Let's see. Our state has three major research institutions: Wayne State, Michigan, and Michigan State. In order to turn our economy around, we need to build a new generation of young, knowledgable workers capable of attracting 21st Century jobs.
So, how do we capitalize on our assets to stimulate economic activity? In a word, icubators.
Here's the story from MSU's student newspaper, the State News:
In coming months, the city will discuss and eventually implement a “high-tech incubator” on the third floor of the building that contains Barnes & Noble, 333 E. Grand River Ave.
The city hopes the incubator will serve as a nurturing environment for small business as they struggle to mature and grow into full-fledged establishments, City Manager Ted Staton said.
“You know the notion of an incubator,” Staton said. “The immature baby is sort of coddled in this nurturing environment until the baby gets healthy enough. Well, it’s the same thing. Immature companies will come over here and be given a chance to grow and become mature.”
The first set of businesses, which will be selected by the city in the coming months, will settle within a 7,000-square-foot region in the building, said Tim Dempsey, East Lansing’s community and economic development administrator.
Initially, the city will let up to five businesses settle in the incubator, but as interest peaks, the city will consider expanding the area and opening it for the simultaneous use of more businesses, he added.
Incubated businesses will reap the benefits of below market rent rates, discounted utilities, high-speed Internet and common space, Staton said.
The concept of buisness incubators isn't new. Ann Arbor SPARK is a non-profit organization that aims "to advance the economic development of innovation-based businesses in the Ann Arbor region by offering programs, resources, and proactive support to business at every stage, from start-ups to large organizations looking for expansion opportunities."
Earlier this month, SPARK announced a similar venture to the one taking shape in East Lansing:
Arbor SPARK also is planning two office-style incubators -- one in downtown Ann Arbor and another in Ypsilanti -- to nurture startup companies in a host of other fields. Altogether, SPARK is working with 31 businesses that have located or plan to locate in one of the three new business accelerators and many either have ties to university research or former Pfizer employees.
SPARK leaders have been working with at least 14 startup companies looking for wet lab space, trying to find alternative locations for those they can't accommodate. The availability of Pfizer space where numerous small companies can be housed presents a large opportunity for many new and growing firms.
According to UM, the region has long had a shortage of privately available wet lab space. SPARK's incubators will fill lthat void.
What's particularly interesting about the project in Ann Arbor is that SPARK is actively pushing business accelerators for former Pfizer employees.
Back in January, Pfizer announced it was closing three research sites in Ann Arbor. Similar to the Armory Arts project we highlighted yesterday, this is another perfect example of someone taking a symbol of Michigan's econoimc struggles and turning it around.
The message here is actually pretty simple. With non-profits and Michigan's public reserach universities pulling in the same direction, we can capitalize on our collective assets and accomplish some remarkable things.
Well, that headline sure says it all, doesn't it? If you didn't get a chance to read yesterday's Free Press, here's the editorial that caught our eye (highlights below, but the whole thing is definitely worth reading):
Just off Cooper Street in Jackson sits a renovation project that economic leaders statewide ought to be eyeing. It's a textbook example of creative revitalization.
In January, a historic 19th Century former prison will be reopened as an incubator for artistic talent and economic growth. The project, called the Armory Arts Village, is a twist on the familiar formula of reviving a piece of history with a modern marketable use. In Jackson's case, it's not just any piece of history, but the very building that launched the city's long involvement with the prison industry.
The project, five years in the making, saved the building from becoming another sign of economic blight, all because the Enterprise Group, an economic development agency, had the vision and a creative funding strategy to turn the old jailhouse into something more, a $12.5-million subsidized housing complex for artists.
We're written about the Armory Arts project in the past, so it's nice to see this innovative redevelopment initiative getting some ink in the state's most widely-read newspaper.
This is the sort of work we've been highlighting here on the blog all year:
Going after the creative class is hardly a new idea. But plans in most cities center on attracting the pocketbooks of established artists and creative types who can afford market rate lifestyles. Armory Arts Village appropriately flips the theory by targeting artists who need both a break in rent and the skills to market their talent. The Armory lofts' appeal hinges as much on the 13-foot-tall ceilings as it does on the promise that tenants will acquire the skills to grow their talent into lucrative enterprises, ranging from a teaching workshop for the local school district to designing art for area businesses.
"We see the artists who will live here as small businesses in the making," said Steve Czarnecki, president and CEO of the Enterprise Group. "We intend to capture their creativity and show them how to turn it into wealth for themselves and for Jackson."
