Expected completion in 2026 – Sawmill Lofts in downtown Grayling
FOR IMMEDIATE RELEASE
December 19, 2024
LANSING, Mich. – Michigan Community Capital (MCC) is proud to announce that construction has begun on Sawmill Lofts, an $18.3-million redevelopment project in downtown Grayling. This transformative initiative will convert contaminated and previously blighted parcels into a vibrant, five-story, mixed-use building, bringing 40 apartments and 4,000 square feet of commercial space to 102 Michigan Avenue.
The project, located on a .76-acre site, has been over six years in the making, including a pause in 2020 due to the pandemic. Despite construction costs increasing by 50% since the COVID-19 pandemic began, MCC has persevered to bring this vision to life. Construction finances closed earlier this month.
“Although projects like these are becoming increasingly more difficult, we are seeing the state and local governments really stepping up to try to support housing and downtown development,” said Marilyn Chrumka, vice president of development at MCC.
The success of Sawmill Lofts is a testament to the collaboration and support of local and state partners, including: the City of Grayling, Crawford County Brownfield Redevelopment Authority, and Crawford County Board of Commissioners. These organizations approved a 30-year brownfield plan to support middle-income housing, laying the groundwork for revitalization.
“With the addition of this new five-story, 40-unit apartment complex, we’re taking a significant step toward revitalizing our downtown while addressing the growing need for modern, affordable housing,” said Erich Podjaske, Grayling’s city manager. “This project not only increases our housing capacity but also brings new energy and vibrancy to the heart of the city, making it an even more attractive place to live, work, and visit.”
Michigan Department of Environment, Great Lakes, and Energy (EGLE) approved a $1-million grant to address contamination from previous uses such as garages and a dry cleaner.
“It is exciting to be able to participate in a project like Sawmill Lofts. This project will not only address the risks associated with environmental contamination at the site but also create much needed affordable housing for the community,” said Carrie Geyer, EGLE brownfield program manager.
The Michigan State Housing Development Authority (MSHDA) provided a $3.5 million Missing Middle Housing Program grant to create housing for individuals and families earning 60–120% of the area median income.
“Sawmill Lofts demonstrates how innovative partnerships can create much-needed housing in Michigan communities,” said Amy Hovey, MSHDA CEO and executive director. “This redevelopment will not only breathe new life into downtown Grayling but also provide quality, affordable housing for middle-income individuals and families.”
Michigan Economic Development Corporation (MEDC) approved a $6.5-million Revitalization and Placemaking Grant to support the project’s construction and community impact.
“This is an exciting time for the community of Grayling. This project has been years in the making and once complete will provide much-needed housing in the area,” said Chief Place Officer at the Michigan Economic Development Corporation, Michele Wildman. “We applaud the collective Team Michigan effort and perseverance to bring this project to fruition to ensure more families can Make it in Michigan and call Grayling home.”
West Shore Bank has facilitated construction financing.
“West Shore Bank is proud to support the Sawmill Lofts project, which reflects our commitment to investing in the growth and revitalization of Michigan communities. This is a testament to what can be achieved through collaboration and shared vision. Projects like these not only enhance the local economy but also improve the quality of life for residents and businesses alike,” said Raymond A. Biggs, president and CEO of West Shore Bank.
When complete in early 2026, Sawmill Lofts will feature a mix of studio, one-bedroom, and two-bedroom apartments, with monthly rents starting at $885. Each unit will include stainless steel kitchen appliances, large windows, and in-unit washers and dryers. The building is designed to achieve Energy Star certification, ensuring lower utility costs for residents.
The project team includes Integrated Architecture (Grand Rapids, MI) as the building designer, Triterra (Lansing, MI) overseeing environmental remediation, and Pioneer Construction as the construction manager.
Stay tuned for updates on leasing opportunities and commercial space inquiries.
Michigan Community Capital is a 501(c)(3) nonprofit that exists to promote community and economic development, the creation of wealth and job opportunities; and to facilitate investment of private and public capital in Michigan. MCC is focused on driving economic mobility of low- and moderate-income Michigan residents and drives community development impacts in three key areas: Real Estate Development, CDFI lending, and New Markets Tax Credits. MCC is a U.S. Treasury certified Community Development Financial Institution (CDFI) and a Community Development Entity (CDE). Since 2005, MCC has supported over $1.4 billion in project financing, successfully attracted $510 million in federal New Markets Tax Credits, and helped to create over 1,500 housing units and facilitated the creation and/or retention of over 5,000 high-quality, accessible jobs. michigancommunitycapital.org
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Media Contact:
Abbey Wilson, Director of Marketing & Communications
Email: media@miccap.org
Phone: 517.334.0545