Tell City Approves Feed Mill Condos to Revive Downtown Housing

Tell City announced plans to redevelop the former Tell City Feed and Grain site at the corner of 7th and Washington Streets into a residential project called Feed Mill Condos. The development, led by HBS, LLC with Smith Homes listed as builder, is planned as an eight-unit condominium complex with an estimated total project value of about $3 million. Construction was scheduled to begin in January 2026 with completion expected by the end of 2026.

At roughly $375,000 in implied value per unit, the project represents a relatively high per-unit investment for downtown Tell City and signals a move toward denser, higher-value housing in the central business district. By converting a former commercial site into residences, the project increases downtown’s after-hours population and expands the local property tax base by adding roughly $3 million in assessed value once completed.

The immediate economic effects will be seen in construction activity and local services. Groundwork, permitting and building through late 2026 will create short-term demand for contractors, suppliers and skilled labor. After occupancy, an influx of residents into the central business area typically supports restaurants, retail and service businesses that rely on consistent foot traffic, helping to stabilize storefront occupancy and sales tax receipts in the long run.

Feed Mill Condos follows a broader trend in small Indiana river towns to reinvest in downtown cores by adding residential units. Such infill projects can help reverse daytime-only commercial districts by providing customers for local businesses outside standard business hours. For Tell City, which has limited downtown housing stock, eight new condominiums are a notable addition even if they do not by themselves address countywide housing affordability or supply shortages.

The reuse of a former feed and grain parcel also raises typical local considerations: construction traffic and parking during the build, compatibility with adjoining properties, and the integration of utilities and sidewalks. City approval and scheduled construction indicate municipal support for the redevelopment, but neighbors and business owners should expect visible site activity through the year.

For Perry County residents, the project means a modest but tangible downtown reinvestment that could lift nearby businesses and bring new neighbors to central Tell City by the end of 2026. Watch for permit postings and visible construction at 7th and Washington as the development moves forward, and for follow-up projects that may build on this downtown momentum.