It's all part of a shrewd attempt to stimulate a stretch of Jackson, just four blocks from downtown, into a thriving destination and tax base. "This will be an iconic project not only for Jackson, but for Michigan," says Peter Kageyama, president of Creative Tampa Bay, a nonprofit development group that studies reuse projects around the world.
The Armory Arts project is exciting for a number of reasons, but the fact that the developers are taking such an iconic symbol -- the old Jackson prison -- and turning it into a haven for young, creative artists perfectly encapsulates everything we're trying to do here in Michigan.
"This project just epitomizes the idea of using where you've been as a city to take the leap forward into the future," said project director Jane Robinson, who is also a local painter and spent years working in the city's prisons. "The prison industry really built Jackson, starting right here. And now we're using it as the catalyst to reinvent ourselves again."
"If Jackson can be uppity enough to think it can transform itself into a cool city," said Czarnecki, "any city in the state can. It's all about seeing the value creativity and a knowledge-based economy can bring."
Looking to government or any single industry to revive a city is ancient economic thinking. The momentum is in growing and maximizing partnerships, especially those that aim, as the Armory does, to turn historic relics into viable resources again.Developers and strategists across the state ought to start looking for more creative ways to bet on their city's futures.
Hey, we're already there. Like our Vision Statement says:
Where others see empty, broken storefronts...
We envision the realization of the entrepreneurial dreams of successful small businesses which will create jobs.
Where others see hopelessness and overwhelming problems...
We envision new and renovated facilities through which non-profits can better serve their communities.
Michigan Development News is a weekly series that features affordable housing and economic development-related news stories from across the state. Feel free to submit a story suggestion by leaving a note in the comments section.
Muskegon Chronicle: Muskegon's downtown has a bright future
Over the next few years, a transformation will occur and it will be great for our entire community.
What makes this so exciting is the change is being driven by those with a proven track record of investing in this community. Many have lived here for a long time. And outside investors who see the great potential here are stepping up.
Rebuilding our downtown is not likely to happen because of any one "silver bullet" project, but rather the smaller, sustainable developments we're seeing now from the Muskegon Area Chamber of Commerce, the Sidock Group, Baker College and others.
We remain committed to telling our readers in news articles about what is going on downtown -- whether that news be good, bad or indifferent. And we'll continue to use our editorial board pulpit to prod the community to move in directions we believe are in its best interests.
We sure like the tone of this op-ed from the Chronicle. It's great to see a city's newspaper giving its own downtown redevelopment the attention it deserves.
Model D: Cranbrook grads build distinctive single-family home in Poletown
Two graduates of the master's program at the Cranbook Academy of Art, Matthew Miller and Thomas Gardner, clearly see potential in the neighborhood. They are hard at work building their thesis project, an affordable single family house at St. Aubin and Pierce.
The budget for the 900-square-foot home is $60,000. Major savings are coming from the construction techniques -- the cinder block walls and robber-coated roof are more typically seen on commercial buildings. Plus, the labor has been an all-volunteer affair.
The future homeowner was vetted from a group of parents at nearby Campbell Elementary, a school at which Miller had previously volunteered. The owner will be responsible for insurance, maintenance, utilities and taxes for 10 years, at which time the home will be deeded to her. Miller points out that equity in the home will be enough to put a child through college at that point. "We hope this house is a stepping ground out of poverty for this family," he says.
This is a perfect example of why Michigan needs to make a concerted effort of keeping young, talented workers in the state. These students are making innovative housing concepts a reality. You gotta love stories like this.
Rapid Growth: Grand Rapids Public Schools propose innovative effort to drive a future-oriented economy
In response to recent budget woes and other challenges the Grand Rapids Public School system has faced in recent years, school leaders have proposed public/private partnerships that will create innovative schools and prepare students to lead the city's economic growth. One group of community and business leaders has already submitted their idea for a new middle school that could begin as early as fall 2008.
Speaking of building a talented workforce, it's nice to see that Grand Rapids Public Schools are making this goal a priority for their students.
In communities as far flung as Birmingham, Northville and Ann Arbor, baby boomers are moving downtown, city officials report, bringing an influx of social and economic capital into downtown communities and businesses. As Gen-Xers become homebuyers and baby boomers become empty nesters, there's a growing trend of retirement age couples who are opting for city centers instead of suburban retirement communities. In fact, the number of seniors moving downtown has become large enough that it has spawned the term "ruppie," or retired older person.
Nationwide, there are about 78 million boomers, born between 1946 and 1964 - and next year, the first wave turns 62, becoming eligible to claim Social Security benefits. State demographers estimate there were roughly 2.6 million boomers in Michigan in 2006, almost double the 1.5 million Michiganders 62 and older that year.
