Monday, July 19, 2004
Paul Krepps, MEDC
Tax Credits to Facilitate Commercial Office, Housing and Retail Opportunities
Governor Jennifer M. Granholm announced today that Single Business Tax (SBT) credits offered through the Michigan Economic Development Corporation (MEDC) will help turn three presently blighted, contaminated or otherwise unusable Lansing sites into productive developments, spurring more than $10.7 million in private investment and creating as many as 20 jobs for Michigan workers.
"Breathing new life into blighted properties is critical to continued economic development in our communities," Granholm said. "These distressed properties will be transformed into symbols of Lansing's race into the 21st century economy."
In her 2004 State of the state address, Governor Granholm announced a focused, seven-point plan for economic growth. So far this year, the Governor and the MEDC have announced the creation or retention of approximately 23,497 jobs as a result of targeted assistance provided by the MEDC, including support for brownfield redevelopment.
"Before Michigan implemented its award-winning brownfield redevelopment program, many of these properties would sit vacant for years because no one wanted to take on the expense and liability of redeveloping them," said MEDC President and CEO Don Jakeway. "The credits help remove barriers and clear the way toward making these sites profitable again."
Brownfield SBT credits valued at a total of more than $1 million were awarded to the following Lansing projects:
3500 South MLK, LLC will use a $250,000 credit to help redevelop the former Metro Ford auto dealership into an office, retail, warehouse and storage facility. The project is expected to spur more than $2.5 million in private investment and create approximately 10 new jobs. The city, in partnership with the Lansing Brownfield redevelopment authority, has agreed to support the redevelopment by capturing local taxes valued at approximately $284,820 to help prepare the property for redevelopment.
Prudden Place Partners will use a $654,750 credit to develop vacant, contaminated property directly adjacent to the former Prudden Motor Wheel manufacturing facility, creating new residential apartments. The project is expected to spur more than $6.5 million in private investment. The city has agreed to capture more than $1.1 million in taxes through its Brownfield Redevelopment Authority to clean up the property in preparation for redevelopment.