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Commission approves 10-year commercial rehabilitation certificate for 1700 Oak Avenue redevelopment

5566457 · February 8, 2025

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Summary

The City Commission closed a public hearing and approved a 10-year commercial rehabilitation certificate for the former Muskegon General Hospital site at 1700 Oak Avenue, allowing a tax-frozen base value while developers build 144 apartment units.

The City Commission on Aug. 12 approved a 10-year commercial rehabilitation certificate for 1700 Oak Avenue, the former Muskegon General Hospital site, allowing the property to be frozen at its pre-improvement taxable value while developers complete the planned redevelopment.

Joshua Hines, a city development analyst, summarized prior actions: a Brownfield plan amendment for the site was approved on Feb. 25, 2025, and demolition of the former hospital is underway. "The PA 2 10 allows the property to be frozen at the pre-improvement taxable value of the property," Hines said at the hearing.

Developer representatives said demolition is expected to finish within about 30 days and construction would begin afterward. Steve Calverley, CEO of Princeton Development, said the project will redevelop the site into six three-story multifamily buildings with about 144 dwelling units ranging from one to three bedrooms. He said total capital investment is expected to be about $21,000,000, with roughly 100 construction jobs during the build and three permanent jobs after completion.

The commission moved to close the public hearing and approve the certificate. Commissioners commented that while some residents had hoped the site would become a hospital, housing on the property is a welcome reuse. The motion passed by unanimous roll call vote.