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Council approves letter of support to reserve CDBG funds for Loffler Block housing project
Summary
The council authorized staff to prepare a letter of intent to reserve Community Development Block Grant (CDBG) funding for the Loeffler Block redevelopment in downtown Ishpeming, a proposal to create five ground-floor apartments and rehab existing upper units.
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Bryce Sturmer, a local developer who owns multiple properties in Ishpeming, asked the council for a letter of support to reserve Community Development Block Grant (CDBG) funding for a downtown housing project at the former Raleighs Furniture building (referred to in the presentation as the Loeffler Block).
Sturmer described a plan to create five new, accessible ground-floor apartments, rehabilitate seven existing upstairs units, and prioritize rents at or below 80% of area median income (AMI). He said the project aims to ‘‘introduce this housing at a really attainable rate’’ and told the council he is working with local contractors and the Marquette County Land Bank on a brownfield/TIF plan.
Council action
Council members voted to have city staff prepare and send a letter of support for the CDBG application. The motion passed by voice vote; the meeting record shows unanimous assent. The council chair asked staff to prepare the letter so Sturmer could meet a grant deadline.
Project details provided in meeting
- Proposed new units: 5 ground-floor apartments (mix described as five 2-bedroom, one 3-bedroom two-bath, and one 1-bedroom in the broader rehabilitation plan). Sturmer described an eventual resident population of about 14–20 people. - Affordability target: priority for households at or below 80% AMI. - Estimated project cost (developer estimate): $1.2 million to $1.4 million (construction-only, excluding land acquisition). - Parking: Sturmer said he would demolish a steel connector structure and create parking on site, and that he owns a nearby gravel lot to increase capacity.
Why this matters: The request is a preliminary step to reserve CDBG funds; it does not represent final project approval. Council approval of a letter of support helps the applicant meet tight grant deadlines and is commonly used to demonstrate local government backing for funding requests.
Ending
Council asked staff to prepare the formal letter and the developer said he would return to the council for subsequent approvals related to site plan, building permits and any public funding acceptance.

