$42 Million Development Provides Mixed-Income Housing and Retail Space
Cinnaire recently joined city and state officials, developers and new residents to celebrate the completion of the $42 million Diamond Place, a mixed-use affordable housing and retail development, in Grand Rapids, MI. Cinnaire provided a $16 million Low Income Housing Tax Credit (LIHTC) investment, an $8 million New Markets Tax Credit (NMTC) investment and a $1 million predevelopment loan to support the project. Additional financing partners include JPMorgan Chase, Mercantile Bank, Capital Impact Partners and the Michigan Economic Development Corporation (MEDC).
Third Coast Development and PK Development built the project on a 2.8-acre site located along the Michigan Street Corridor. The four-story building has 165 total apartments – 107 designated for affordable housing and 58 market rate units. A Gordon Food Services grocery store is the anchor tenant, located on the ground floor. Chidorri Ramen & Sushi Bar and Tropical Smoothie Café will also occupy first floor space. Apartment amenities include in-home laundry, central A/C and heat, gourmet kitchens, access to a 24-hour fitness center, community space and covered parking.
“This project has revitalized the Michigan Street Corridor, providing much-needed affordable living options while building a community for residents to live, work and play,” said Mark McDaniel, Cinnaire president & CEO. “Diamond Place is a model for community development, meeting a critical need to provide affordable housing with proximity to public transportation, healthy food options and outdoor green spaces.”
“We are providing housing in dire need in this area because folks have been priced out of the market,’’ said Chris Potterpin, a partner with PK Development. “The short-term impact has been felt immediately because we have had lines out the door for our affordable units. This type of development – mixed-use, mixed-income – has been a model, but it hasn’t been done in Michigan at least on this scale too much yet.”
Brad Rosely, principal partner with Third Coast Development, said neighbors were instrumental in the design of the development. He said the 95 percent of the ideas for the building came from neighbors, including the grocery store and restaurant.