Grand Island's newest construction site doesn't look like much yet. But for the families on Hope Harbor's waiting list, it's the start of something they've been hoping for.
Hope Harbor broke ground Friday morning, Oct. 9, on the Lighthouse Apartments, an $11.9 million housing development at 615 W. First St. According to KSNB, the building will provide 20 units of permanent supportive housing, paired with wraparound services meant to help residents stay stable and get back on their feet.
The apartments will be within walking distance of the library, parks and a grocery store.
"We know that there's a high need for it," said Natalie Lukens, vice president of Hope Harbor. "We know that the waiting list for housing is already hundreds and hundreds of people long."
A first for central Nebraska
Hope Harbor, a Grand Island nonprofit that works with people experiencing homelessness, calls this its largest capital project to date. In its announcement of the groundbreaking, the organization said Lighthouse Apartments will be central Nebraska's first permanent supportive housing community.
"This groundbreaking represents years of planning, partnership, and community commitment to an urgent need," said Kendra Lutz, Hope Harbor's executive director.
Permanent supportive housing is a little different from a typical affordable apartment. Residents get a place of their own with a lease, but the services don't stop at the front door. Case management, budgeting help and mental health services continue after people move in, so they can build a rental and credit history while still getting support.
When the project was first announced, Hope Harbor said its focus was two- and three-bedroom units for families, including families experiencing homelessness, households with low incomes and families with a member who has a disability.
How it came together
The project has taken a few years and several funding sources to get here. In 2024, the Nebraska Department of Economic Development awarded Hope Harbor $5.8 million in HOME-ARP funds, federal pandemic recovery money for affordable housing. At the time, the project was estimated at about $10.7 million, and Nebraska Public Media reported that the state money covered more than half the cost and helped bring other funders to the table. The price has since risen to $11.9 million.
Hope Harbor's announcement also credits the City of Grand Island, the Hall County Housing Authority, and national and local philanthropic and corporate partners. Pinnacle Bank and Five Points Bank are providing construction financing.
The team is spelled out, too. Blair Freeman Group is managing the project as the owner's representative, Alley Poyner Macchietto is the architect, and Chief Construction is the general contractor, according to Hope Harbor.
Brad Wiese, an economic development manager with the state, spoke at the event. "Having worked in housing most of my life, the ability to have someone speak of home as a place that they find refuge and solace and a place of safety, to me is our number one priority," he said.
KSNB reported the housing is expected to be finished in 12 to 18 months. Hope Harbor's announcement puts the opening in early 2028.
Why it matters for Contractors
A 20-unit building is a manageable size, but supportive housing brings its own set of details. Hope Harbor has said the building will have 24/7 on-site supportive services and a drive-by donation window, so there's more to it than apartments. It also needs to hold up to years of hard use. That means durable finishes, solid security and careful attention to accessibility.
With a general contractor already on board, the next wave of work will come through subcontracts. Local trades in Grand Island and the surrounding area, from concrete and framing to plumbing, electrical, HVAC, drywall and flooring, should reach out to Chief Construction if they want a spot on the job.
Projects funded with federal housing money also tend to carry extra requirements, so contractors should expect paperwork and compliance steps that come with public dollars.
The bigger story is the need. Hope Harbor's former executive director told Nebraska Public Media that a 22-county area in the region has no supportive housing at all, so people who qualify have had to move away to find it. If Lighthouse Apartments works the way its backers hope, it could become a model for other towns in the region, and that could mean more projects like it down the road.