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Watertown City Council Backs New Housing Development and Finalizes Private Road Agreement

Typewriter with paper showing "CONTRACT" and "APPROVED" stamp. City of Watertown, SD, and Northeast Radio SD logos are visible.

Northeast Radio SD News - Watertown, SD - The Watertown City Council moved to address the community’s “significant housing shortage” during Tuesday night’s meeting, approving a formal resolution of support for a new 40-lot single-family housing project. The council also finalized long-standing infrastructure agreements for a commercial development area on the city’s outskirts.


Support for Harmony Hill Housing Project

The council unanimously passed Resolution No. 26-02, formally backing an application for financial assistance by SCI Development, LLC to the South Dakota Housing and Development Authority.


Seth Fryer, representing SCI Development, clarified during the meeting that the project—developed in coordination with the Sisters at Harmony Hill—aims to create a 10.2-acre development comprising 40 lots, focused on affordability. Fryer noted the developer is working to secure state funding to support a Tax Increment Financing (TIF) district for the project.


The resolution acknowledges that Watertown is currently facing a housing shortage and identifies a specific need for more moderate- to market-priced single-family and multifamily housing. While the City Manager initially misidentified the project location, it was clarified that the development is situated in the southern part of the city.


Isabella First Edition Infrastructure Finalized

In further action, the council approved an amendment to the development agreement with Steve Horning regarding the Isabella First Edition.


City Engineer Justin Petersen explained that the amendment serves as a formal acknowledgement that a private road serving three properties in the addition—located near the local Dollar General—is now complete. Per the agreement, the responsibility for the long-term maintenance of this private road will now officially transition to the adjacent landowners.


The motions were both approved unanimously.


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