MUSKEGON, MI – A planned renovation of the old Catholic Charities building in Muskegon is underway.
West Urban Properties is tearing down walls inside the old building at 1095 Third Street to prepare it for redevelopment as Midtown Center, with plans to create a mix of market-rate and low-income housing, as well as some yet-to-be-determined commercial uses.
Dave Dusendang, owner of West Urban Properties, said the majority of the units will be studio apartments, but the plan is still subject to final visualizations.
“We haven’t set everything in stone yet,” he said.
The preliminary plan calls for 30 to 35 residential units on the first and second floors. Developers are also speculating on adding a retail element, which depends on the final renderings.
The demolition of the first two floors is almost complete. Demolition work in the basement will begin shortly.
Dusendang added that he wanted to save the original bricks beneath the building’s stucco facade to restore the building’s original appearance.
“Our goal was to bring it back as close to the original as possible,” he said.
The former service building of the Caritas Association was built in the early 1920s as a furniture warehouse and exhibition room.
The city acquired the property through a swap of property on Seventh Street with Catholic Charities and has been trying for years to find a developer to provide more housing to Muskegon.
Dusendang received approval for his proposal from the City Commission in March 2023 after the developer previously selected by the commission, Suburban Property, abandoned the project due to “interest rate pressure.”
Dusendang said at the time that he was trying to achieve “inclusivity across the board” with his proposal. Twenty percent of the housing units will be reserved for “Section 8” vouchers, which will be made available to low-income renters.
The project has since received support from the Muskegon-based Wheelfish Group, a development company led by Brad and Kathleen Playford, who have many years of experience purchasing and renovating historic buildings.
Meanwhile, the Wheelfish Group is converting the Hackley Administration Building, just one block from the 1095 site, into a 40-room luxury hotel that will pay tribute to the building’s history.
In early August, the Muskegon City Commission approved a commercial redevelopment district for both projects, which will freeze the taxable value of the properties for ten years after construction is completed.
Frank Peterson, vice president of operations for Wheelfish Group, said the shape of the Catholic Charities building presented a particular challenge for the redesign.
“These older buildings are usually well suited to conversion to residential because of the way they’re constructed. They’re usually long and narrow,” he said. “But this one isn’t like that, it’s almost a perfect square.”
Peterson said they needed to develop “a new way of looking at these buildings” to efficiently rebuild them and accommodate all of the planned housing units.
The developers also plan to add a second phase to the project, which will involve building a new two-story building along Houston Street that will connect to the existing building and add an additional 25 to 30 residential units.
Construction on phases one and two could occur simultaneously or sequentially, depending on final approval from the city commission. Dusendang said he hopes to have the units completed by summer 2025.
The total cost for phases one and two is estimated at $11 million to $11.5 million.
A planned third phase of the project involves a corner lot separated from Lot 1095 by an alley and calls for the construction of a smaller apartment building with six to eight units.
The developers have not yet determined the costs for phase three.
Want more news from the Muskegon area? Bookmark the local Muskegon News Page or sign up for the free “3@3 Muskegon“ daily newsletter.
MORE ABOUT MLIVE:
Muskegon maintains freeze on short-term rentals
“Completely different” indoor golf facility comes to Jenison
Rule change now allows food trucks in city on Lake Michigan
Muskegon’s own Rosie the Riveter returns to the factory where she worked during World War II
