Development Boom
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Development Boom Lansing Development Boom Developments JDS REAL ESTATE OFFERING MEMORANDUM SERVICES, INC. Lansing Development Boom EMPLOYMENT & JOB GROWTH DEVELOPMENT BOOM • 1.5% Projected Annual Job Growth The already up and coming metropolitan area of Lansing is continuing to see an increase in population following a • 4.5% Unemployment huge development boom. Recent job growth significantly outpaced the national average with the unemployment rate at 4.5%. In the upcoming few years alone, Lansing will undergo multiple business expansions equaling • $51,386 Median Household Income upwards of $397 million dollars, creating hundreds, maybe even thousands of new jobs. Sparrow Health Systems • 1.7% Household Income Growth is also in the process of developing a $64 million five story cancer center and a $20 million three story health center • 1.3% High-Tech Employment to open in November. HOUSING Builders have taken notice of these positive trends, and development has returned to the metro. More than 700 housing units have been completed during this cycle with multiple projects are underway. In 2016, after The • $143,400 Median Home Price Outfield, a 4 Star 84-unit apartment in the Stadium District of the Central/Northside Submarket was built, it was • 7.1% Increase Home Price Change fully occupied four months later. Another example is Prestwick Village Apartments, a 66-unit complex built in April of last year which has already reached stabilization. Following new employment and housing opportunities in the EDUCATION area, a $276 million redevelopment project, the largest in the area in recent history, will be creating spaces with retail, restaurants, breweries, and multiple hotels. • 93.1% High School Attainment • 34.2% College Attainment Additionally, $2.2 billion in private investment in Lansing over the past 10 years is being used for projects • 13.8% Graduate Degrees negotiated or spearheaded by regional business development organization Lansing Economic Area Partnership Inc. • Top College Michigan State University According to data from the Lansing Economic Development Corp., the city’s economic development arm that contracts with LEAP, there has been more than $2.2 billion in private investment in the city of Lansing alone over QUALITY OF LIFE the past 10 years. A bulk of that — nearly $1.1 billion — came in the past three years and was mainly the result of • 11.3% Below National Average GM spending roughly $1 billion on its Lansing Delta Township assembly plant, along with adding a stamping plant, Cost of Living logistics operation and hundreds of workers as it retooled its Lansing Grand River assembly plant. Regionally, there has been an additional $199.5 million in private investment outside the city since 2013, according to LEAP. • 21min Average Commute • 2,418 Crimes per 100K Residents Michigan State University is an economic driver with more than 50,000 students, high-profile projects such as the $730 million Facility for Rare Isotope Beams for nuclear science and the basic construction and employment that come with being a Big Ten university. General Motors is adding a stamping plant and a logistics operation to its Lansing Grand River plant to support moving production of the Camaro from Canada to Lansing. It’s part of a long-term strategy to operate its plants at full capacity and adhere to terms of its labor contract with the United Auto Workers. Source: crainsdetroit.com JDS Real Estate Services, Inc. in association with Kidder Mathews | L3 OFFERING MEMORANDUM 2 Developments PROPERTY ADDRESS DESCRIPTION 1 Sparrow Health Systems Sparrow Health System is developing a $64 Million five story Herbert-Herman cancer center. The glass-fronted 132,000 square foot building will house all 1215 E Michigan Ave of the health system’s cancer treatments under one roof for the first time. Complimenting the hospital will be a new dining area, called the Gathering Place 1 Lansing, MI featuring a full service Starbucks. 2 Sparrow Health System Health Center & Also in development is the $20 Million, three-story health center which is set to partially open in November for primary care services. Sparrow Health System Laboratory is nearing completion of a $10 million Sparrow Reference laboratory. The 35,000 sf facility will house labs located within the St. Lawrence campus. 