NEW ULM — The newest apartment building in New Ulm was formerly a historic high school and junior high.

The old school underwent a $15 million rehabilitation and historic preservation project to turn it into the Emerson Union apartments.

The idea of turning the former school into apartments came up several years ago, but funding issues prevented it from happening. Then in 2016, The Community Housing Development Corporation (CHDC) became interested in the property.

CHDC is a non-profit that specializes in providing affordable housing. The organization owns 45 properties, most of which are in the Twin Cities.

CHDC Senior Vice President and Emerson Union project manager Heidi Rathmann said they heard the property was on the market after one entity failed to rehab the building. CHDC officials visited the old school and made an offer, which was accepted.

“We have a number of converted buildings,” Rathman said. “Schools convert very well because of the classrooms. There is less demolition needed.”

CHDC took site control in 2017 and then worked to secure financing. Rathmann said they were funded by the end of the year and construction began in 2018 and was completed by the end of the year.

Rathmann said there was a three to four week clean up process. The first residents moved in on Jan. 29. As of February, there are approximately 16 units leased.

Emerson Union has 49 units, a combination of one, two and three-bedroom units. About half are two-bedroom units. The apartment is intended as low-income housing and will be leased to families earning 50 to 60 percent of the Area Median Income ($31,000 to $49,000 annually).

“I think the project went well,” Rathman said.

Since the school was on the historic registry, it was important renovations did not alter the overall historic look of the building. Part of the financing for the project required CHDC to preserve certain aspects of the building.

All mechanical, electrical and plumbing systems were replaced, but windows and historic replica windows were put in place.

When possible, construction crews kept built-in cabinets, chalkboards, bulletin boards, woodwork and flooring.

The old library will be a community space, multi-space for kids, washers and dryers below. There is a fitness room, storage space and small craft room.

The idea was to be mindful of the past and contrast the old with the new. The extra work ensures the old building will remain part of New Ulm for decades to come and provide a new service to the community.

Rathman said it was a pleasure to preserve the building.

“People have a soft spot for schools,” she said, “people attended the school or taught there. Different generations have ties with it.

Overall, the process had a few obstacles. There was some complication with separating utilities. The State Street Theater abuts the apartment and previously shared utilities. Once the utilities were separated, construction went pretty quickly.

Rathman said acquiring the financial backing and meeting the historical requirements was a challenge, but CHDC was prepared for this before taking over the project.

The building is expected to be fully leased by the end of 2020. Prospective tenant tours were offered in February. A special open house public tour will be held on March 19.