Elizabethtown factory buying vacant lot to build apartments for employees

ELIZABETHTOWN, Ky. (WDRB) -- City officials are working to finalize the sell of a vacant lot to be developed into housing.

The proposal from HC Realty, the real estate arm of local factory Kruger Packaging, includes constructing more than 100 apartment units on the vacant lot.

The property is located on College Street. It's the former home of E-Town Sportswear before the city purchased the property and tore down the building earlier this year.

"What we've tried to do at City Hall is do an inventory in the city and see what properties we could repurpose," Gregory said. "This is one that we recognized that would possibly be a good candidate."

Although it's a little unusual for a factory to get into the real estate and apartment building business, Gregory said it makes sense to make sure factory workers have an affordable place to live that's close by.

"What they're going to put in is called 'workforce housing,' which is about 100 to 125 different housing units, and the people that work at their company out there in the industrial park will have a place to live."

While the apartments are being developed for factory employees, anyone is welcome to become a tenant.

Kruger is purchasing the 4.7 acre lot for $750,000 -- the same amount the city paid for the total 10-acre property earlier in the year.

The deal is still in the works but Mayor Gregory says it's nearly done. "The city is going to partner with them to put in what we call a pocket park, and possibly a bridge across the creek, that would give them the opportunity to go across to our community center."

The city has already acquired other similar lots, and is working to buy more property to address a serious housing need during an industrial boom.

Leaders are hoping these latest developments lead the way.

"We're really excited about it," Gregory said. "It's repurposing of some blighted property in town and we're looking at several other places to try to do the same thing."

Kruger released a statement saying the company is excited to be working with the city.

The sale of the property should be completed within the next few months. The timeline for completion of the apartment community is not known.