Governor Jennifer M. Granholm today announced plans for four major brownfield redevelopment projects in Wayne, Eaton and Ingham counties that are expected to involve $20.6 million in new investment and create up to 382 new jobs. The projects will benefit from assistance provided by the Michigan Economic Development Corporation and the Michigan State Housing Development Authority. They will transform underutilized or vacant properties into new centers of residential living and/or commerce.
A state tax credit worth $750,000 will be used by developer Ilitch Holdings to rehabilitate the 10-story Detroit Life Building at Park Avenue and Columbia Street in Detroit southeast of the Fox Theatre, part of the ongoing entertainment district development. The 40,000-square-foot structure, dating from 1922, has stood empty for 30 years. Redevelopment will restore the exterior and lobby to their original condition, including window replacement. The first floor will be renovated for retail/commercial use while the upper nine floors will be converted to office space. The project is expected to involve $7.5 million in investment and create 250 jobs. The city of Detroit is considering a tax abatement in support of the project.
Highland Park, a state tax credit of $527,000 will be used by developer Michael Curis of Curis Enterprises to develop the new Woodward Place on Woodward Avenue, formerly occupied by a Sears Roebuck store razed in 2002. The project entails cleanup of the 3.97-acre site and construction of a 40,000-square-foot shopping center anchored by Aldi Foods. Tenants may include a bank, pizza shop, retail stores, restaurant and police mini-station. The development will be enhanced by extensive landscaping, wrought iron fence and flag plaza.The project is expected to involve $7.45 million in investment and create 120 jobs.
A tax credit of $80,000 will be used by Kingston PlaceEaton RapidsThe project is expected to involve $4.3 million in investment and create two jobs.
Cleanup and build out of 3,000 square feet of contaminated space in a 13,000-square-foot former industrial property in the Old Town area of north Lansing
Michigan brownfield programs provide incentives to invest in property that has been used for industrial, commercial or residential purposes and to keep that property in productive use or return it to a productive use. Brownfield incentives can be used for functionally obsolete, blighted, or contaminated property.
"Over the past years, MSHDA and MEDC have developed a very effective working relationship, and we are proud to collaborate with MEDC on these brownfield redevelopment projects," MSHDA Executive Director Michael DeVos said. "This partnership goes a long way in not only helping revitalize traditional downtowns, but also in making our downtowns a more desirable place to live, work and invest."
MSHDA is a quasi-state agency that provides financial and technical assistance through public and private partnerships to create and preserve safe and decent affordable housing, engage in community economic development activities, and address homeless issues. MSHDA's loans and operating expenses are financed through the sale of tax-exempt and taxable bonds and notes to private investors, not from state tax revenues. For more information on MSHDA programs and initiatives, visit the Web site at www.michigan.gov/mshda.
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