GRAND RAPIDS — A newly formed partnership will move forward on a long-planned apartment renovation project in the popular Eastown neighborhood of Grand Rapids.
Representatives from Bazzani Building Company and Maplegrove Property Management LLC told MiBiz in an exclusive interview on Friday morning that the two companies will go ahead with the proposed redevelopment of the “Kingsley Building,” a five-story, 80-year-old building located at 1415 Lake Dr. SE.
“Maplegrove expedited the process,” Guy Bazzani, Bazzani president and CEO, said of the partnership. “They definitely helped move this forward very quickly.”
The partnership, known as Offsite Lake Drive LLC, will renovate the historic storage building into 41 market-rate apartments with office and storage space on the second floor.
“I think it was good on both sides,” said Peter Skornia, vice president of operations at Bazzani, regarding the decision to bring in Maplegrove as a development and property management partner. “We saw the number of properties that they have and they have a good reputation in Grand Rapids, so it seemed like a good fit.”
Maplegrove will bring $1.5 million in equity to the approximately $11 million redevelopment project, according to regulatory filing and confirmed by David Emdin, a partner at the East Lansing-based development and property management company.
“From our perspective … I’m well aware of the Bazzani name and Bazzani projects,” Emdin said. “The opportunity came to us and we were really excited. We liked the team and it was just a great fit.”
The Kingsley Building project also received state and local incentives in the form of a brownfield tax credit and a $1.7 million Michigan Community Revitalization Program (MCRP) grant.
The ground floor commercial space of the building has been filled for a number of years. Construction on the upper apartment and office floors will begin immediately and the buildout is anticipated to last 14 months.
The 41 apartments will be a mix of one and two-bedroom units with rents starting around $1,000 per month and including a parking spot as well as heating and air conditioning.
The project becomes just the latest mixed-use apartment development in Grand Rapids neighborhoods.
Additionally, Maplegrove recently broke ground on its 260-unit mixed use project at 234 Market St. SW on the south end of downtown.
“We’re confident and we really like this (Eastown) location,” Emdin said. “This isn’t in the core. It’s a little bit of a different market than 234 Market … and it’s one of the reasons I’m really excited about it.”