For decades we have ignored the principles of “place” Unsustainable

What is Place? Locations that are unique, interesting and have a center Competitive places are appealing and fascinating to people and businesses Photo Courtesy of G. Faerber

What is Placemaking? The Actions used to achieve an Outcome May be a singular act or a multi-part process Means to create unique places that people want to use, to be in, to enjoy, and to remember… to be a part of Photo Courtesy of S Walker

How do people understand Place? Physical = form Social = activity (Economic = prosperity) Emotional = “Sense” of Place Form -> Activity -> Emotion

How does Placemaking benefit LMI Groups & Neighborhoods ? Cost reductions: Housing - Transportation – Energy Increased Access: Needs - Services - Employment Improved Interaction - Participation - Health Engagement of Youth & Seniors Placemaking = Social, Economic, Cultural Gain

MSHDA’s Housing Resource Fund Approximately $6-8 million in 2012* –HOME funds (homeowner and homebuyer) –CDBG (rental rehab a significant focus) –MSHDA funds (limited funding – Planning for Neighboroods) * Is just an estimate - Does not include county allocation funds

Rental Rehab – CDBG Funds Typically in the downtown of small communities Mixed Use

MSHDA: Upper Floor Rental Rehab, Michigan Main Street, Historic Preservation MEDC: Façade grants, streetscape grants, redevelopment grants

MDOT: Streetscape grants DEQ: Clean water and sewer separation DNR: Parks MDARD: Local food

Lofts on Ludington Affordable and market rate units Many funding sources Commercial at street level

Eaton Rapids Two new units over hardware store $161,000 total project cost $70,000 CDBG funds from MSHDA Remaining funds from the property owner’s personal investment Other investment in Eaton Rapids include 14 additional units over commercial space with some MSHDA investment in each

The Walker Building in Lansing 6 affordable units Gateway project $600,000 total investment $200,000 MSHDA CDBG Additional investment by the owner, Lansing Economic Development Corporation, and the City of Lansing

Rental Rehab Challenges and Successes Successes Reuses long-term vacant space Brings people back downtown Creates vibrancy Challenges Environmental challenges Complicated funding packages Retrofitting old buildings Helping building owners and communities understand/navigate the program

MSHDA County Allocation Since 1990, all Michigan counties not funded directly by HUD receive an allocation of State of Michigan CDBG funds from MSHDA for housing – based on the population Average annual total for allocations is $8,000,000

County Allocation Formula PopulationAllocation Amount 0 - 5,000$100,000 5, ,000$125,000 10, ,000$150,000 20, ,000$175,000 30, ,000$200,000 40, ,000$225,000 50, ,000$250,000 60, ,000$275,000 Over 70,001$300,000

The primary activity is homeowner rehabilitation At least 85% of funds are for rehabilitation that brings the house up to at least HUD Minimum Housing Quality Standards (HQS) Up to 15% of the funds can be used for emergency repairs and HQS standards are not required County Allocation

50% of County Allocation Funds for Place-Based Work TA provided at no cost to grantee to develop place-based strategy Grantee may spend remaining 50% anywhere in the county Fifty percent of emergency repairs must be located in the approved place-based target area

Challenges And Success Challenges: For some it is hard to embrace change Need is all over the county Takes time to plan Success and Plans for Success: Grantees are becoming more focused Grantees are taking on projects in close proximity with intention of making a visual improvement

MSHDA NOFA – Homebuyer Projects Examples of Place-Oriented Funding Priorities Projects located in a target area that has the mass, density, building type and scale appropriate to the development area Projects located in state/local investment or incentive target area or supported by community developed plans Housing that is in or adjacent to a business or within a quarter mile of a business district

$500,000 set aside by MSHDA’s Board of Directors to allow grantee communities to plan for placemaking Planning for Neighborhood Grants Grants not to exceed $30,000 per community