Tuesday, December 19, 2006
Projects Spur $104 Million in New Investment
Governor Jennifer M. Granholm today announced three brownfield redevelopment projects in Benton Harbor, Grand Rapids and Kalamazoo that will create as many as 150 new jobs and involve more than $104 million in private investment. The redevelopments will benefit from assistance provided by the Michigan Economic Development Corporation and the Michigan State Housing Development Authority.
The redevelopment projects announced today:
- Harbor Shores Community Redevelopment Inc. -A $9.2 million Brownfield SBT credit will be used to construct a hotel/water park and new housing in Benton Harbor as part of the Harbor Shores project. Existing buildings will be demolished and environmental contamination will be addressed to make way for the 90,000-square-foot hotel/water park and 102 single-family and residential town homes. This portion of the project is expected to generate approximately $100 million in capital investment and create 118 new jobs. In October, state and local tax capture of $95.3 million was approved for the Harbor Shores project, which will also include a golf course and other commercial/retail and recreational opportunities. The overall project is expected to generate more than $500 million in private investment and create 2,000 new jobs in the Benton Harbor/St. Joseph area when completed.
- City of Grand Rapids- State and local tax capture valued at $406,200 will help BSG Group LLC demolish an obsolete building located at 818 Butterworth St. and construct new corporate offices, a production center and retail showroom to be used by BSG Group and Eastern Floral. The developer will invest $2 million in the project, with is expected to create up to 12 new jobs.
- City of Kalamazoo -
The redevelopments are among 12 economic development projects the Governor announced today. In all, they are expected to create a total of 2,317 Michigan jobs. 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.
The Michigan Economic Development Corporation, a partnership between the state and local communities, promotes smart economic growth by developing strategies and providing services to create and retain good jobs and a high quality of life.
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.
# # #