"Most housing development in the last 40 years is the suburban model, but the downtown model may be more suited for the single person or the empty nest couple," says Susan Pollay of the Ann Arbor Downtown Development Authority. "For many boomers, downtown is an alternative to the suburbs."
Okay, so the type of downtown living they're discussing in this article certainly doesn't exactly scream "affordable."
While affordable housing is obviously a big part of what we do, one of our key values as an organization is to promote viable and vibrant neighborhoods. With that in mind, we sure like the sound of this:
Take Fred Beal and Nora Wright, a fifty-something Ann Arbor couple who moved to the city's downtown about a year ago. She's an attorney who's volunteered time to Doula's Care, a program that assists impoverished women through childbearing and he's a developer with a long history of public service - he's been a member of the city's Downtown Development Authority, sits on the Ann Arbor Economic Development Corporation board, has been on the Ann Arbor Arts Center's board and is involved in the Washtenaw Contractors' Association. And that's not including the kid-related service hours Beal has logged.
"Now that I'm off the DDA I'm sort of deciding how to get re-engaged a little bit with the city," he says. "I'm on the presidential task force, which is a major time commitment, the zoning committee, the citizens advisory council and the homeowners association."
Not only are the boomers moving back into urban areas, but they're actually getting involved with community organizations.
This is great news, since active civic participation is the cornerstone of any vibrant community. When people are engaged in local institutions, they have a vested interest in maintaining a high quality of life in the area where they live and work.
As a state, we've been putting a lot of emphasis on the need to retain young, talented workers as a means of attracting high-tech jobs and stimulating our economy. As an organization, we've certainly supported the notion that the way to do this is by building vibrant communities where young workers will want to live.
Well, this article definitely puts a new spin on things.
There's obviously a lot of work yet to be done in terms of jumpstarting Michigan's economy, but for now it looks like the baby boomers -- the generation that abandoned city living for the suburbs in the first place -- might be at the forefront of our state's economic redevelopment.
ACORN's Oct. 23 report “Foreclosure Exposure 2: The Cost to our Cities and Neighborhoods” analyzes data from private and federal sources to predict the real economic impact of foreclosures on 96 metropolitan areas if financial institutions and governments do not act immediately to minimize the damage. As the foreclosure crisis widens, property owners, local governments, lenders and investors alike stand to lose more than $25 billion.
ACORN’s study shows the real costs communities incur when high foreclosure rates spawn derelict buildings and depress residential and commercial property values. Neighborhoods with concentrated foreclosures experience higher rates of violent crime and artificially decreased property values, placing additional costs and maintenance burdens on local governments and devaluing the assets of neighbors – even those in good financial standing.
According to the MIRS article, the ACORN study projects Detroit will lose $250 million, Flint $33 million, Grand Rapids $45 million and Lansing $28 million. These cities are struggling to jumpstart a period of dramatic urban redevelopment, but the economic hit they could endure from the foreclosure crisis has the potential to reverse much of the progress that has already been made.
As we wrote last week, an insufficient supply of affordable housing in the State of Michigan is among the key factors contributing to this foreclosure crisis:
In this tough economy, how can we expect families to send their children to college, save for retirement, pay for healthcare or even engage in "normal" consumer activity (buying and selling goods) when they have to deal with these sky-high mortgage payments? Clearly, this foreclosure crisis is not fostering an atmosphere for economic recovery, which Michigan so desperately needs right now.
While Michigan's foreclosure crisis is very real and certainly cause for concern, the silver lining is that it will bring attention to affordable housing issues and be a catalyst for change.
To learn more about the Trust Fund's affordable housing programs, click here. If you share our vision for Michigan and want to contribute to our mission, click here to learn how you can help.
We're pleased to announce that our October newsletter is now available on our website. Hard copies went out in the mail last week (click here to request one), but you can check out the online version by hopping over to our eNewsletter page.
Here are the articles in this month's edition of the Community Quarterly: A Preview of the Evening for Economic Justice; Williamston Theatre Kicks Off 2007-2008 Season WIth Support from the Trust Fund; Rita Hillman Brings Experience as New Senior Commercial Loan Officer.
Remember, you can receive our quarterly newsletter articles via email by signing up through the form below:
It looks like Brandon White from Michigan Messenger has decided to take a page out of our playbook.
Here's what he had to say in an op-ed posted yesterday:
There is a widespread myth that living in Detroit suburbs provides a socio-economic safe haven, this is only true to a certain extent. The model for building up Southeast Michigan should not be Detroit first, everyone else later. Rather it should be everyone coming up together.
