Growth Line: Fratney House 

Objective:

Purchase a new treatment home to house eight residents and two managers, ensuring compliance with zoning regulations and establishing long-term stability for 4th Dimension Sobriety's men's recovery program.

Current Situation:

The Fratney House, established in 2017, currently serves as a sober living facility with eight residents and two managers. Rent is $1,985 per month, plus utilities, and 4th Dimension Sobriety shares repair costs with the property owner. The organization does not own the house, leaving the program vulnerable to changes in rental terms, external pressures from neighbors, and inconsistent city policies. Additionally, Milwaukee lacks a specific zoning classification for sober living homes, placing the Fratney House in a regulatory gray area.

Zoning Challenge:

The zoning landscape for sober living facilities in Milwaukee is undefined, placing 4th Dimension Sobriety’s Fratney House in a regulatory gray area. While the house serves as a vital resource for men in recovery, the absence of a clear zoning classification exposes the facility to potential opposition from neighbors and inconsistent enforcement of city policies. This ambiguity makes it difficult for the program to operate with stability, as changes in neighborhood sentiment or municipal oversight could threaten its existence. Without a specific zoning designation, sober living homes like Fratney House are left vulnerable to complaints, scrutiny, or even eviction, hindering the long-term sustainability of the program.

To mitigate this risk, 4th Dimension Sobriety must prioritize acquiring a property that meets Milwaukee’s zoning requirements, ensuring the program can operate legally and without interruption. This will require collaboration with city officials to clarify zoning rules for sober living facilities and establish a precedent for similar homes. Securing proper zoning will protect the house from external pressures and provide the organization with the stability it needs to focus on its core mission: supporting men in recovery. By addressing these zoning challenges head-on, 4th Dimension Sobriety can ensure that its program remains an integral part of the community, free from ongoing regulatory threats.

Strategic Impact:

Acquiring a property that meets zoning regulations is a critical step toward long-term stability and growth for 4th Dimension Sobriety. Ownership of the property will provide the organization with the legal and operational control necessary to protect the men’s treatment program from the uncertainties associated with renting and ambiguous zoning. With a properly zoned facility, 4th Dimension Sobriety can solidify its presence in the community, making it less susceptible to external forces like neighbor opposition or fluctuating city policies. This strategic move not only ensures the program’s continued operation but also provides a foundation for expansion in the future.

Additionally, owning the property will allow 4th Dimension Sobriety to actively engage with city officials and community leaders to establish clearer zoning guidelines for sober living homes. By doing so, the organization can advocate for the rights of other sober living facilities, helping to create a more supportive regulatory environment for all recovery programs in Milwaukee. This will position 4th Dimension Sobriety as a leader in both recovery services and community advocacy, ensuring that its mission continues to thrive while contributing to broader systemic changes that benefit the entire recovery community.

Mission Requirements:

  • Property Acquisition - Purchase a Riverwest duplex to house eight residents and two managers, ensuring the facility meets zoning regulations and long-term operational stability.

  • Funding – Secure necessary funds through a combination of fundraising and bank financing.

  • Ownership – Gain control of the property to address zoning issues proactively and reduce vulnerability to external influences.

Interdependencies

• Community Engagement and Advocacy: Success in securing proper zoning and community support for the Fratney House is highly dependent on effective advocacy and relationship-building efforts. Community education and advocacy work will make it easier to establish a stable, accepted presence in the neighborhood.

• Support Services: The effectiveness of the Fratney House program relies on expanded support services for residents, such as mental health resources and employment assistance. These services can significantly improve outcomes for residents

• Volunteer and Peer Support Program: Having a structured peer support system can enhance the recovery experience for residents of the Fratney House, making the program more holistic and impactful.

Timeline

October 31, 2024: Initial Meeting: Sit down with Drew and Luell to get a better understanding of the treatment and housing sphere and finances. Use this as a foundational meeting to prepare for upcoming steps and strategize around financial planning and zoning.

  • Meet with Drew and Luell: Have an in-depth discussion about the current treatment and housing programs, and dig into the financial landscape to understand available resources and potential challenges. Take detailed notes on their insights to inform future planning.

  • Prepare for Zoning Discussions: Start compiling all necessary documents and information to prepare for the next meeting with city officials. Outline the main zoning hurdles and draft questions or points to raise during the “Milwaukee bozo meeting.”

November 2024: Ongoing Fundraising: Keep momentum with grant applications and smaller funding initiatives. Start informal meetings with potential donors (e.g., coffee catch-ups) to discuss the vision for Fratney House and build excitement.

  • Kick Off Fundraising Efforts: Focus on ongoing grant applications and reaching out to smaller funding sources.

  • Maintain consistent communication with potential donors, setting up casual meetings like coffee catch-ups to share the vision for Fratney House and generate interest.

  • Track Donor Engagement: Create a list of potential donors, logging interactions and their level of interest.

  • Develop a follow-up strategy to keep them engaged throughout the process.

  • Document Grant Progress: Maintain a clear record of grants applied for, deadlines, and any feedback received.

  • Ensure everything is organized for efficient follow-up.

December 2024: Financial Breakdown: Break down what we need financially: down payment, closing costs, loan terms, and a reserve fund. Make sure we have a comprehensive and transparent financial plan ready for board review.

  • Review Financial Health: Analyze fundraising outcomes from November and see where you stand financially. Identify how much more funding is needed and what other resources may be tapped.

