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Decision on downtown expansion postponed

City Council votes to delay plan until proven beneficial

March 22, 2006

Beverly Baten

Concerned property owners have succeeded in halting an expansion of East Lansing's downtown, at least temporarily.

The East Lansing City Council considered a proposal Tuesday that would have stretched the downtown district's border, which currently ends at Collingwood Drive, east along Grand River Avenue to Hagadorn Road. The expansion would include the East Village area, located south of Grand River Avenue, as well as the businesses on the north side of the road.

The proposal, which city staff says offers a number of advantages, such as allowing for tax breaks on redevelopment projects, would raise almost $40,000 annually in additional property taxes.

Councilmember Beverly Baten said the area of the proposed expansion could benefit from some public improvements.

"I hate to say it, but it's ugly," Baten said. "It does need a lot of attention."

After hearing opposition to the proposal from a handful of property owners in the affected area, council members voted unanimously to defer a decision on the matter until their April 18 meeting.

Tom Kuschinski, president of DTN Management Co., said he won't support the expansion until he hears exactly how much the accompanying tax hike will cost him, and how being a part of the downtown district will benefit his business.

"I wish the city would have come and discussed this a little bit more with us," Kuschinski, who owns Cedar Village apartments, told the council.

City Council postponed action on the measure precisely because of some of the lingering questions, such as whether additional tax revenues could be designated specifically for projects in the expanded area.

"I'm going to have to have the right answers to those questions to support this expansion," Councilmember Mark Meadows said.

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