Urban Upheaval
  February 24, 2003
MiBiz Network
By Lori Peterson

According to Second Story President Sam Cummings, the Grand Rapids-Holland-Muskegon Metropoli-tan Statistical Area (MSA) has the "dubious distinction" of being the fifth most sprawling region in the U.S.

"We subsidize that sprawl by paying for unsustainable infrastructure through our taxes, and then we have to double down and offer government tax incentives and grants to rejuvenate our urban cores as a result of that subsidy," he said. "It's a shame that we have to do those things to keep our urban centers vital."

Curbing sprawl is only one reason why area developers, architects and economic development leaders are working urban redevelopment into their agendas. Susan Shannon, business advocate with the city of Grand Rapids told MiBiz that urban redevelopment is crucial to the region's economy.

"It's very important to reutilize buildings that have become obsolete or contaminated, and it's also a top priority of the city commission. Economic vitality is our goal, and urban redevelopment is part and parcel with drawing and retaining businesses and jobs," she said.

Cathy Brubaker-Clarke, director of community and economic development with the city of Muskegon, echoed that statement. "The urban areas need to be the center of the entire city and the county too," she told MiBiz. "They're the focus of entertainment, government and retail operations, and we don't have a lot of vacant property. Growth depends on redevelopment."

Muskegon Area First President Todd Battle said the case for revitalization extends beyond the urban center. He said that while significant resources have been committed to improving Muskegon's downtown, it's important not to forget suburban areas that may need attention. Phil Meyer, planning and development manager with the city of Holland, said that diversity is a redevelopment goal for that city.

"We've encouraged a real diversity in our downtown in terms of land use. I think we are working on bolstering some sectors that are weaker because of the economy, but essentially we're looking for a well-balanced downtown," Meyer said.

More residential space downtown is a key theme among economic developers.

"We need to have the downtown viable 24 hours a day, and the only way you can get that is if you actually have people living there," said Brubaker-Clarke. Holland Assistant City Manager Greg Robinson said additional residential, retail and office space, along with green spaces, is important for Holland. Grand Rapids is targeting downtown residential as well.

"We just added the former Steketees store into our Ren Zone with an agreement that the developers will convert it to loft housing, a women's health center and retail space," she said. "Another big goal is to utilize the activity from the Van Andel Research Institute to attract biotech industries to the downtown. Because we don't have a lot of sites available, that's going to take some urban redevelopment."

Urban redevelopment can even bolster neighborhoods, said Rick Chapla, redevelopment specialist with The Right Place in Grand Rapids. "We're examining ways we can use economic development tools to stimulate new private sector investment in our neighborhood business districts, because many of these areas still contain family-owned, smaller establishments that are competing with the Home Depots of the world, and that competition is fierce," he said.
Area economic development personnel are in unanimous agreement - Renaissance Zones, brownfield incentives and SmartZones help keep historic structures and properties alive.

"Our Renaissance Zone program identified 800 properties that were vacant or underutilized in Grand Rapids, and since its inception in 1997 we've had almost $200 million of investment and about 1,127 new jobs created," said Shannon. "That investment and new life into buildings all over town has spun off into other new investments in adjacent areas."

Holland has a relatively new brownfield program, but already the benefits are visible, said Meyer. "We have three projects so far that have qualified for brownfields and one is a downtown residential project," he said. "If we can continue to use those tools in both those projects and others it's going to be a real boost."

Many construction firms and architectural firms share a passion for revitalizing the urban cores of West Michigan.

"We're very interested in historic preservation. A lot of the urban cores have an incredible fabric of historically significant buildings that for a long time were just decaying," said Cornerstone Architects President Tom Nemitz.

Grand Rapids architectural firm Design Plus created its office out of an abandoned train depot on the south side of downtown. "We wanted to be able to apply our architectural talent to a major renovation project," said Principal John Weiss. He told MiBiz that one of the biggest challenges Design One faces is convincing people that a renovation project can provide as excellent a result as a new building.

"It takes vision to do renovation because you're starting with something that's often worse than if you started with nothing. It's often easier to envision the lot with the building gone than to try and save the building, but you lose the character of the community when you start to do that."

Regulatory processes, infrastructure, zoning and building codes are sometimes obstacles to redevelopment. Rockford Construction Co. President John Wheeler cited structural difficulties and code compliance as top issues for his firm.

"You never really know what the building has until you gut it," he said. "It's also tough to convince local and state authorities that they have to be more flexible with code issues. We never compromise fire, life safety or ADA requirements, but we do ask for leniency in regards to separation codes, floor use codes and mixed use codes. Those things need to be more flexible and we need to educate our public officials that it's better to reuse the buildings than let them sit empty," he told MiBiz.

"Some officials have become more comfortable with urban redevelopment, but it's still difficult to take a century-plus-year-old structure and fit it into the mold of a code that's designed around new construction," said Second Story's Cummings.

The Westwood Group Chairman and CEO Mike Bowen said the greatest challenge for his firm is "the unknowns."

"You really have to go to great lengths in your due diligence and your investigation so you can get a handle on what condition the project is really in and what you're going to find when you start tearing off walls," he said. "There's always going to be some surprises, but you can make sure there won't be any really big ones."

Despite the obstacles, West Michigan architects, construction firms and economic development personnel see invaluable benefits to redeveloping urban properties. "The urban core is so important to area communities. We need to use the investments we've already made as opposed to throwing them away and rebuilding. It's instrumental in developing city culture," said Cummings.

"Redevelopment is one of our core strategies," said Bowen. "The investment yield is very attractive, and I don't care what anybody says, profitability is important. But it also ropes into the equation a whole lot of other factors like improving the community and taking assets that are very challenged and giving them new life, which is a lot of fun."

"Reusing buildings that are structurally sound and have a character that is indicative of our community and its history has provided a character and an ambiance that makes us unique compared to other shopping areas," said Holland's Robinson. "Our downtown continues to evolve, and I think the job will never be done. Retail areas are always fragile, whether they are malls or downtown shopping areas, and they need constant attention. We've made substantial progress made over the last 15 years and I think some of the plans in the works now bode well for the community over the next five years or so."

Battle offered a similarly optimistic outlook for Muskegon.

"We've made a tremendous amount of progress. I don't think we're anywhere near done, just because of the size and scope of what our downtown waterfront has to offer, but we're making great progress and we're in the midst of many redevelopment projects," he said.

Chapla said that while urban redevelopment in Grand Rapids will never really be finished, its important to keep working on projects that will sustain the area for years to come.

"One of the ways that I intend to measure our success is the day the last surface parking lot disappears and is replaced with either a multi-use structure or a new building is the day that you can say our agenda has been accomplished," he said. "Then, of course, we'll start all over again."

COPYRIGHT 2003. MIBIZ NETWORK.
ALL RIGHTS RESERVED.
This article appeared in the February 24, 2003 issue of MiBiz, read by upper management executives in West and Southwest Michigan. Print subscriptions are free to qualified individuals who do business in West and Southwest Michigan. For further information about MiBiz Network, visit www.mibiz.com
 
Printable version

“On August 11, 2001, we celebrated 50 years in Western Michigan. You don’t do that without excellent relationships with everybody.”

Mike Pepper,
General Manager
Howmet Corporation
an Alcoa Business
 
Hot Topics | About MAF | Contact Us | Site Map | Other Links