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Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: July 9, 2024 Title: Issuance of a Commercial Facilities
Exemption Certificate - West Haven 280 LLC
Submitted by: Jocelyn Hines, Development Department: Economic Development
Analyst
Brief Summary:
Pursuant to Public Act 255 of 1978, as amended, West Haven 280 LLC has requested the issuance of
a Commercial Facilities Exemption Certificate. The certificate will freeze the taxable value of the
building and exempt new real property investment from local taxes. The company will be investing
over $1,050,000 in the building and will create 22 new jobs, which qualifies Them for an abatement of
4 years.
Detailed Summary & Background:
West Haven 280 LLC will rehab the 11,500 sq. ft. facility starting in July 2024. The total real property
investment will be $1,050,000 and will create 22 new jobs.
West Haven 280 LLC recently purchased 280 W. Muskegon Ave from Central United Methodist
Church. This will change this building to commercial use, which will create taxable value. This building
will house several family businesses, including Little Miss Green Thumb, Broadway Bootcamp, and
Heal from Within. It will also house a performance venue, coffee shop, immersive play area, and
additional lease space.
Staff Comments:
The Commercial Redevelopment District is scheduled for public hearing and approval for July 9th by
the City Commission. The resolution is included in the agenda packet.
The Internal Tax Committee reviewed the applicant's project on June 26, 2024, and based on their
findings and calculations, the committee suggests approval of the attached resolution for a term of 4
years for real property. The company has turned in all necessary documents.
Goal/Focus Area/Action liem Addressed:
Key Focus Areas:
Progress toward completion of ongoing economic development projects
Goal/Action ltem:
2027 Goal 2: Economic Development Housing and Business
Amount Requested: Budgeted ltem:
Yes No N/A Xx
Fund(s) or Account(s): Budget Amendment Needed:
Yes No N/A xX
Recommended Motion:
| move to close the public hearing and approve the attached resolution granting a Commercial
Facilities Exemption Certificate for a term of 4 years for real property to West Haven 280 LLC and to
authorize the Mayor and Clerk to sign.
Approvals: Guesi(s) Invited / Presenting:
Immediate Division X
Head Yes
Information
Technology
Other Division Heads x
Communication
Legal Review
Resolution No. 2024-66(B)
MUSKEGON CITY COMMISSION
RESOLUTION APPROVING APPLICATION FOR ISSUANCE OF A COMMERICAL
FACILITIES EXEMPTION CERTIFICATE
West Haven 280 LLC
WHEREAS, the City of Muskegon legally established the Commercial Redevelopment
District 280-2024 on July 9, 2024, after a public hearing held on July 9, 2024; and
WHEREAS, the state equalized value of the property proposed to be exempt plus the
aggregate state equalized value of property previously exempt and currently in force
under Public Act 255 of 1978 and under Public Act 198 of 1974 (IFT's) does not exceed.
5% of the total state equalized value of the City of Muskegon; and
WHEREAS, the application was approved at a public hearing as provided by section 6(2)
of Public Act 255 of 1978 on July 9, 2024; and
WHEREAS, the West Haven 280 LLC is not delinquent in any taxes related to the
facility; and
WHEREAS, the application is for commercial property as defined in section 3(3) of
Public Act 255 of 1978; and
WHEREAS, the applicant West Haven 280 LLC has provided answers to all required
questions under Section 6(1) of PA 255 of 1978 to the City of Muskegon; and
WHEREAS, the City of Muskegon requires that the construction, restoration or
replacement of the facility shall be completed by May 31, 2025; and
WHEREAS, the Commercial Facilities Exemption Certificate is granted for a period of
six (6) years and no extension will be allowed; and
WHEREAS, the commencement of the construction, restoration or replacement of the
facility did not occur more than 45 days prior to the filing of the application for
exemption; and
WHEREAS, the commencement of the construction, restoration or replacement of the
facility did not occur prior to the establishment of the Commercial Redevelopment
District; and
WHEREAS, the application relates to a construction, restoration or replacement program
which when completed constitutes a new, replacement or restored facility within the
meaning of Public Act 255 of 1978 and that is situated within a Commercial
Redevelopment District established under Public Act 255 of 1978; and
WHEREAS, completion of the facility is calculated to, and will at the time of issuance of
the certificate, have the reasonable likelihood to, increase commercial activity, create
employment and retain employment in which the facility is situated; and
WHEREAS, the restoration includes improvements aggregating 10% or more of the true
cash value of the property at commencement of the restoration as provided by section
4(6) of Public Act 255 of 1978.
NOW, THEREFORE, BE IT RESOLVED by the City Commission of the City of
Muskegon
Be and hereby is granted a Commercial Facilities Exemption for the real property,
excluding land, located in Commercial Redevelopment District 280-2024 at 280 W.
Muskegon Ave for a period of six (6) years, beginning December 31, 2024, and ending
December 30, 2030 pursuant to the provisions of PA 255 of 1978, as amended.
Adopted this 9" Day of July 2024.
AYES: Johnson, Kilgo, German, Gorman, Kochin, and St.Clair
NAYS: None
Absent: keener ON 4
BY: via
‘Ken Johngon, Mayor
Bled
Bn.Meisch,
arms Se Ann ~N
Clerk
CERTIFICATION
I hereby certify that the foregoing constitutes a true and complete copy of a resolution
adopted by the Muskegon City Commission of the City of Muskegon, County of
Muskegon, Michigan at a regular meeting held on July 9, 2024.
Qe as Ann Meisch, Clerk
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