Owners of Former Speeds Automotive Hope to Convert Property into Apartments and Commercial Space | New

CADILLAC – Cadillac City Council will hear details of a plan on Monday to transform the former Speeds Automotive property at 423 N. Mitchell St. into a development similar to the Cadillac Lofts.

According to council documents, Lee Richards and Elizabeth Schnettner own and are redeveloping the former Speeds Automotive property and adjacent property into a mixed-use residential / commercial project.

The development is currently planned to have 14 apartments totaling 8,828 square feet and commercial / retail space totaling 5,000 square feet.

The estimated private investment in development is $ 2,994,532.

Because the income from rental income is not sufficient to cover the costs of rebuilding the building, in addition to the level of operating costs, the project will only be able to continue if the economic development tools and incentives available to the city ​​are used.

“This investment for the redevelopment of this property will bring residents to the city, creating economic activity for downtown businesses, providing commercial space and jobs for new businesses, providing much-needed new housing and potentially creating fallout from the redevelopment of adjacent properties. , providing significant long-term returns for the downtown core and the community, ”the council documents indicate.

To assist with the redevelopment, council will consider approving a brownfield tax increase funding plan and a local tax abatement under the Obsolete Property Rehabilitation Act.

According to council documents, the brownfield plan was prepared to facilitate development by reimbursing the costs of lead and asbestos abatement, demolition and infrastructure through the capture of increased taxes generated by the private investment. The costs of eligible activities are estimated at $ 386,036.

The project also includes an OPRA tax allowance which will freeze the value of the building for local taxes for 12 years but provide for the collection of state taxes to reimburse eligible brownfield activities. The OPRA was used for the redevelopment of the Cobbs-Mitchell building and is comparable to the Commercial Redevelopment Act and Commercial Rehabilitation Act rebates that were established and previously used on other projects in the city, say the officials. board documents.

In October, when Cadillac Lofts received a gold medal in the Real Estate Remodeling and Reuse category by the International Economic Development Council, Cadillac City Manager Marcus Peccia mentioned the Speeds Automotive building as an example of a type similar redevelopment project.

“This type of development doesn’t happen without all of these layers working together,” Peccia said at the time.

On Monday, council will vote to set the date for public hearings on brownfields and the OPRA for December 20.

Also on Monday, the council will hold a public hearing to gather comments on proposed changes to the ordinances that would allow industrial marijuana companies to operate in the city.

According to the documents on the agenda containing the wording of the proposed modification to the ordinance, “the City wishes to modify section 10-2 of the City Code in order to eliminate the marihuana license limits for certain establishments. , remove stacking restrictions for recreational marihuana growers in industrial areas and allow equivalent licenses to be operated in the same location to the extent permitted by state law.

An amendment to the almost identical ordinance has been proposed for medical marijuana facilities: “The City wishes to amend section 10-3 of the City Code to remove marijuana license caps for facilities other than supply centers, remove stacking restrictions for producers of medical marijuana in industrial areas, and allow the operation of equivalent licenses in the same location to the extent permitted by state law . “

Under the proposed amendment, when a licensee holds equivalent licenses for a single property, each facility or establishment counts as a separate facility or establishment.

An equivalent license means one of the following held by a single license holder: a marijuana producer license of any class, a marijuana processor license, a marijuana supply center license, a secure carrier license of marijuana; and a marijuana safety compliance installation license.

Currently, the city limits the number of Class A, Class B, and Class C producers to one each. It also limits the number of processors, secure carriers and safety compliance institutions to one. The amendment would allow the authorization of an unlimited number of these establishments in the city.

The amendment would allow licensing of stacked producers in facilities in the light industry and general industry zoning districts. Currently, stacked producer licenses are banned in the city.

Cadillac City Council members recently witnessed the operation of a large-scale marijuana factory. Peccia said board members and staff had visited an operation in about 25-30 minutes and added that seeing it up close and personal was “remarkable.”

Peccia said proposed changes to the city’s ordinances on recreational and medical marijuana would allow such an “industrial-type facility” to take place in the city’s industrial park.

About Frank Torres

Check Also

Automotive Wire and Cable Market Size and Forecast

New Jersey, United States – Comprehensive analyzes of the fastest growing companies Automotive Wire and …