February 2025 Newsletter

HOUSING READY DIRECTOR UPDATE

Contact Lindsey
231-753-6102 or lindsey@gdplacemaking.com

HOUSING NORTH UPDATE

Michigan to Invest in Workforce Housing Through New Employer-Assisted Housing Fund

Unveiled at the Northern Michigan Policy Conference, Governor Gretchen Whitmer announced that the State of Michigan will soon launch the Employer-Assisted Housing Fund, a new matching fund to boost businesses investing and partnering to address the workforce housing shortage in the state.

Michigan State Housing Development Authority (MSHDA) will administer the new $10 million Employer-Assisted Housing Fund, supported by this year’s state budget appropriations.

Applications will be reviewed on a first-come, first-served basis. Eligible uses include construction projects, as well as innovative programmatic approaches to housing opportunity such as down payment assistance.

MSHDA will begin accepting applications on Monday, February 24 at 9:00 a.m.

Prior to that date, guidance will be provided on the Employer-Assisted Housing page on MSHDA’s website.

Election of Executive Committee Officers for 2025 and a new board member.

The Housing North Board of Directors voted unanimously to continue the Executive Committee officers in their leadership roles for the next year:

• President Josh Mills (Superintendent, City of Frankfort) representing Benzie County

• Vice President Sarah VanHorn (Charlevoix Area Chamber of Commerce President) representing Charlevoix County

• Treasurer Janet Koch (Antrim County Deputy Administrator) representing Antrim County

• Secretary Sharon Oriel (Leelanau County Housing Action Committee) representing Leelanau County

The Board also welcomed Ellen Shapiro as a new At- Large board member. Ellen is a senior manager at Highstreet Insurance Partners and a resident of Grand Traverse County.

Regional Housing Partnership (RHP) Annual Gathering

Housing North hosted Region D’s Annual Partnership Gathering on January 9, 2025, at West Shore Bank in Traverse City. The meeting was an opportunity for the housing community to connect, collaborate, and report on regional housing solutions, gather feedback on

Region D's Regional Housing Plan, and discuss implementation for 2025.

You can review key RHP documents here. The file includes all RHP plan-related information and is a resource for the process, background, and other information on the plan. To stay up to date on all things RHP, contact shelly@housingnorth.org to get on the email list

Housing Readiness Grants:

Funding is still available through MSHDA for Housing Readiness Incentive Grants. Any cities, villages, and/or townships that want to make master plan or zoning updates to encourage increasing housing supply and affordability should apply. More information can be found here.

Local Workshops share information and tools:

• A “Let’s Talk About Housing” workshop in Leelanau County on January 8th focused on evaluating housing standards, strategies and ordinances.

• The Manistee Housing TIF Workshop on January 8th discussed the benefits of HTIF and its potential to support housing.

Petoskey Creates a Neighborhood Enterprise Zone

In August 2024, The Petoskey City Council passed a Resolution of Intent to begin the process of creating a Neighborhood Enterprise Zone (NEZ). The proposed NEZ would comprise portions of City wards 2, 3, and 4, totaling 547 acres, and including 1098 parcels. That resolution triggered a 60-day waiting period before Council could officially adopt a NEZ.  The City Council formally approved a resolution establishing the proposed NEZ at its meeting on December 2, 2024.  The specific wording of the resolution can be found in the minutes of the December 2 City Council meeting on the City’s website at https://www.petoskey.us/government/city_council/agendas___minutes.php 

An NEZ can reduce property taxes for up to 15 years for projects that promote housing rehabilitation and neighborhood revitalization. Eligible projects include: (1) rehabilitation of existing residential structures consisting of 1-8 units valued at $80,000 or less per unit; (2) new structures consisting of one or two units, one of which will be owner-occupied as a principal residence; (3) rented or leased units; and (4) mixed-use buildings that contain retail space on street level.

Comprehensive Revision of Petoskey’s Zoning Ordinance Underway

As in Harbor Springs, the Petoskey Planning Commission is undertaking a review of the City’s Zoning Ordinance with a view to making a comprehensive update and revision.  The Planning Commission concluded that using the current code as the basis for the new code is impractical: the current zoning ordinance has fragmented provisions spread over 130+ pages and was first adopted in 1974 under the provisions of an earlier State zoning act, not the current Michigan Zoning Enabling Act (MZEA).  The Planning Commission is approaching this rewrite by taking specific articles of the zoning ordinance in groups over time.  Four of these – site plan reviews, zoning board of appeals, overlay standards, and land development options - have already been discussed, while others are currently on the agenda or planned for later this year.  A presentation on this process was made by the Planning Commission to City Council on January 6, 2025, and can be found on the Planning Commission’s website, https://petoskeyzoning.org/

