
• Predevelopment work is expensive and time consuming. It includes environmental testing, site surveys, zoning work, design, and engineering.
• Applications for public funding are competitive, detailed, and costly to prepare. Even successful applications can take months of back-and-forth before closing.
• Local collaboration is key. Every step requires coordination with city officials, financial institutions, engineers, and local partners.

Affordable housing does not just need funding. It needs persistence and strong relationships.
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The Avenue: Turning Public Land into Community Housing

The Avenue is a case study in how it all comes together. The City of Sturgeon Bay made this project possible by selling us a vacant city-owned lot for one dollar. We then acquired a neighboring parcel to create the footprint needed for a viable project.

With support from WHEDA tax credits, city-led Tax Incremental Financing, and private investors, we are now moving forward with Phase One of the project at $12 million, followed by Phase Two at $5 million, for a total development cost of $17 million. The combined project includes 39 units in the first phase and 20 in the second.

Rents will be income-restricted and affordable for individuals and families earning between 30 and 60 percent of the AMI. The buildings will be modest in design, focused on durability, efficiency, and fitting in with the surrounding neighborhood.

More Than Just Buildings: Why This Matters

This isn’t just about development. It’s about local impact.

• It creates long-term housing stability for essential workers, seniors, and families who are being priced out of the community.
• It supports local employers by making it easier for their staff to live nearby.
• It uses public land strategically by turning a vacant lot into something that serves people for decades to come.

Looking Forward: Policy, Partnership, and Purpose

As Brian shared in the article, affordable housing gets easier to build when the public and private sectors work together.

More flexible zoning. Faster approvals. More LIHTC allocations. These are all things that can help unlock more projects like The Avenue.

In the meantime, we will keep doing the hard work — pursuing competitive tax credits, coordinating public support, and designing developments that meet real needs.

About Spoerl Commercial

Spoerl Commercial is a Milwaukee-based real estate developer focused on projects that strengthen communities. From affordable housing to future healthcare sites, we specialize in converting underused land into long-term public value.

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To read the full interview and learn more about the context behind this project, visit the original article on Door County Knock.