In the heart of downtown Midland, Michigan, a transformative redevelopment is under construction that will significantly boost the city’s downtown revival.
The project site, which included five parcels, previously housed vacant, blighted storefronts. Roofs had caved in, and a large tree was growing out of the top of one of the buildings. These and other Brownfield issues, including asbestos in the buildings and petroleum-contaminated soils, had stymied several previous attempts to develop the site.
In the face of these monumental challenges, Shaheen Development has been able to pull off an extremely ambitious project. The $22.7 million building currently under construction will be five stories with heated underground parking and will boast 65,000 square feet of retail, office, and luxury condominiums.
So why has this redevelopment initiative succeeded where so many others failed? Two funding sources were key:
- A $4.8 million Michigan Community Revitalization Program (CRP) performance based loan, backed by brownfield tax increment revenue. Upon completion of the project, $1 million of the loan funding is forgivable.
- $8,404,740 in tax increment financing reimbursement to address brownfield conditions, including environmental activities, demolition, site preparation, and infrastructure improvements.
[Image credit: Three Rivers Corp.]