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Developers and council approve modified LOI for US‑23 North housing project; six‑month study period set
Summary
Council voted Aug. 4 to approve a letter of intent (LOI) for the US‑23 North development with edits removing a tree‑cost sentence and adding a city termination clause; developers expect a six‑month study phase to produce market studies, community engagement and a preliminary site plan.
Developers seeking to build housing on the city‑owned US‑23 North site presented a letter of intent to the Alpena City Council on Aug. 4 and the council approved the LOI after two edits: removal of a sentence regarding city responsibility for tree replacement costs and insertion of a termination clause to protect the city.
Roger Burnett and partners described a team assembled for the project and asked the council to approve an LOI that would give the team six months to complete market studies, community engagement, a preliminary site plan and a financing assessment. Burnett said the initial phase would target roughly 60 units for an initial phase and that the 51‑acre site could potentially support a larger development.
Burnett said the team includes financing and development consultants and Schafer Construction for project management. He said the project will rely on a combination of local and state programs to finance construction. The LOI as approved directs the developer to proceed with a six‑month diligence period, after which the developer will return with a proposed product, site plan and financing approach.
Council raised questions about a sentence in the LOI’s infrastructure paragraph that referenced tree removal and replacement costs. City staff and the council agreed to remove the sentence to avoid creating an unexpected city obligation. Councilmembers also asked for a termination provision that would allow the city to exit the LOI if the project stalls; city attorney Bill Pfeiffer was asked to draft language and the mayor was authorized to sign the revised LOI.
A motion to remove the second sentence in the infrastructure paragraph, add a city termination clause and authorize City Manager Anna Soick to sign the LOI passed by voice vote.
The LOI sets out an initial six‑month schedule for community engagement, market and financial studies and a preliminary plan, followed by an approval phase that could include a purchase agreement and development agreement.
Sources: Presentation by Roger Burnett and project team; council motion and vote, Aug. 4, 2025.
