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Commission approves 15-year neighborhood enterprise zone for Lakeview Lofts Phase 2 downtown
Summary
The Muskegon City Commission voted unanimously June 10 to issue a 15-year Neighborhood Enterprise Zone certificate for 351 West Western Avenue (Lakeview Lofts Phase 2), clearing the way for 64 additional apartment units, with about half of units reserved for households at or below 120% of area median income for 30 years.
The Muskegon City Commission on June 10 authorized a 15-year Neighborhood Enterprise Zone (NEZ) certificate for 351 West Western Avenue — the second phase of the Lakeview Lofts downtown redevelopment.
The certificate, approved by roll call vote, covers Phase 2 of the project, which the city’s development analyst described as 64 new apartments: 41 studios and 23 one-bedroom units. Jocelyn Hines, development analyst for the City of Muskegon, said the project was included in an amended Brownfield plan the commission approved May 13, 2025, and that a contingency in that plan calls for about 50% of the apartments to be designated for households earning 120% or less of the area median income for 30 years.
Developer representative Jared Belka of Warner Norcross, appearing for the out-of-state developer, said the team is pursuing HUD financing and completing appraisal work. He told the commission that the developer hopes to start construction this year if HUD approvals finish in time and estimated a typical construction timeline of 12 to 18 months.
Hines told commissioners the Brownfield plan assumes a cost of construction “of about 232,000, give or take, for each unit.” On rents, Belka said the studios “were around 1,100 a month”; he gave a figure for one-bedrooms that was unclear on the record, and the commission did not adopt a definitive monthly rent schedule at the hearing.
Commissioners asked about affordability, unit mix and contractor inclusion. Belka said Wolverine is the general contractor and that the company “has an inclusion plan process” and has worked with local subcontractors on other projects. Commissioner Evelyn German pressed for clarity on affordability and timeline; Belka confirmed the developer intends to follow the Brownfield/NEZ affordability terms and that HUD’s process is lengthier than market-rate financing.
The motion to approve the NEZ certificate was moved by Commissioner German, seconded by Commissioner Cochin and passed by roll call (Vice Mayor St. Clair — yes; Mayor Kenneth D. Johnson — yes; Commissioner German — yes; Commissioner Gorman — yes; Commissioner Cochin — yes). The certificate authorizes the city clerk and mayor to sign the resolution and certificate.