  • Board Update: Hold a meeting or send a detailed report to the board outlining financial progress and any challenges encountered. Be transparent about funding gaps and invite board input on potential solutions.

  • Draft Financial Plan: Start drafting a preliminary financial plan that outlines projected costs and expected income sources. This draft will be finalized in January.

January 2025: Board Check-In: Update the board on the financial plan and fundraising progress. Ensure board members are involved and engaged, offering their oversight as we approach key decisions.

  • Finalize Financial Breakdown: Develop a comprehensive financial breakdown that includes down payment, closing costs, loan terms, and a reserve fund.
    Ensure that every cost is accounted for to avoid surprises.

  • Board Check-In: Present the finalized financial plan to the board. Discuss the progress made, upcoming fundraising goals, and the timeline. Get the board’s approval for key upcoming actions and address any concerns they may have.

  • Reconnect with Donors: Follow up with potential donors from November. Update them on progress and keep them involved, emphasizing how their contributions will make a real impact.

February 2025: Financial Document Prep: Collect all necessary financial documents for loan pre-approval, such as statements and proof of funds. Begin discussions with potential lenders and get the ball rolling on the loan process.

  • Prepare Financial Documents: Collect all necessary paperwork for loan pre-approval, such as financial statements, fundraising reports, and a detailed budget. Double-check for accuracy and completeness to avoid delays.

  • Engage with Lenders: Begin formal discussions with banks and other potential lending institutions. Share your financial plan and negotiate favorable loan terms. Be ready to provide any additional information they may request.

  • Revisit Financing Options: Discuss with financial advisors the possibility of leveraging assets, such as the hostel, to improve loan terms or secure additional funding.

March 2025: Explore Financing Options: Consider leveraging the recent hostel purchase as a potential asset. Evaluate creative financing options and consult with financial advisors to choose the best approach for securing the property.

  • Explore Creative Financing: Work closely with financial advisors to explore and assess alternative financing methods. Consider how leveraging the hostel could work as collateral and discuss these options with the board.

  • Assess Loan Offers: Review loan terms from different lenders. Compare interest rates, repayment schedules, and any contingencies attached. Select the most favorable option while keeping your financial strategy in mind.

  • Board Preparation: Start preparing for the April board meeting by summarizing financing options and any major decision points.

April 2025: Board Oversight Meeting & Vote to Proceed: Present all financing options and the updated financial plan to the board for a formal vote. This vote will determine whether we move forward with making an offer on the property.

  • Board Oversight Meeting & Vote: Present the full financial plan and outline the financing options in detail. Facilitate a vote to proceed with making an offer on the property. Ensure the board is fully informed and supportive of the decision.

  • sAddress Board Feedback: If any board members have concerns or suggestions, address these promptly to keep the project moving forward. Adjust the plan as necessary based on their feedback.

May 2025: Offer and Negotiations: Submit an offer on the property. Be prepared for negotiations, using the upcoming inspection results to adjust terms if needed. Focus on securing a deal that aligns with our financing plan.

  • Make an Offer: Submit an official offer on the property. Be prepared to negotiate with the seller, leveraging insights from the financial plan and any other assets available. Aim to secure the best possible deal while staying within your budget.

  • Negotiate Terms: Use the upcoming inspection and appraisal as leverage to negotiate price reductions or seller concessions for repairs. Keep open communication with the board about the progress of these negotiations.

June 2025: Inspection and Appraisal: Conduct a full property inspection to identify any potential issues, from structural problems to plumbing or electrical concerns. Get an appraisal to confirm the property’s value and use these results in final negotiations.

  • Conduct Property Inspection: Hire a professional inspector to thoroughly examine the property for any structural, electrical, or plumbing issues. Make a detailed list of any repairs needed and estimate costs for addressing them.

  • Appraisal: Arrange for an official appraisal to determine the property's market value. Use this information to validate your offer or renegotiate if the appraisal comes in lower than expected.

July 2025: Final Loan Approval: Work closely with the bank to finalize the loan, ensuring all terms are favorable and that we’re set for closing. Double-check everything to avoid surprises.

  • Secure Final Loan Approval: Work with the bank to finalize the loan. Ensure all documentation is complete and all terms are agreed upon. Go through the loan details one last time to confirm there are no hidden fees or conditions.

  • Prepare for Closing: Start gathering all necessary paperwork for the closing. Double-check that funds are in place and all legal aspects are covered to make the process as smooth as possible.

August 2025: Fundraising Push: Host a targeted, last-minute fundraising effort to cover any remaining financial needs. Keep it small and strategic, focusing on key supporters who can help us cross the finish line.

  • Final Fundraising Effort: Conduct a last push to cover any remaining financial needs. This could be a smaller, focused event or personal outreach to key supporters. Ensure that all remaining gaps are filled and that everyone involved knows the importance of the upcoming purchase.

  • Coordinate with Closing Team: Work with lawyers, real estate agents, and the bank to make sure everyone is prepared for closing day. Schedule a final walk-through of the property to ensure everything is in order.

September 2025: Closing Day: Complete the purchase of the Fratney House! Finalize all legal paperwork and celebrate the successful acquisition, setting the stage for long-term stability and growth.

Closing Day: Complete the property purchase! Sign all necessary documents, finalize payments, and celebrate the official acquisition of the new Fratney House. Reflect on the journey and prepare for the next phase of implementation and stabilization.