n December 2024, the Little Traverse Bay Housing Partnership Leadership Team signed a letter of support for InvestMitt’s grant application to the State’s Office of Rural Prosperity to fund a project titled “Launching the InvestMitt Community Fund in Northern Michigan”. InvestMitt is a 501(c)(3) investment cooperative based in Emmet County that focuses on local real estate investment. InvestMitt has partnered with the National Coalition for Community Capital (NC3) to create funds designed to allow people to invest directly in local housing and other economic opportunities. The grant would allow InvestMitt to launch an initial public offering to raise investments for the Fund from a wide range of community members. For more information about InvestMitt, contact Derek Shiels at d.r.shiels@gmail.com .

Harbor Springs: Back to the Drawing Board

In November 2024, voters in Harbor Springs approved a ballot measure repealing the comprehensive new zoning ordinance that had been adopted by the City Council earlier in the year.  Harbor Springs is now operating under its old zoning ordinance until a new revision is approved.  To that end, the Harbor Springs Planning Commission has re-launched the revision effort with an emphasis on increasing public engagement in the process. 

At its meeting on January 9, the Planning Commission decided to hold a series of open public meetings from January through March dedicated to reviewing possible zoning changes.  In addition to their regular meetings,  Planning Commission members will host a series of informal town halls and open houses about zoning at a variety of times and venues around town to encourage more public participation. The idea is to provide multiple opportunities for the public to learn about zoning concepts and options and for voters and property owners to express their opinions about what should be included this time around.  For a schedule of the various meetings and locations, go to https://www.cityofharborsprings.com/government/planning-commission/. 

Recent Harbor Light newspaper articles provide excellent reporting on the proposed process and summaries of discussions at Planning Commission meetings.  Planning Commission meetings are also recorded and archived on the City of Harbor Springs’s You-Tube channel, and all meeting agendas, public input sessions, and meeting minutes can be found on the City’s website at https://www.cityofharborsprings.com/.  To stay up to date with the conversation,  sign up for email notices of all city meetings at https://www.cityofharborsprings.com/government/meetings-at-city-hall/#cc-meetings-form-container. 

The story of prefabricated housing in the US begins in 1908 with the Sears catalog “kit houses” where everything you needed from blueprints to nails was shipped to a site for you or a contractor to put together (see www.SearsHouses.com).

After more than one hundred years and improvements in building technologies later, prefab houses are now built using streamlined construction processes, inside climate-controlled facilities, and are delivered to a home site where final set-up details take place before moving-in day. Modern prefabs come in in multiple configurations at multiple price points and look much like traditional site-built homes. But they are still cheaper (by 30% or more), faster to build (in weeks rather than months), and almost as customizable as traditionally built houses. They are also still marketed in colorful catalogs and now in online photo galleries.

Given the high cost of traditional “stick-built” wood frame on-site building methods, potential homeowners and builders are turning to prefabricated housing (built in a factory; assembled on-site) as an attractive alternative. (Note that the April 2024 edition of the LTBHP Newsletter incorrectly described Meadowlands housing as "manufactured"; Meadowlands housing is "modular.")

Prefabricated houses come in three types: Mobile, Manufactured, and Modular. All three types are built all or in parts in a factory setting and delivered to a site for assembly. The differences are in the type of foundation, relevant building and zoning codes, the degree of customization, types of financing, and value over time. To reduce the cost, some prefab developments rent or sell houses to residents but retain ownership or right of first refusal for the property.

As previously reported in this Newsletter, the Village of Mackinaw City is interested in attracting more residential development. To move the effort forward, the Village Manager Dean Martin recently issued the following RFP:

“The Village of Mackinaw City is pleased to share that two sets of property are available for bid in the Village. The first is a set of 2 adjacent parcels, located directly next to the Mackinaw City Public School, and walking distance to the Recreation Center, Library, and public lake access. This collection of parcels is ~4 acres in size, and is zoned for residential uses, including single-family, two-family, three-family, and four-family dwelling structures. A development of greater density could be proposed utilizing Planned Unit Development zoning. The second set of property is a single parcel adjacent to the first. This could be included in one proposal with the other or proposed individually for a single structure.

