LANSING — The Michigan Economic Development Corp. announced Michigan Strategic Fund approval of four business expansions, and seven community revitalization projects in Southeast and West Michigan that will generate $97.4 million in private investment and create 568 jobs.
“From manufacturing to IT to incubator space for entrepreneurs, these 11 projects will further revitalize our communities, and bring new jobs to our residents,” says Michigan Economic Development Corp. president and CEO, Michael A. Finney. “These new investments show Michigan’s highly competitive business climate, and talented workforce mean real opportunities for growing companies.”
The Michigan Strategic Fund approved incentives for the following projects:
Michigan Business Development Program:
- CDK Global Inc. — a provider of integrated information technology, and digital marketing and advertising solutions to the automotive industry, with clients in over 100 countries — was awarded $1 million to expand its presence in downtown Detroit, and lease additional space to provide advanced digital marketing insights and services for its clients in the automotive industry. The project will generate a total capital investment of nearly $3.6 million, and add 100 jobs in data processing, hosting, and related services.
- Harman International Industries, Harman Becker Automotive Systems Inc., — a manufacturer of audio and infotainment systems for the consumer, professional, and automotive markets — operates out of seven facilities in the cities of Novi and Farmington Hills with no room to expand in its current footprint. The company was awarded $800,000 to consolidate six of its operations, and build a state-of-the art complex in Novi, investing nearly $45 million, and creating 150 new jobs.
- Nexthermal Corp. delivers heat management solutions in the form of electric heaters, heater based assemblies, and engineering services worldwide. The company was awarded $250,000 to expand operations in Battle Creek, investing approximately $1.96 million and creating 50 new jobs.
- Sunrise Windows Ltd. — a leading manufacturer of custom-made replacement windows, sliding doors, and interior wood trim that provide energy efficiency — was awarded $350,000 to add manufacturing, office, and showroom space at its facility in Bedford Township, investing $5.1 million and creating 100 jobs.
Michigan Community Revitalization Program:
- 751 Griswold Detroit LLC plans to redevelop the former First State Bank Building into a historically renovated mixed-use building on property located at 751 Griswold Street in Detroit. The completed project will include restaurant space on the first and mezzanine levels, and traditional office and high-tech incubator space on the second through fourth floors.
- The project will generate a total capital investment of nearly $4.5 million, and create 70 full-time jobs, resulting in a $682,279 Michigan Community Revitalization Program performance-based grant. The City of Detroit is supporting the project with a 12-year Obsolete Property Rehabilitation Tax abatement valued at approximately $883,000.
- 1400 Wealthy LLC plans to construct two mixed-use, multi-story buildings on properties located at 1400 and 1415 Wealthy Streets in Grand Rapids. The finished project at 1400 Wealthy will consist of a three-story building with 19 market-rate apartments, and retail space on the ground floor. The site at 1415 Wealthy will include a four-story building with 16 residential units, and retail space, as well as, on-site parking.
- The project will generate a total capital investment of $5.5 million, and create two full-time jobs, resulting in an $800,000 Michigan Community Revitalization Program performance-based grant. In addition, the City of Grand Rapids Brownfield Redevelopment Authority will use local and school tax capture valued at $191,700 for demolition, site preparation and infrastructure improvements at the property.
- 5734 Woodward LLC plans to historically redevelop a three-story building located at 5734 Woodward Avenue in Detroit. The completed project will include retail space on the first floor, and residential units on the second and third floors. The façade of the building will be historically recreated to the original 1911 design, and the rear portion of the site will be cleared and repaired for parking for the residents and retail patrons.
- The project will generate a total capital investment of nearly $1.6 million and create 10 full-time jobs, resulting in a $240,625 Michigan Community Revitalization Program performance-based grant. The City of Detroit is offering support to the project with a Neighborhood Enterprise Zone tax abatement valued at $430,000.
- Artspace Projects Inc. plans to renovate two historic buildings, and one non-historic building on property located at 13615 Michigan Avenue in the Dearborn. The project will convert the current Dearborn City Hall campus into a mixed-use arts campus that will include 53 affordable live/work residential spaces targeted to artists. The development will also create a variety of commercial spaces including artist studios, corridor galleries, and a creative entrepreneurship center that will provide support services to the artists.
- The project is expected to generate a total capital investment of $15.8 million, and create four full-time jobs, resulting in a $1 million Michigan Community Revitalization Program performance-based grant. The City of Dearborn has approved $500,000 in HOME funds, a loan of up to $400,000 through the Downriver Community Conference Brownfield Consortium, and a 20-year Payment in Lieu of Taxes valued at $1.3 million. The project is also receiving federal historic tax credits, federal low-income housing tax credits, and grants from the Ford Foundation and Severstal International.
- West Fort Street Properties LLC and American Lightweight Materials Manufacturing Innovation Institute plan to redevelop a blighted and vacant building on property located at 1400 Rosa Parks Boulevard in the Corktown area of the Detroit into the new American Lightweight Materials Manufacturing Innovation Institute research facility. The project is expected to generate a total capital investment of nearly $4.4 million and create 30 jobs.
- As a result, the project has been awarded a $1 million Michigan Community Revitalization Program performance-based grant. The City of Detroit plans to provide $180,000 in Community Development Block Grant funds to the project. The project is also leveraging more than $140 million through federal funds, state funds and non-government sources.
Community Development Block Grant:
- Sturgis has been awarded $442,000 in Community Development Block Grant funds to be used toward job training for the Sturgis Molded Products expansion project. Sturgis Molded Products, a custom plastic injection molding company, is investing more than $3.3 million in the project, which will expand the company’s production capabilities, and create up to 50 new full-time jobs. The company has agreed that at least 26 of the jobs will be held by low to moderate income persons. The City of Sturgis will provide support to the project through property tax abatement valued at $343,000.
Brownfield Work Plan:
- Detroit Brownfield Redevelopment Authority will use local and state tax capture valued at $346,180 to historically redevelop the four-story building located at 711 W. Alexandrine in Detroit. The building will be converted into 36 modern, market-rate residential units, and will include retail space in the garden level. The project will generate a total capital investment of nearly $6.8 million and create two jobs. Detroit is also supporting this project with an Obsolete Property Rehabilitation Act abatement valued at approximately $1.1 million.