Developers submit plans for Gallagher complex

Michael Hutchins
Herald Democrat
An artist rendering shows plans for designs for a proposed apartment complex on Gallagher Drive. The complex will be built on the former site of a specialty hospital.

A former hospital site in Sherman may soon see redevelopment and life as the home of an apartment complex.

Developers with Covenant Development and Aspire Two LLC are expected to request permits from Sherman Planning and Zoning for a new 234-unit apartment complex at 1111 Gallagher Drive when the commission meets Tuesday at 5 p.m.

The site was the former home of the Life Center Specialty Hospital, which was recently demolished as a part of redevelopment efforts.

"Because of the record growth Sherman is experiencing, quality housing is needed," Covenant Development President Ryan Johnson said in a letter to the city. "If Sherman is to continue to attract new businesses and residents, additional high-quality housing options are sorely needed."

The apartment complex will be the first piece of a mixed-use development that will take place at the former hospital site. Meeting documents indicate that some form of medical office use may be in the future for the site.

City officials began discussing the future of the site in mid-2020 during the annual Sherman budget retreat. In the months that followed, the city took steps to assist in the redevelopment by extending a nearby tax increment reinvestment zone to encompass the site. This allowed the city to financially assist in asbestos abatement at the former hospital that allowed for it to ultimately be demolished in recent months.