As Detroit tries to expand the success of downtown development into neighborhoods, the primary target must be young people willing to invest in Detroit for the long haul. The fact is that no city can support a sustainable tax base (to provide adequate services and a high quality of life) without families that live, work, and can send their kids to school within the city they live.
Now, White's commentary is focusing primarily on Detroit Public Schools, which we won't delve into here. However, we sure like the point he's trying to drive home in this editorial.
Opinion leaders all over the state have been moaning about Michigan's economy -- especially Detroit's -- for far too long. Sure, times have been better in Michigan, but the people of this state need to focus on what we can do together to make things better instead of complaining about how bad things are all the time.
The Trust Fund is just one organization, but we're working every day with non-profits all over the state to invest in our state's economic future through our affordable housing and economic development programs.
As a state, we must be able to offer young workers vibrant communities where they'll want to live, work, and raise a family. That's the key to long-term economic stability, and it's why we do what we do.
To learn more about how you can join the Trust Fund in rejuvenating Michigan's communities, be sure to check out this page on our website.
Sorry this is a day late. Our resident blogger got engaged over the weekend, and was unable to round up links in time for the usual Monday post. We now return you to our regularly scheduled program.
LSJ: Developer to announce Lansing project
Lansing Mayor Virg Bernero is expected to join developer Gene Townsend at noon Tuesday to announce "a major new downtown development."
The event is to be held in a city-owned parking lot along Kalamazoo Street, between Cedar and Larch streets, according to an announcement from the mayor's office.
Townsend was a partner in developing Printer's Row condominiums at Grand Avenue and St. Joseph Street, in the Cherry Hill neighborhood. All 17 of those units have been sold.
The new project, details of which were not outlined in the announcement, would be the third significant downtown development announced this month.
All sorts of good news coming out of the Capitol City this month. Let's keep it up!
MEDC: Redevelopments in Detroit, Highland Park, Lansing and Eaton Rapids to Create 382 Jobs
Governor Jennifer M. Granholm today announced plans for four major brownfield redevelopment projects in Wayne, Eaton and Ingham counties that are expected to involve $20.6 million in new investment and create up to 382 new jobs. The projects will benefit from assistance provided by the Michigan Economic Development Corporation and the Michigan State Housing Development Authority. They will transform underutilized or vacant properties into new centers of residential living and/or commerce.
"Over the past years, MSHDA and MEDC have developed a very effective working relationship, and we are proud to collaborate with MEDC on these brownfield redevelopment projects," MSHDA Executive Director Michael DeVos said. "This partnership goes a long way in not only helping revitalize traditional downtowns, but also in making our downtowns a more desirable place to live, work and invest."
There's that multiplier effect again. Investment in economic development projects => more investment dollars => more jobs.
PR Newswire: GMAC Honored for Economic Development in Detroit
GMAC Financial Services and its SmartEdge financial education program received the Excellence Award for Economic Development from The 100 Black Men of Greater Detroit at the chapter's inaugural Excellence Awards Gala on Oct. 4, 2007.
The Excellence Award for Economic Development cited SmartEdge for its mission of promoting financial education to increase awareness of financing options, unlocking the mysteries of personal credit and helping consumers develop sound financial habits.
GMAC will conduct at least 15 SmartEdge seminars this year in conjunction with The 100 Black Men at local Detroit schools, churches and community centers. Ferguson estimates 750 to 1,000 people will attend these seminars in Detroit, while many more will access SmartEdge online tutorials. Nationwide in 2007, SmartEdge is on target to deliver its message at more than 2,000 different events reaching more than a million people.
Financial literacy is definitely an important component of affordable housing. Well-informed consumers will make smarter decisions about financing and choose a home they can afford, based on their salary.
A former bank building on Grand River at Warren will become a business and arts incubator and headquarters of the Woodbridge Neighborhood Development Corp.
The actual bank building, at about 2,500 square feet, fronts the corner and will be used by WNDC for office and event space.
To the rear is another 2,500 square feet of storefronts that will house the incubator. The idea is to provide five entrepreneurs with individual spaces, plus a common space that would be developed by WNDC.
Possible scenarios include an office incubator with common copy and fax machines, a culinary incubator with common kitchen space, a glass-blowing incubator with a common kiln and furnace or a fashion incubator with common sewing and manufacturing equipment.
This is what a smart redevelopment project looks like.
Model D: New, walkable urban shopping plaza nears completion in Hamtramck
Tenants will begin moving into Main Street Plaza, located at Caniff and Gallagher, within the next month. The 6,000-square foot shopping plaza has six distinct spaces, one of which will become the new home of the Hamtramck Citizen.