You are receiving this notification because you have either developed in Mackinaw City before, expressed interest in developing in Mackinaw City, or have produced developments that could be a "good fit" for this area, in alignment with the community vision for the site. A competitive proposal for the properties will include a price for the land, financing information displaying available funds, pre-approval letters from lenders, other pro forma to display the capacity of development, a proposed conceptual site plan, a proposed construction timeline, and your listed development experience. Proposals should be mailed in a sealed envelope clearly marked "Residential Property (#1 or #2) Sealed Bid", sent to:

Lana Jaggi, Mackinaw City Clerk
PO Box 580
Mackinaw City, MI 49701

The Village will publicly open these bids February 24th, 2025, at 9am. The Village Council will consider the submitted bids in March and may elect to accept a bid. Receiving this email does not provide any benefit to bid scoring; this serves merely to inform you of the opportunity.”

The links to the RFPs are

RFP - Residential Property #1 (4 acres)

RFP - Residential Property #2 (single lot)

If you have any questions about this opportunity, please don't hesitate to contact me. We will eagerly await the bid opening and hope to see a proposal from you! “

Dean Martin, Village Manager/Interim CDD & Zoning
p: 231-420-0321
e: dmartin@mackinawcity.org
a: 102 S. Huron Ave. Mackinaw City, MI 49701

Current Housing Projects in Emmet County

Photo from claytonhomes.com

Housing North, Northwest Michigan’s Rural Housing Partnership, serves ten counties in the region by building awareness, influencing policy, and expanding capacity so communities can create housing solutions

Mobile homes.  Popular after World War II to meet housing demand, the original mobile homes looked like trailers or campers and could easily be relocated. The National Mobile Home Construction and Safety Act of 1974 and the subsequent HUD Manufactured Home Construction and Safety Standards released in 1976 were a turning point.   Today a “mobile home” means originally built prior to the 1976 HUD standards. Location depends on local zoning codes. Financing is different from a traditional home and depends on age, location, and foundation.  Many mobile homes have been upgraded in amenities and appearance but still are potentially portable.  Often residents own their home and rent the lot where it is located. 

Harbor Springs Estates, at 629 E Lake St, Harbor Springs, Mi 49740, and managed by Aspire Communities (www.aspire-communities.com) is a local example of a well-established mobile home community. Harbor Springs Estates has 77 lots for rent; occupants own their own homes.

Manufactured homes. Prefabricated houses built using the 1976 HUD standards are called manufactured homes.  They are built on a steel chassis and theoretically can be moved, although most units these days are set on a permanent foundation.  Modern manufactured homes offer multiple floor plans and design customization and end up looking much like a traditional home build but at lower cost.  Financing options vary from chattel loans, FHA Title 1 loans, to traditional mortgages.  As with any housing, local zoning codes matter.   

Pine Pond (www.pinepondhomes.com), located at 1600 Pond Circle, Petoskey, Mi, 49770, is a good local example of a manufactured home community.   Pine Pond plans to build 146 single family and duplex manufactured homes like the one pictured here.  Residents purchase or rent the house; Pine Pond owns the land.  (See Pine Pond ad below).   

The M’s are here to stay.  The Emmet County Building Department issued permits for 32 manufactured and 20 modular homes in 2023 (36% of residential permits) and 20 manufactured homes and 38 modular homes in 2024 (33%).  Bear Creek Township building permit numbers tell a similar story.  Some manufactured or modular homes are in the developments noted above; others are for private owners on their own property.  Hats off to those using old ideas in new ways to address the need for more affordable residential housing in our area.

The Lofts at Lumber Square
The Lofts at Lumber Square, a 60-unit apartment building under construction in downtown Petoskey, is taking shape in the Old Town Emmet neighborhood. The project is on track for completion by the end of 2025 and will provide homes for roughly 165 community members. 

The construction site has been quiet for several weeks while the contractor oversaw a detailed survey of the building after a standard quality inspection identified a few places where the framing needed adjustment.  That review has been completed successfully, and Wolverine Building expects to resume construction by the first week of February. 

The temporary pause has not delayed the overall project schedule, which remains on track for completion by the end of 2025. Individuals interested in leasing an apartment can expect an official waitlist to be created in late spring/early summer. Those interested should contact Northern Homes to be the first to know about leasing opportunities.

The Block
The Block is a 204-unit workforce housing complex on the site of the old Maple Block Company on Standish Street in Petoskey. 
Jeff Smoke, Managing Director and Principal for developer Great Lakes Capital, provided the following update: “We broke ground in the fall and currently have our underground infrastructure in place.  Despite the cold temps we have been able to get several foundations started and will be framing buildings in late February.  We are on track to deliver our first units for rent in the fall of 2025.”  

For more information, go to https://theblockatpetoskey.com/

Victories Square
The Odawa Economic Development Management Inc. (OEDMI), owned by the Little Traverse Bay Bands of Odawa Indians, is building 50 new apartment units in its Victories Square complex on U.S. 131 South in Petoskey. 

