West Allis is weighing a hefty public assist to keep its hot SoNa corridor humming. The second phase of SoNa Lofts could break ground in 2026 if the city signs off on about $10.6 million in support. The expansion would tack on roughly 117 apartments and a clubhouse-style amenity building on the block next to the West Allis Farmers Market, pairing with the 110-unit building that opened on National Avenue in 2023. Developers say the actual start date hinges on city approvals and how the financing package is ultimately stitched together.
The developer is asking for around $10.6 million in city-backed financing and has said it wants to start work next year, according to the Milwaukee Journal Sentinel. The project is pitched as part of a broader buildout of the Six Points area that Mandel Group has been pursuing with other housing and retail efforts.
As outlined by Mandel Group, Phase II would feature a "SoNa Club" with a sauna, hot tub and cold plunge, plus shared spaces meant to nudge residents toward nearby bars, restaurants and shops. A separate listing from Mandel Group notes that the first SoNa Lofts building at 6675 W. National Ave. opened in 2023 with 110 units, and the company says that investment has helped pull new retail attention to the corridor.
Where the project would sit
City planning records show the new phase would occupy Lots 3 and 4 on the SoNa block near 66th Street and Mitchell, parcels the Community Development Authority has been eyeing for redevelopment. A design review presented to the Planning Commission details two multiunit buildings with ground-floor retail, underground parking and stronger pedestrian links to Makers Row, according to City of West Allis records.
How the city would finance it
Municipal filings and bond documents indicate the ask would lean on tax-increment financing and bond proceeds rather than a straight cash grant, as described in a preliminary official statement from Ehlers and the city's TID planning materials from City of West Allis. The Community Development Authority has already authorized staff to draft a project plan for a Tax Increment District at 66th and Mitchell, which is the standard first move before any assistance package is nailed down. The finer points, including repayment terms, are set to be hashed out in future CDA and Common Council votes before any public money is locked in.
Timeline and neighborhood context
Mandel and its partners have told city staff they are targeting an early 2026 construction start with potential occupancy in 2027, a schedule that lines up with design-firm notes and coverage from RINKA. City planners and several aldermen have pressed the team on how the new retail space will be filled, given lingering vacancy issues along National Avenue. Meeting minutes show questions about whether specific storefronts will focus on food uses and how shared parking will be managed, according to City of West Allis records. If the CDA and council ultimately sign off on the financing and development agreements, Mandel says it is prepared to move quickly from paper plans to construction equipment on site.