What makes the shopping center such an important development for the city is that it is new construction that is built right up to the lot line. "This builds upon historic land use patterns in city of Hamtramck," says Erik Tungate, the city's community and economic development director.
Same goes for this project.
Last week we told you about a major new development project in downtown Lansing. Well, there's more good news to share:
An East Lansing development group unveiled a plan Tuesday to add housing, shops and commercial space that officials hope will attract MSU graduates to downtown Lansing.
Pat Gillespie, president of the Gillespie Group, announced plans for a more than $50 million project that includes eight retail and residential buildings in a space north of Oldsmobile Park, along the Grand River.
The project is a combination of two developments — Ballpark North, a pair of six-story buildings overlooking the Oldsmobile Park outfield, and Market Place, a group of six residential and retail buildings.
“Upon completion of Market Place and Ballpark North, downtown Lansing will have created an entertainment district that will rival other thriving Midwestern cities,” Gillespie said.
Lansing Mayor Virg Bernero said the developments would transform the city.
“I’ve talked before about Lansing stepping up to be one of the great Midwestern capital cities,” Bernero said.
Back in April, we made the case for keeping college students in Michigan:
The allure of big cities like New York, Chicago, or Los Angeles is hard for anyone to ignore, especially young artists who are seeking communities that offer a rich cultural experience to live in after graduation. But that's part of the problem for Michigan –– we need to be able to compete with these big cities by building communities that the next generation of young, creative workers want (and can afford) to live in.
With Lansing's proximity to Michigan State, there's no shortage of talented workers in Mid-Michigan. Sure, the state capitol is never going to be exactly like Chicago or New York, but maybe we can give young adults a small slice of the city life by offering a cost of living that won't break the bank.
If we can keep these young, knowledgeable workers close to home, we can attract the business investment and 21st Century jobs this state's economy needs to get rolling again.
That's the plan, at least. And hopefully we'll be seeing more stories like this in the near future.
Here are the highlights from the Flint Journal:
The stop in Flint kicks-off his Michigan tour, which also includes stops in Saginaw, Lansing, Pontiac, and Detroit Wednesday and Thursday. He's to attend a legistative engagement rally at noon Thursday at the steps of the Capitol in Lansing.
"There is a national crisis as it relates to the number of foreclosures across this country and Michigan is at the forefront largely due to lenders who take advantage of those who are already struggling," stated Jackson in a prepared release. "We want to put the power back into the hands of the every day citizen who is simply trying to hold on to his or her part of the American dream."
The Michigan housing authority has proposed two assistance programs to assist Michigan residents who are facing foreclosure: ARM Assist Refinance, which helps residents who are in an adjustable rate mortgage obtain a fixed rate loan; and Rescue Refinance Program, which assists residents who are delinquent and have no mitigating options. Both programs have been endorsed by Granholm, who has urged the Legislature to introduce and pass enabling legislation.
The Rev. Lewis Randolph, pastor at Antioch Missionary Baptist Church, said Jackson has been to his church a number of times before and it's always an honor to have him, especially on such an important issue.
"No one has come forward in my congregation to say their home is in foreclosure," said Randolph, president of Concerned Pastors for Social Action.
"But I'm sure some are having problems making their monthly payments and are embarrassed to say their home is in foreclosure because of the problems they are having in their lives. But I would pray that none are experiencing foreclosure in our congregation or in other congregations in our city."
There are a number of root causes for the foreclosure crisis Michigan is currently experiencing, but from our perspective, affordability is the key issue here.
The bottom line is that quality housing is simply out of reach for too many Michigan families. Many consumers (with a little help from predatory lenders) thought sub-prime mortgages were a great way to buy the home of their dreams. Unfortunately, this just glossed over the fact that Michigan (and the rest of the country, for that matter) lacks an adequate supply of quality housing that consumers can actually afford.
In this tough economy, how can we expect families to send their children to college, save for retirement, pay for healthcare or even engage in "normal" consumer activity (buying and selling goods) when they have to deal with these sky-high mortgage payments? Clearly, this foreclosure crisis is not fostering an atmosphere for economic recovery, which Michigan so desperately needs right now.
This just brings us back to our favorite phrase from the spring:
HOUSING = JOBS
More affordable housing means more investment for our state, which means more jobs and a speedier economic turnaround for Michigan. It's a simple equation that many have ignored for far too long.
While Michigan's foreclosure crisis is very real and certainly cause for concern, the silver lining is that it will bring attention to affordable housing issues and be a catalyst for change.
