LANSING—Projects that will support growth and economic recovery in Detroit and Traverse City have received support from the Michigan Strategic Fund, the Michigan Economic Development Corp. announced. The projects are expected to generate a total capital investment of $35.7 million, bringing new vitality and much-needed housing to critical neighborhoods in those communities.
MSF also approved rules for the new State Historic Tax Program – initiating the administrative rulemaking process, which will include public input. When finalized, these credits will help support place-based projects while promoting the preservation of Michigan’s historic resources in communities throughout every county of the state.
The MSF approved a $1.25 million Michigan Community Revitalization Program performance-based loan to support a $10.4 million project called 7303 West McNichols LLC, a new mixed-use building between Prairie and Monica Streets in the Bagley Fitzgerald neighborhood of Detroit, consisting of commercial space on the first floor and 38 affordable residential units on the top two floors, with a shared outdoor roof deck that will be available to all residents. The project will include sidewalk improvements along McNichols Road with plans to demolish three vacant structures currently on the site.
The Detroit Brownfield Redevelopment Authority also received MSF approval of $228,537 in state tax capture for the reimbursement of brownfield alleviation activities. The city of Detroit is supporting the project through the approval of the local portion of the Brownfield TIF valued at $295,755, an anticipated property tax abatement valued at $119,235 and an anticipated Neighborhood Enterprise Zone tax abatement valued at $727,416.
In Traverse City, a four-story mixed use development at 309 W. Front St. received a $2.9 million Michigan Community Revitalization Program loan participation. The $25.3 million project will see construction of a four-story mixed-use development by GLC Northern Michigan Pine LLC. The building will contain up to 91 units of mixed-income residential rental housing and underground parking, with commercial space on the first floor. The project will also include more than 3,000 feet of new public boardwalk along the Boardman River that will provide a visual as well as public connection to the existing waterfront access along the river.
Traverse City is supporting the project with approval of the local portion of an existing brownfield work plan valued at $243,700 and a Downtown Development Authority contribution of $3.5 million to support the creation of public sidewalk systems, streetscape, front street bridge repair, buried power lines and the long-term creation of a new public parking deck. The city of Traverse City is certified with MEDC’s RRC program.
The MSF board today also approved the draft rules for the new State Historic Tax Credit Program, as signed into law by Gov. Gretchen Whitmer Dec. 30, 2020. This new program will be administered by the State Historic Preservation Office at MEDC and will help support place-based projects while promoting the preservation of Michigan’s historic resources in communities throughout every county of the state.
The approved rules will allow the SHPO team to continue to consult with stakeholder groups and others throughout state government as part of its overall administrative rulemaking process, with the goal of this program being ready to administer by the beginning of 2022. Learn more at www.miplace.org/historic-preservation/programs-and-services/historic-preservation-tax-credits/.