Muskegon approves brownfield TIF and reimbursement agreement for 144‑unit Central Park apartments

The Muskegon City Commission authorized a development and reimbursement agreement (DRA) with Muskegon Central Park LLC for a 144‑unit housing project at the former Muskegon General Hospital site.

Jake Ekholm, director of development services, told the commission the project is structured as a housing TIF under amendments to Michigan’s Brownfield Act (Public Act 381) that allow certain housing‑related rent loss to be captured. Because the project seeks a portion of the state education tax in a housing TIF, the agreement is subject to review by the Michigan State Housing Development Authority (MSHDA), Ekholm said, which delayed execution of the DRA until the review was complete.

Ekholm said demolition of existing structures is underway and that the first two buildings are slated to begin construction this fall. The project will include a mix of one‑, two‑ and three‑bedroom apartments, and units are intended to be available to renters at or below 120% of area median income under the housing TIF rules.

Commissioners asked staff clarifying questions about the sequence of approvals and MSHDA review; staff noted the BRA had approved a brownfield plan earlier this year. The commission voted to approve the DRA and authorized the mayor and city clerk to sign the agreement.

What’s next: With the DRA approved, staff will finalize documents and proceed with demolition and construction sequencing subject to MSHDA review and any required compliance reporting under the brownfield/TIF framework.