Site plans, rezoning for condo development on River District site gets city's OK

The developer slated to build a mid-rise condominium structure on the old River District site in Port Huron’s south end said this week that “optimistically” they could break ground next spring.

Much of that, however, may hang on waiting for permits and potential funding through a state housing program.

On Tuesday, planning commissioners approved rezoning the site, 3550 Electric Ave., and preliminary site plans that plot out a four-story building with 66 units on just over two acres.

David Haynes, the city’s planning director, said both approvals were an important mechanism for Woda Cooper Companies, whose agreement to purchase the site was green-lit by City Council last month, as it applies for support in a missing-middle housing grant program through the Michigan State Housing Development Authority.

“It targets families that are earning enough money to purchase a condominium that can be priced between 185,000 and 225,000, which is our range of pricing here,” said Craig Patterson, senior vice president for development with Woda Cooper.

A part of the purchase agreement for 3550 Electric between the developer and the city mandates condo units be sold to parties who make 185% to 300% of the federal poverty guidelines, which for 2022 put that threshold range at $25,142 to $40,770 annually for a one-person household, $33,874 to $54,930 for two people, and $42,606 to $69,090 for a family of three.

“Obviously, that’s what you need in order to have a down payment and get a mortgage, and they will qualify just like all homeowners,” Patterson said Tuesday. “The great thing is for that price point, you’ll have views of the blue water and in an area that is a neighborhood that has great plans and great visions for the future.”

The city sold Woda the property, where the River District grocery store burned down several years ago, for $1. City officials have acknowledged it is a loss since purchasing the site for $550,000 with COVID stimulus funds this year in hopes of inspiring millions’ more worth of investment.

That agreement requires the developer to spend at least $9.5 million and for Woda to begin construction within two years. On Tuesday, Patterson said it was likely a $14 million investment.

What will the condo development include?

According to the preliminary site plan, the mid-rise building would include 56 two-bedroom and 10 three-bedroom units with a dog park and sky deck, totaling just over 91,100 square feet. The units would range from roughly 700 to 1,200 square feet in size.

Surface parking would surround the building with 100 spaces, surpassing the city’s requirement for a high-rise, multiple-family structure of one per dwelling.

Entrances and exits for vehicles would be on both Military Street and Electric Avenue.

Residential units will be located on the second, third, and fourth floors of the building with fire pits, lounge seating, and a lobby at the ground level.

Depending on a needed variance from the city’s zoning board of appeals, Patterson told planning commissioners the site plan could see some minor changes.

How can the city leverage the project, rezoning for the neighborhood?

Patterson also acknowledged the years of vacant property that the area of the development has experienced.

“Most of you know it better than we know it,” he said during Tuesday’s meeting. “You’ve watched that parcel for years. I think Dollar General was the first to do anything near there, and I know there’s been plans for the future with the grocery store and other things.”

Although the project at 3550 Electric has received community support, it’s also been a source of criticism for some residents, including a candidate for mayor, that the city should’ve done more to replace the grocery store the south end lost.

Patterson’s comments did tip a hat to a still-ongoing discussion of attracting other developers, including for something like a grocery store. But City Manager James Freed said they don’t have anything concrete.

Instead, he said it’s like planting a seed.

“Economic development is a grand game of Legos, and there’s a lot of pieces that we put together,” he said. “The housing, increasing population density will help create additional market need for more restaurants, for a potential grocery store, and so, we’re taking this development, and we’re using this to leverage and sell the area of the community to other developers. We intend to leverage every success.”

Setting up future projects was a source for discussion among planning commissioners when considering the rezoning of the property for Woda Cooper.

On Tuesday, several asked Haynes whether moving 3550 Electric from a commercial general business district to an A-2 zone would be spot zoning and pose any potential issues to the surrounding neighborhood, especially if Woda Cooper not receiving MSHDA funding.

A-2 accommodates multi-family residential. Haynes said it can be “used in a manner where we have high-density projects” and could still help future developers if the condo project doesn’t work out.

“This is ideal,” he said. “Our intent is to create more energy and foot traffic and vibrancy in that neighborhood, and this is a great piece to that. I think if this doesn’t go through, this still bodes well for other projects we want to bring to the table.”

Contact Jackie Smith at (810) 989-6270 or jssmith@gannett.com. Follow her on Twitter @Jackie20Smith.

This article originally appeared on Port Huron Times Herald: Site plans, rezoning for condo development on River District site gets city's OK