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Commission awards $278,000 contract to rehab city-owned home at 1183 Pine Street for sale to income-eligible buyer

Muskegon City Commission · January 28, 2026
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Summary

The commission approved a contractor selection for the 1183 Pine Street home-rehab project, which will convert a vacant house into an affordable three-bedroom home to be sold to a household at or below 80% AMI; staff said the winning bid was about $278,000 and includes lead and asbestos remediation.

The Muskegon City Commission voted to approve the selected contractor for the city-owned home rehab project at 1183 Pine Street.

Rhonda Klein, grants program coordinator in Community and Neighborhood Services, said the vacant two-bedroom house will be rehabilitated and reconfigured as a three-bedroom, one-bath home and then sold to an income-eligible buyer at approximately 80% of area median income. Staff said the project budget includes substantial lead and asbestos removal costs — factors that increase total rehabilitation costs.

Commissioners asked how bids were publicized; staff said the city posts RFPs on the municipal website, social media and to an email list of roughly 500 recipients. Commissioners suggested evaluating electronic-bidding tools to reduce incomplete submissions and increase competition. The winning bid amount cited in the meeting was approximately $278,000, which staff said reflects remediation and abatement work in addition to construction.

The motion to approve the selected contractor was moved by Commissioner German and supported by Commissioner Kilgo; the commission approved the contract by roll call vote.