Mayor James Donchess met with Ward 9 residents on June 9 at New Searles Elementary School. Telegraph photo by CHRISTOPHER ROBERSON

NASHUA – The continued lack of housing and rising costs were at the forefront for Mayor James Donchess during his recent town hall meeting with Ward 9 residents.

“We definitely have a housing crunch, the rents have gone up dramatically,” he said during the June 9 meeting. “The costs are double what they were 10 years ago.”

So as not to disturb the character of Nashua’s neighborhoods, Donchess said downtown sites are being looked at for residential development.

He said 150 housing units have gone in behind Martha’s Exchange as well as 50 units at 249 Main St. Another 300 units are planned for the NIMCO site, 20 percent of them would be affordable housing. The city is also considering proposals to convert Elm Street Middle School into a housing complex.

Despite these accomplishments, Donchess said the city’s housing stock is still short by thousands of units. In addition to downtown, he said housing is needed in the city’s South End and along the Amherst Street corridor.

“The demand is still there and prices keep going up,” he said.

Donchess also spoke about converting Daniel Webster College into housing.

“By and large, it just sits there,” he said of the defunct campus which closed in 2017.

However, acquiring the property would be no easy task.

Since 2018, the school has been owned by Sui Liu of Xinhua Education Consulting Services, who purchased the property and its buildings for $12 million in a bankruptcy auction.

“I think he’d like to sell it for $20 million,” said Donchess.

He also called attention to the Dow Chemical site on Daniel Webster Highway. However, Donchess said there is currently a deed restriction preventing any residential development on the 41-acre parcel.

Kealy Farms was another parcel taken under consideration. Yet, Donchess said the property owner will not sell the land to the city.

“The owner, Mr. Gordon, doesn’t want to do that,” said Donchess. “He wants to park Amazon trucks there.”

In other news, Donchess dispelled rumors that Pennichuck Water was being sold to a company in China. He said a Chinese company had expressed an interest in purchasing water from Pennichuck; however, those discussions have since ended.

He also said it is highly unlikely that the Board of Aldermen would have approved such a purchase.

“Pennichuck Water is owned by the city, 100 percent,” said Donchess.

In addition, the mayor said the city’s tax to Hillsborough County is currently expected to reach $16 million, an increase of $3 million over prior years. Donchess also said Manchester is also in a similar position. Therefore, he and Manchester Mayor Jay Ruais are working with state officials to reduce the county tax rate.