Last week on October 10th, the U.S. House of Representatives passed H.R. 2895 to approve the National Affordable Housing Trust Fund Act of 2007. The bill increases the supply of rental housing for low-income people and it establishes dedicated sources of funding for the production, preservation, and rehabilitation of 1.5 million affordable homes in 10 years. Further, at least 75 percent of the funds have to be used towards helping house families who are extremely low-income--those who earn less than 30 percent of an area's median income.
Although it is a major success to have passed the House, the legislation will still need to be approved by the full Senate. It is expected that a bill will be introduced in November or December before this session adjourns.
You can read more about HR 2895 here, and learn more about the National Housing Trust Fund campaign by visiting their website. For a full roll call vote on HR 2895, you can visit Open Congress here.
As we wrote back in August, it's encouraging to see such strong bipartisan support for the bill since affordable housing is not a partisan issue. Hopefully we can expect to see this kind of bipartisan support in the Senate later this year.
To learn more about Michigan's Housing and Community Development Fund, be sure to visit LivingInMichigan.org.
Today, tomorrow and Thursday, the Rev. Jesse Jackson will be in Michigan to examine and discuss various solutions to Michigan's foreclosure crisis. Here are the details from CEDAM's email update:
Jackson will be in Flint tomorrow, Lansing on Wednesday morning, Saginaw at Wednesday lunchtime, and back in Lansing Wednesday evening and Thursday at noon for a legislative engagement rally at noon at the Capitol Building. Please read over the list of events and if you have questions, please contact Joan Jackson Johnson of the City of Lansing.
Here are some more details:
Rev. Jesse Jackson has teamed with the Michigan State Housing Development Authority (MSHDA) and several state agencies committed to "Saving Our Homes, Building Healthy Communities (SOHBHC)." SOHBHC is part of the Save the Dream Campaign, which kicked off Friday by Governor Jennifer M. Granholm.
"There is a national crisis as it relates to the number of foreclosures across this country and Michigan is at the forefront largely due to lenders who take advantage of those who are already struggling," said Rev. Jackson. "We want to put the power back into the hands of the every day citizen who is simply trying to hold on to his or her part of the American Dream."
To learn more about MHDA's "Save the Dream" foreclosure prevention program, click here.
Michigan Development News is a weekly series that features affordable housing and economic development-related news stories from across the state. Feel free to submit a story suggestion by leaving a note in the comments section.
It used to be that the traditional client asking for housing services from the Mid-Michigan chapter of the American Red Cross was a single mom with kids.
The Red Cross often puts people and families in motel rooms for short periods of time.
Today, though, Kathy Faber, programs and services director, says that family is more often two parents with kids, and she sees it as a sign the economy may be worse than some people realize.
Rebecca Turness and her husband are among those dual parent households. They moved from Ionia to Lansing to look for work. She ended up at the City Rescue Mission's Family Center. He is at the men's shelter. They've used the Red Cross services too.
"We are talking about a family that could be your neighbor," Faber says. She says it is sometimes a foreclosure that brings people in. Sometimes it's an illness. She says there are even homeless who have jobs, but can't make rent or a mortgage because they don't get paid enough.
Many Michigan families are struggling right now, there's no doubt about it. Hopefully this next story will help us find some solutions.
PR News: 2nd Annual Summit on Ending Homelessness All About Telling the Right Stories
The Kellogg Center on the MSU campus is the location for the 2nd Annual Michigan Summit on Ending Homelessness. The Summit will host individuals and groups from all over the state on October 15 and 16. The attendees all have a stake in Ten Year Plans to End Homelessness and will be looking for valuable information to help keep their plans on track. Throughout the two dayprocess the theme of storytelling will weave throughout the conference, guided by keynote speaker, author and expert storyteller, Annette Simmons. Simmons is known for books written on the subject of storytelling for the business environment. "Story is your path to creating faith," said Simmons. "Telling a meaningful story means inspiring your listeners to reach the same conclusions you have reached and decide for themselves to believe what you say and do what you want them to do."
You can learn more about Michigan's Campaign to End Homelessness here.
Ketterning News: $50,000 Grant Helps Kettering University Students Rev Up Entrepreneurship
Engineering, science and business management students at Kettering University in Flint are working to fine-tune business ideas, thanks to a $50,000 grant from the Kern Family Foundation through the Kern Entrepreneurship Education Network (KEEN). This is the second grant Kettering University received for the e-Kettering Initiative through the Kern program.
With innovation in U.S. lacking in terms of new technological developments, Kettering’s efforts to help students tap into their entrepreneurship sensibilities and develop business ideas is necessary as the City of Flint and indeed Michigan look for ways to increase business opportunities and create jobs. Currently, the state’s unemployment hovers around 7.4 percent.
