The project at 211 Albert Ave., which is being developed by David Krause and Douglas Cron of Cron Management, will contain one-, two- and three-bedroom apartments in the upper floors and commercial space on street level.

The building’s location currently is occupied by two housing units leased for a combined occupancy of 13 people.
The project will cost about $9.7 million and received Brownfield funds mainly because the location was affected by chemicals left behind by a former dry cleaners, East Lansing Planning and Community Development Director Tim Dempsey said.

Krause could not be reached for comment Monday.

Plans approved for Brownfield funding typically are chosen based on contamination by hazardous substances, said Jeff Hukill, grant and loan coordinator for the Michigan Department of Natural Resources and Environment.

Hukill said the Michigan Economic Growth Authority also considers functionally obsolete or blighted locations, but the prior contamination on the site qualified the East Lansing project for Brownfield funding.

Developments that receive Brownfield funds, such as the one approved in East Lansing, are chosen because of their locations in urban areas and plans for mixed-use buildings involving both commercial and residential development, he said.

“(Brownfield plans) are trying to reuse sites in the city to bring them back to life and reduce urban sprawl,” Hukill said.

“The goal is urban revitalization.”

Dempsey said the proposed building would provide 42 housing units for up to 84 residents, with additional space on the first floor for commercial use.

“The project achieved the goal of adding (units for) residents to downtown, as well as a commercial space to attract businesses out on the marketplace today,” Dempsey said.

The project’s developers also are pursuing funding from other sources such as the Michigan Business Tax, Dempsey said.
This particular credit would be worth $1.6 million and go toward financing the project.
Dempsey said the project qualifies for this additional funding because it’s been classified as a Brownfield project and is located in a core downtown area.

East Lansing Mayor Vic Loomis said the project has been approved by city council and now is moving forward with infrastructure issues and financing. The project will be put into action after further details of the infrastructure in the project are determined, including examining water pipes and sewers, he said.

The project should be beneficial to the downtown area when it is finished, Loomis said.

“It’s going to replace a very dated smaller building and bring a new investment into our downtown,” he said.

“We believe having more people living in our downtown is an essential component to redeveloping our community.”