The East Lansing Planning Commission is holding onto a plan to redevelop the 600 block of Virginia Avenue after reviewing it at a meeting Wednesday night.
Staff members from the city's planning department were met with a flurry of questions from commissioners and residents about the plan.
The block that contained 23 homes is being redeveloped into about 30 homes and condominiums, which will house permanent residents. The block was primarily home to student renters.
"The parking is inadequate, and I'd like to see something done before they start building too much," said Dan O'Connell, an East Lansing resident who has lived on the 600 block of Lexington Avenue for about 20 years.
The area will have about 136 parking spaces - four per unit - with an additional 16 on the street.
Jim Cuddeback, an East Lansing resident, said he's concerned about the overall project and how the city has handled it so far.
"The city has designed a project that is too vigorous for the footprint," he said. "The bottom line is the city is looking for a bigger tax base - (they are) looking for money.
"They have been talking down to residents."
The commission shared some of the concern about how the development would fit with the surrounding areas.
"It may be beneficial for the city, but if it doesn't fit with the culture of the neighborhood, are we sure this will succeed?" commissioner Lynsey Clayton said. "I just want to make sure we're not putting a burden on our taxpayers."
If the Virginia Avenue project is completed, the city could earn more than $150,000 in property taxes, up from the $85,518 it received on properties taxed in the December 31, 2006, collection.
The city decided to redevelop the block because of a softening in the student rental market, said Jim van Ravensway, East Lansing's planning and community development director, during a July 17 meeting about the project.
Dan Bankson, a real estate agent with Tomie Raines Inc., who specializes in East Lansing's rental market, agreed with van Ravensway.
"What we've seen is, with the new properties such as Chandler (Crossing), that has taken a large part of the demand off what has been student land," he said.
The area isn't one affected by the slump in the market, said Matt Hagan, an agent at Hagan Realty, which owns two homes on the block.
"We've been able to maintain 100 percent occupancy," he said. "Our houses are in good shape and well maintained. The people who don't do that will have a hard time renting those places."
