HUTCHINSON, Kan. — The St. Elizabeth’s apartment proposal has hit a major snag.

The project spearheaded by Manske and Associates and Interfaith Housing has learned it will not receive the necessary tax credits from the Kansas Housing Resources Corporation. The tax credits would have been used to transform the old hospital at 20th and Monroe into a 47-unit apartment complex. Interfaith Housing issued this statement late Tuesday afternoon to HutchPost.com:

“Interfaith Housing and Community Services wishes to update the community on funding for the St. Elizabeth Hospital conversion project. Various factors created unique challenges for this project.

The two most relevant factors involve increasing statewide competition for Low Income Housing Tax Credits and the specific renovation requirements for converting the former medical facility into quality residential housing.

We were recently informed that our funding application was not awarded in the 2019 state funding cycle. Interfaith remains diligent in our vision of working through present challenges to bring new quality housing options to the community of Hutchinson positively impacting the neighborhood surrounding 500 W. 20th.”

Lacie Janzen with Interfaith says a meeting is scheduled with Kansas Housing later this month to discuss all options to see this funded for next year and says they are still working with Manske and Associates throughout this process.

Manske and Associates had been successful in two other similar projects involving the Wiley Building and the new Link project at 2nd and Washington, which is a housing complex for clients of TECH and those over age 55.