LANSING, Mich: Recently, Governor Gretchen Whitmer announced two redevelopment projects receiving support from the bipartisan Revitalization and Placemaking (RAP) program, creating a mixed-use development and a boutique hotel in Manistee and Fennville, respectively. Together, the projects will generate a total capital investment of over $9.9 million in the state while activating vacant properties and creating residential density in the communities.
The RAP program provides access to gap financing for place-based infrastructure development and real estate rehabilitation and development.
“Across Michigan, we are building affordable housing, revitalizing communities, and investing in people, places, and projects,” said Governor Whitmer. “Today’s announcement will build on that progress, create good-paying jobs, and revitalize vacant properties in Manistee and Fennville. Let’s keep working together to make Michigan the best place to live, work, and play.”
“Michigan communities bring so much to the table,” said Lt. Governor Garlin Gilchrist II. “Today’s projects in Manistee and Fennville build on our commitment to create vibrant and attractive places where every Michigander can succeed and reach their full potential. Let’s keep working together to make Michigan communities a place of opportunity and growth.”
“We are pleased to work with communities across Michigan and invest in their resilience through the RAP program as part of our placemaking efforts in support of the state’s ‘Make It in Michigan’ economic development strategy,” said the MEDC’s SVP of Community Planning and Development Michele Wildman. “We look forward to seeing how these projects increase housing and travel options while enhancing the downtown areas of Manistee and Fennville.”
In the City of Manistee, a former hotel will be redeveloped into a new, two-story building that will add 15 residential units and 3,685 square feet of commercial space. Constructed in the 1880s and the former site of Hotel Northern, the property is located within the city’s DDA and historical district at 141 North Washington Street.
Supported by $1,497,091 in RAP grant funding, the redevelopment project will bring a total anticipated capital investment of $5,197,787. The redevelopment team, led by Kevin Schaeffer of Clover Real Estate, LLC has teamed up with Tri-Terra for environmental services, Driven Design for architectural/engineering services and Kincaid Building Group for construction management and development services support; each group has successful historic mixed-use redevelopments in their portfolios.
As a Certified Redevelopment Ready Community (RRC) since 2017, the City of Manistee is focused on adding residential density and vibrancy to its community through redevelopment projects; this project is a priority redevelopment site through the city’s RRC status. When complete, the project will address housing needs in the community and add walkability to the downtown.
“I’m incredibly excited to see The Old Northern come back to life as a vibrant mixed-use space that honors its past while serving the needs of today’s community,” said developer Kevin Schaeffer. “This project wouldn’t be possible without the unwavering support of our partners, local leaders, and every individual who believed in our vision. I’m truly grateful to everyone who helped bring this dream to reality.”
“The redevelopment of the Hotel Northern site marks a major step forward for Manistee,” said City Manager Bill Gambill. “This exciting mixed-use project will serve as a strong anchor on the north end of the City’s Downtown District in addition to expanding housing options in the City. The City of Manistee greatly appreciates the support of the MEDC’s Redevelopment Ready Communities program and the commitment of the developer in bringing new life to a building that sat vacant for many years.”
“First, I would like to thank the Michigan Economic Development Corporation for their continued dedication to supporting projects with high potential and significant local impact throughout Michigan,” said Sen. Jon Bumstead (R-32nd District). “I also would like to congratulate Kevin Schaeffer and his team on receiving this Revitalization and Placemaking grant award, and to thank them for their important investment in Manistee. I look forward to watching the project progress and to seeing the building transform into a true asset for the community.”
In Downtown Fennville, a vacant former hotel property located at 312 E. Main Street will be redeveloped into a 12,366-square-foot, two-story boutique hotel with 11 units, a restaurant and an entertainment space on the lower level. The new hotel will accommodate the growing agritourism sector in Fennville – home to local businesses such as Virtue Cider, Palazzolo’s Artisan and Crane Orchards – and meet the needs of visitors looking to stay in the community while supporting downtown merchants.
The revitalization efforts are expected to result in $4,781,260 in capital investment with the support of a $999,964 RAP grant. Developer Dori DePree has 40 years of real estate ownership and management experience.
“We are thrilled to be working with the MEDC to restore Fennville’s iconic historic hotel and bar/restaurant,” said developer Dori DePree. “The regeneration project will provide new jobs and tourism, boosting the local economy and helping to support Fennville as a premier West Michigan destination.”
This RAP grant builds on other recent placemaking efforts in Fennville supported by the MEDC. A crowdfunding campaign through the Public Spaces Community Places program will help transform a vacant lot in Fennville’s downtown into City Square Park. The new park will include an amphitheater, splash pad and outdoor fireplace, thanks in part to a $50,000 matching grant from the MEDC.
Since its launch in 2022, the Revitalization and Placemaking program has supported 236 total projects in communities across the state.