Plans for the five-story building include 33 one-bedroom units, 12 two-bedroom units, five studio units — with floor plans ranging from 640 to 1,052 square feet — and 1,200 square feet of lobby space, plus more than 2,800 square feet of community space with a fitness center and community rooms.

The goal is to be ready for residents by the end of the year. 

For rental information, contact KMG Prestige at 833-953-0760.

For photos galleries from local manufacturers, see
North Country Homes, Indian River, http://northcountryhomescorp.com/gallery.htm ;
Boyne Country Homes, Petoskey, https://www.boynecountryhomes.com/photos.php; or 
Bob’s Modern Homes, Gaylord,  https://www.bobsmodernhomes.com/ 

Modular homes.   Modular home components are built off-site, often as discrete units known as modules, and are assembled on-site on a permanent foundation following state building codes.   Modular homes are permanent, can be customized, and like modern manufactured homes, look much like a traditionally built home but cost a lot less.  Financing options and value-over-time trends are also like traditionally built homes.

For a local example of modular homes, visit the NW Michigan Habitat for Humanity’s Meadowlands development in Alanson, Mi.  (See ad below).  Habitat has been raising funds to build 32 modular homes at Meadowlands.  An excellent video about the Meadowlands Development illustrates the modular building process (Link to Video).  To keep home ownership costs down over time, residents purchase the house and the land, but Habitat has the right of first refusal when they decide to sell. 

  Photo from aspire.communities.com

*Phase:

Predevelopment:
In the site plan and construction approval process.

Funding:
Identifying (usually multiple) funding sources.

Building:
Construction is underway

For more information about a particular project, contact Lindsey Dotson at lindsey@gdplacemaking.com. The table will be updated regularly on the LTBHP website at www.ltbhp.org.

THANK YOU CARLIN SMITH!

Carlin Smith, a tireless housing advocate and champion in Emmet County and the northwest Michigan region, stepped down from his leadership roles in both the Little Traverse Bay Housing Partnership and Housing North at the end of 2024.  A founding member of both organizations, Carlin’s enthusiasm and optimism helped raise awareness about regional housing needs, educate the community about solutions, champion policy changes, and support housing developments that are making all the difference.

Carlin served as President of the Petoskey Regional Chamber of Commerce (PRCC) from 2003-2019, where he was affectionately known as “Mr. Petoskey.” In 2017, concerned that workforce shortages posed serious challenges to the Petoskey area’s continued vitality, Carlin organized a committee of the PRCC Board to examine causes and solutions. The committee identified the absence of affordable workforce housing as the biggest economic constraint faced by our region. Always looking for solutions, he then joined a small group that included Mary Catherine Hannah, Rachel Smolinski (at the time, Executive Director of Harbor Inc.), and Scott Smith, that led to the creation of the Little Traverse Bay Housing Partnership (LTBHP) to catalyze our community’s efforts to address the housing challenge.

Carlin built on his leadership role in the LTBHP by becoming a founding member of the Board of Directors of Housing North when that regional organization was created in 2018.  He continued his housing advocacy when he joined Consumers Energy as Community Affairs Manager Northern Michigan in 2019, serving on Housing North’s Board until the end of 2024, including two years as Board President in 2022 and 2023. 

His strong guidance and leadership contributed to Housing North becoming an established and respected voice and resource for housing issues in our region. In recognition of his contributions and celebrated as “one of our region’s most dedicated housing advocates,” Carlin received Housing North’s Housing Dedication Award at the regional housing summit last October.

The shortage of affordable housing is a challenge across the United States.  As Carlin often observed, it is the communities that find solutions that will thrive.  Carlin has dedicated tremendous energy to making sure the Little Traverse Bay area is one of those places.   As he steps back from his leadership role in the Partnership, we want to echo the comments of Josh Mills, Housing North’s current Board President, and thank Carlin for his long-time “commitment toward building a better community, ensuring that we provide a place where families of all income levels can find homes that are safe and affordable.” 

As I complete my first six months on the job, I am excited about the future of housing in Emmet County. Everyone I have met so far has been eager to tackle the challenges facing our communities in the best way possible, and I feel honored to play a small role in these efforts.

Since assuming the Housing Ready position last August, I have met with community leaders and stakeholders, attended public meetings, addressed inquiries from prospective developers, driven extensively around the area, and gained a better understanding of the community. There are still many people I have yet to meet, but I look forward to making more connections and assisting all of you in the important work of finding suitable and diverse housing solutions across our region.

If we haven't met yet, please don’t hesitate to reach out. I would love to talk!