For Immediate Release | Nov. 1, 2024
Press contact: Department of Strategic Impact | 616.738.4852

Ottawa County, partners move needle on housing with new TIF projects

New brownfield redevelopment sites will bring 182 new
rental units to Hudsonville, 41 new units to Spring Lake

While a lack of affordable housing continues to be a major challenge for Michigan, Ottawa County communities are moving forward with solutions. Just 15 months after the state passed legislation expanding the use of Tax-Increment Financing (TIF) to support certain housing development activities, there are now three brownfield site redevelopments taking advantage of the tool in Ottawa County – two in Hudsonville and one in Spring Lake.

The brownfield plans for all three of these projects were first approved by each local unit of government, subsequently supported by the County Board of Commissioners and have been reviewed and officially endorsed by the Michigan State Housing Development Authority. This collaboration and the approval of these projects is a clear sign of how necessary the new Brownfield Housing TIF legislation really is.

"With the expansion of Brownfield TIF, Hudsonville and Spring Lake have taken the leap forward with mixed-used housing projects in priority areas of their communities," said Ottawa County Agriculture and Economic Development Coordinator Becky Huttenga. "The Ottawa County Brownfield Redevelopment Authority is truly excited to support local units of government in helping lift these projects off the ground, fulfilling a very real and well-documented need for housing in West Michigan."

Composite image of Prospect Flats site under construction and rendering.

Here’s a closer look at these three projects:

Terra Station, 3302 Prospect St., Hudsonville: This 12-building, mixed-use complex spread over 4.5 acres is the first Ottawa County brownfield site to take advantage of the TIF expansion. Terra Station will bring a total of 141 new rental units (35 income-qualified) to the heart of downtown Hudsonville. Estimated to be completed by July 2026, this development will also include 4,600 square feet of retail space.

Prospect Flats, 5429, 5469, 5479, and 5489 32nd St. and 3233 Prospect St., Hudsonville: Comprised of two three-story buildings over 1.45 acres, this 41-unit residential complex includes five income-qualified units. The project is expected to be completed by May 2025.

Winsor Place, 106 S. Buchanan St., Spring Lake: This three-story, mixed-use property will feature 41 rental units (five income-qualified) and 2,700 square feet of retail space. Builders estimate the project will take 12-15 months to complete.

The total capital investment for all three housing projects is $50.5 million, with 20 percent of the units (81) available for income-qualified individuals. The total TIF capture will be approximately $10 million. This equates to about 20 percent of eligible project costs being funded by state and local taxes collected over the life of the respective Brownfield TIF plans.

Composite image of a rendering of the Terra Station complex, and a photo of the Terra Station site.

Site plan for Winsor Place in Spring Lake.

Hudsonville projects a 'natural outgrowth' of redevelopment vision

The City of Hudsonville and the Village of Spring Lake recognize the needs in their communities and have advocated for the redevelopment of brownfield properties.

The ground has already been broken on the Prospect Flats development which – along with Terra Station – is positioned to fit seamlessly in with the city's new walkable downtown corridor. The Terra Station complex is rising adjacent to the recently redeveloped Terra Square farmer's market/event center and Harvey Street woonerf. These features were all key pieces of the joint County-City Urban Smart Growth Demonstration Project, which redesigned the Hudsonville downtown area. Prospect Flats is just a block to the east – easily within walking distance of these amenities.

"The arrival of these two new developments are really a natural outgrowth of the vision Hudsonville and the County had for the downtown nearly two decades ago," said Department of Strategic Impact Director Paul Sachs. "Desperately needed housing in an accessible and walkable downtown was what the Urban Smart Growth project was all about."

Chris Veneklasen, CEO of Veneklasen Construction, the developer for Terra Station, told MLive in a recent news article that they were interested in the project because of Hudsonville’s goals for an active, mixed-use city center.

"Part of our amenities is the walkability to local attractions," Veneklasen said in the October article. "We have a lot of great prospects for our retail space, and our hope there is we’re attracting tenants that also serve the local community."

For Spring Lake, providing more affordable housing is a key tenet of their most recent master plan. The contaminated property was historically used by the Spring Lake Fire Department and is currently a gravel parking lot.

"Utilizing the new Brownfield Housing TIF, the Village was able ensure the Winsor Place development promoted the Village's Master Plan and met the needs of our community," said Spring Lake Village Manager Brady Selner. "The Village is excited to bring additional housing options to our core downtown while sparking economic vitality and supporting local businesses."

Other housing solutions

New rental units are a welcome addition to the County, but not the only housing solution being pursued. The Ottawa County Housing Commission (OCHC) is investigating a small-footprint home (microhome) concept. Constructing residences under 1,000 square feet could realistically increase the supply of so-called "starter homes" that are both affordable and attractive.

Working closely with the Commission and the County's Department of Strategic Impact (DSI), design consultant Nick Rolinski (Broad Street Studio) and DSI intern Matt Daub (a Hope College student studying civil engineering) are developing a series of small home concepts informed and inspired by local contexts. Rough drafts of these designs were unveiled at the most recent Housing Commission meeting.

Hope College undergrad and Department of Strategic Impact intern Matt Daub goes over preliminary small-home concepts during the October Housing Commission meeting.

"Though very preliminary, these small-footprint home designs represent a strong step forward in developing affordable housing stock that will fit in no matter where you construct them," said DSI's Sachs.

A major source of the design inspiration for these small-footprint residents includes 127 sketches, photographs and notes gathered during a series of "Character Defining Feature" architecture tours of historic Ottawa County neighborhoods.

Conducted over three Friday afternoons in September, staff and a few Commission members joined Rolinski and Daub on a walking tour of neighborhoods in Zeeland, Grand Haven and Spring Lake.

"The designs this team are developing are unique because of these architecture tours," said DSI’s Sachs. "This exercise ensures the final designs are truly at home in Ottawa County."

Once these concepts are firmly established, the OCHC and project partners will present a detailed strategy to launch construction in a local community. Stay tuned as this project moves forward. For more information on the County’s Microhomes Project, visit the Housing Commission page.

About the Ottawa County Brownfield Redevelopment Authority

Ottawa County boasts eight local and one countywide Brownfield Redevelopment Authority that can provide access to all of the financial tools available for brownfield redevelopment. The Ottawa County Brownfield Redevelopment Authority (OCBRA) works cooperatively with all cities, villages, and townships in the County. OCBRA meets as needed the third Thursday of the month at the County Administration Building in West Olive. For more information about brownfield redevelopment, visit miottawa.org/brownfields.

About the Ottawa County Housing Commission

The Ottawa County Housing Commission is dedicated to identifying solutions to both the scarcity and rising cost of housing in the County. The Commission meets the first Thursday of every month at the County Administrative Building in West Olive. For more information, visit the Housing Commission page.