The institution received a first grant of $50,000 from Kern in 2006 and achieved remarkable success because of this investment. Kettering formed a student run organization called the Kettering Entrepreneur Society, which includes 60 students, as well as faculty, alumni and industry mentors, and works to promote an entrepreneurial culture at Kettering University based on innovation and social values.
Hey, when those young entrepreneurs need a loan to kick off their businesses, they know where to come. On a related note, the website Blogging for Michigan covered an economic development seminar at Kettering University last week -- go check out their post.
"Mixed-use development is the next wave in Hamtramck," says community and economic development director Erik Tungate, and it's coming in the redevelopment of the four-story Hauser Building.The building, located on Jos. Campau at Belmont, will be redeveloped into one floor of commercial and three stories of for-sale lofts. Behind it, a new four-story building will be constructed with another three floors of lofts and ground-floor parking for all 10 residential units. "This takes one of our historic buildings and adds an updated flavor," says Tungate. "It continues to build on the vibrancy of Jos. Campau." A walkway will be built to connect the two buildings.
One building at a time -- this is what redevelopment looks like.
Rapid Growth: MAREC start-up creates 30 jobs through earth-friendly venture with China firm
The leaders of EarthTronics, a new Muskegon firm that will distribute energy efficient products, expected to launch their first product in December with a staff of four employees. But, with business booming, the company already has six employees on board and expects to ramp up to 10 by year's end. If projected growth follows the expected plan, the company will have as many as 30 employees on the payroll by the end of 2008.
EarthTronics is part of the Michigan Alternative and Renewable Center's economic development incubator, and will move into downtown Muskegon's proposed Hines Building when it's completed.
The company has teamed up with one of China's largest privately held companies, Hengdian Group, to launch its first product line in December—energy efficient light bulbs.
"Our initial launch is the Earth Bulb, a high efficiency light bulb made with compact fluorescent lighting (CFL) technology," says Reg Adams, president and one of the investors in the company. "EarthTronics will distribute from warehouses set up across North America and will sell to big box stores and mom and pop businesses."
Sounds like more great development in the Muskegon area. It's looking more and more like renewable energy will be the next "big thing" here in Michigan, so hopefully we'll be seeing more stories like this soon.
As the budget process continues to move along and department targets are determined, it is critical for you to contact your senators and representatives, in particular the DLEG Conferees (Senators Mark Jansen (Committee Chair), Tom George, and Martha Scott and Representatives Richard Hammel, Joan Bauer, and Jack Brandenburg) to support funding for Michigan's Housing and Community Development Fund. The Living in Michigan Campaign has made a template letter available to facilitate your letter writing campaign. Please continue your hard work and efforts to gain support for Michigan's Housing and Community Development Fund!
It sounds like there's still a window of opportunity for our community to make one last push on the MHCDF. If you support this fund, now is the time for your voice to be heard.
Governor Jennifer Granholm today announced that more than $2.3 million in federal Community Development Block Grant (CDBG) funding has been offered to 15 Michigan downtown communities across the state. This funding is part of community development and revitalization efforts that are key to building strong economic stability in Michigan communities and downtowns.
The funding, made available through the Michigan State Housing Development Authority (MSHDA) and administered by MSHDA's Community Assistance Team (CATeam), will be used for downtown improvement projects designed to financially assist communities that have targeted key downtown properties in need of physical improvements.
They say you can't judge a book by its cover. Well, that's certainly a good phrase to live by, but when it comes to downtown revitalization it's amazing how much facade improvements can really do to stimulate additional business investment.
The Facade Improvement Initiative is designed to assist a community in making physical improvements to an entire traditional downtown area, block or portion of a block that contains buildings and businesses in need of facade improvements. The Signature Building Initiative is designed to assist a community in acquiring a vacant or underused building for rehabilitation purposes and must result in job creation.
"Investing in Michigan's traditional downtowns makes them more vibrant places," said MSHDA executive director, Michael R. DeVos. "These vibrant places attract talent, business, jobs and private investments to our state."
These three programs will use a little more than $2.3 million in grants to leverage $9.4 million in private and local investments and create 80 full time jobs in downtowns throughout the state.
That last line really jumps out at you, doesn't it? It's amazing how $2.3 million in grants can leverage nearly four times as much in private and local investments.
Too bad none of the state's non-profit groups who are involved in this type of work on a daily basis have come together to push for a major investment in community economic development.
Oh, right... they have.
For more information about MSHDA, click here. To check out the list of 15 communities who were offered CDBG funding, be sure to read the whole press release.
