Construction began in mid-February for 16 units of housing and supportive services for homeless veterans in the 5200 block of Ramsey Street in West Duluth.

The Duluth regional office of the nonprofit Minnesota Assistance Council for Veterans (MACV) and the Duluth-based nonprofit Northern Communities Land Trust are partnering in the $2.5 million project. The Land Trust, a certified community development housing developer, borrowed $478,500 from the Corporation for Supportive Housing to buy three adjacent parcels for the project at 5201-09 Ramsey St.

The Land Trust will hold permanent title to the underlying land. Jeff Corey, the Land Trust’s executive director, said the nonprofit brought development experience to the unique project. “We had to deal with three separate sellers. Developing multi-family housing is new for us, but we have real estate development expertise,” he said.

The Land Trust’s Common Ground, LLC construction affiliate is general contractor for the project.

Duluth Veterans Place will open this fall with one transitional handicap-accessible unit and 11 permanent housing units in a renovated apartment building at 5201 Ramsey St. A second building at 5209 Ramsey St., will provide four transitional housing units, MACV-Duluth offices and training space. A garage on the third parcel will be razed to provide a central courtyard between the two buildings. Engraved bricks MACV-Duluth sold in its project fundraising will be used to create a wall in the courtyard.

MACV-Duluth supportive housing, rental and mortgage assistance, employment and legal services presently operate from the Carnegie Building at 101 W. 2nd St. in downtown Duluth. For nine years, MACV-Duluth also managed a transitional housing program for veterans at the nearby YWCA building at 200 W. 2nd St., until its 2009 sale to the American Indian Housing Organization.

Durbin Keeney, MACV-Duluth regional director, expressed hope the new location in a residential neighborhood just three blocks from West Duluth’s Spirit Valley business district will provide part-time job opportunities for Veterans Place residents transitioning to permanent employment.

Project financing includes grants and forgivable loans: federal ($270,000); state ($703,000); St. Louis County and City of Duluth ($765,600), and private foundations ($665,000). The city-county grants are part of a 10-year plan for combating homelessness.

MACV-Duluth fundraising efforts also contributed $144,527.

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