The Michigan Department of History, Arts and Libraries (HAL) today announced key findings from the CEDOT: Great Lakes Arts, Culture, and Heritage Participation Survey, developed in partnership with Michigan State University (MSU). The long-awaited survey provides economic information from more than 6,000 households in Michigan and the surrounding Great Lakes states, concerning residents' arts and cultural participation and consumerism, from their purchases and travel decisions to employment and education opportunities.
Why is this important?
Well, we've written about the important role the arts community will play in Michigan's economy recovery in the past:
The Armory Arts Project is an apt symbol for everything the City of Jackson has gone through over the years. The goal is to take this old, run-down structure, and turn it into the hub for Jackson's economic revitalization plan.
There's been a lot of talk in recent years about attracting young, knowledge workers to our state. Well, here's the perfect opportunity to actually make it happen!
Jackson's Armory Arts project is a major cornerstone in that city's revitalization plan. Clearly, the arts community is a crucial economic sector, and should not be overlooked by any city hoping to revitalize their downtown districts.
Well, the survey results seem to support this logic:
• Artists are entrepreneurial and want to grow their businesses. Seventy-five percent of Michigan artists want to support themselves with their arts-related income but face major barriers such as financing, marketing, credentials and location.
• Seventy percent of survey respondents participated in some type of visual, performing, or literary arts or crafts lessons or classes as children and spent an average of $462 annually for arts education of their children.
• Thirty-seven percent of all respondents and 36 percent of Michigan respondents attended theatrical performances over the last year, spending an average of $38 and as much as $250 for tickets.
• Nearly 15 percent of Michigan respondents made financial donations to arts, heritage or cultural organizations and 30 percent provided one to five hours of volunteer service during the previous 12 months.
There are two key points here: (1) Artists are entrepreneurs looking to grow their businesses, but they face numerous funding barriers; (2) Consumers value the arts, and are willing to support this vital industry.
Keep an eye out for that, but in the meantime, check out the whole Great Lakes Arts, Culture, and Heritage Participation Survey Report here (PDF).
(Photo by GREG DERUITER, LSJ)
Last week we took a look at the status of redevelopment efforts in Jackson and Detroit, so this week we'd like to point out some of the exciting redevelopment projects that are underway here in Lansing.
First off is yesterday's news about the Accident Fund's riverfront development. Here's the story from Channel 6:
A major announcement about the future of a vacant landmark in downtown Lansing. A major insurance company plans to make the Board of Water and Light's Ottawa Street power station its new national headquarters. The Accident Fund Insurance Company says it will move into the building about four years from now, creating more than 500 jobs in the city of Lansing.
The Ottawa Street power station has been sitting idle for twenty years. Lansing architecture company Christman has bought the property and will renovate it into a 10 floor office building. The Accident Fund will lease the building with an option to buy it. The company's president says the Board of Water and Light building was one of a dozen options for the headquarters.
For folks who might not be as familiar with downtown Lansing, this is a pretty big deal. The old Board of Water and Light building has been vacant for years, and there's been numerous ideas floated for what could be done with the property: everything from a mall, to a casino, to an office building for state workers. At one time, there was even speculation that Magic Johnson might spearhead a development project. But the years passed, and nothing happened.
Until today.
Virg Bernero, Mayor, City of Lansing: "A building like this is either a symbol of stagnation, or it's a symbol of renaissance, and now for us in Lansing, we have a symbol of our revival."
About twelve years ago, just a stone's throw away from the Board of Water and Light building, Lansing got its first major symbol of renaissance when Oldsmobile Park was completed.
Today the strip of Michigan Avenue near the ballpark, along with other areas throughout the city, continue to prosper. Channel 10 has an update on some other notable projects happening in Lansing:
There's been living space, office space and historic buildings brought back to life.
In recent years, the Arbaugh building was one of the first to be renovated for mixed use.
On Michigan Avenue, right across the street from Oldsmobile Park, the Stadium District is nearly done. It'll be for mixed use too and open for business in April.
On Saginaw Street, Prudden Place and Motor Wheel Lofts are already home to hundreds. They sit on a former industrial site. Motor Wheel Lofts, a green, energy efficient space, is the former Motor Wheel Factory.
Downtown Lansing also looks much different, even from one year ago. On Michigan Avenue, there are new sidewalks all around, a traffic circle under construction, and rain gardens.
So, what's it all mean?
Well, it means redeveloping a city is hard work, and it can take years (even decades) before the results really begin to manifest themselves.
It also means business and government officials must make a conscious decision to invest in a city, and have the vision and patience to really see things through.
The Accident Fund's riverfront development is just the latest "symbol of renaissance" for Lansing, and hopefully it won't be the last.
You can read a more in-depth article on the Accident Fund project over on the LSJ's website. AF's press release can be found here.