2 1210 W Saginaw St Lansing, MI 3 LOC Performance Products LOC Performance Products announced a $96.5 million expansion to the 1600 N. Larch St property. The expansion will provide 700 new jobs and is 3 1600 N. Larch St expected to create a huge economic boost in the area. Lansing, MI 4 School For The Blind Project Indianapolis-Based TWG Development will redevelop the former Michigan School for the Blind to low-income senior housing. At $24.4 million the plan 4 656 W Maple St includes creating 72 multi-family units and 60 senior units between 3 buildings. Lansing, MI 5 REO Town Investment - The Venue at East Town REO town has seen a $500,000 investment that will allow for development of a brewery and pottery studio. 2010 – 2020 East Lansings East Side is the site of “The Venue at East Town”, a $5 million 4 story development that will have 39 apartments atop retail space on the first floor. Michigan Ave The Gillespie Co. Strange Matter Coffee and Rajje’s Taphouse have been named as tenants. Lansing, MI 6 Urban Systems purchased the 500 South Washington Avenue block in the beginning of 2018. 500 South Washington The development plans for the property include building a five-to eight-story 170-unit apartment building. The building will also have retail space on the SW Avenue, Lansing, MI corner of Washington Avenue and Lenawee Street. JDS Real Estate Services, Inc. in association with Kidder Mathews | L3 OFFERING MEMORANDUM 3 PROPERTY ADDRESS DESCRIPTION 7 Arcadia Ales & Lansing developer Kris Elliot of Urban Feast obtained the licensing from Arcadia Brewing Co. to build a brewpub and restaurant at 2101 E. Michigan Ave. Smokehouse The 10,000-square-foot brewpub will serve Arcadia brands and will also brew six Lansing-only beers on site. The project will also include an outdoor patio to 2101 E Michigan Ave 1 accommodate 150 people. Lansing, MI 8 Ballein Management of East Lansing has partnered with a Chicago developer to build two 12-story buildings in downtown East Lansing. The first building Center City District would be located on the 100 block of East Grand River Avenue and would include apartments with a grocery store on the first floor. The second would be Albert Ave and Grand built in City Lot 1 off Albert Avenue. It would include retail space on the first floor, a parking deck on the next five levels and housing for people 55 and older River Ave 2 in the top Lansing, MI six floors. 9 Hilton Homewood Suites Hilton Homewood Suites will be the third hotel built since 2015 at the Heights in Eastwood in Lansing Township. Hyatt Place and Fairfield Inn both opened 2201 Showtime Dr within the last two years at the heights. The 7 story hotel, located next to Walmart, will have 139 rooms. 3 Lansing, MI 10 Springhill Suites A $10-million Spring Hill Suites hotel will be built at the former Howard Johnson motel at 1100 Trowbridge Road in East Lansing. The four-story hotel will By Marriott have 88 rooms, a swimming pool and a fitness center. A one-story retail building will also be constructed on the site, which will accommodate four tenants, 1100 Trowbridge Road 4 anchored by a restaurant and a drive-thru coffee shop. Lansing, MI 11 Costco A 157,000-square-foot retail warehouse is being built at 5800 Park Lake Road, the site of the former Four Winds Golf Course. When it opens, Costco will 5800 Park Lake Rd employ 150 people. The $30-million project includes a tire center and a standalone gas station that will have 24 pumps. Lansing, MI 12 Marketplace Apartments Developer Pat Gillespie is building more riverfront apartments in downtown Lansing. The expansion of Marketplace apartments will add 79 rental units to the 313 N Cedar St area, half of which overlook the Grand River while the rest overlook the Cooley law School Stadium. The apartment complex will have a rooftop patio and Lansing, MI amenities that take advantage of the riverfront, though specifics have not yet been announced. JDS Real Estate Services, Inc. in association with Kidder Mathews | L3 OFFERING MEMORANDUM 4 PROPERTY ADDRESS DESCRIPTION 13 Park District Grand River Ave and Plans have been approved for Chicago developer Convexity Properties to build a 13-story hotel and apartment complex on the corner of Grand River 1 Abbot Rd Avenue and Abbot Road in downtown East Lansing. Graduate Hotel will manage 150 rooms and the apartment complex will have 197 units. Lansing, MI 14 General Motors Co The Detroit automaker is expanding its Lansing-area factories with three new additions — a $44.5 million logistics center to sort and deliver parts to the 920 Townsend Strt assembly line and a $174 million stamping plant, both at GM’s Lansing Grand River plant; and a $63 million expansion of its Lansing Delta Township 2 Lansing, MI assembly plant. 15 The Heights at Eastwood A $47 million public-private development project north of Eastwood Towne Center in Lansing Township. The project will include hotels, apartments, a 2505 Showtime Dr parking garage and restaurants near Lake Lansing Road and 3 Lansing, MI U.S. 127. 16 Waverly Golf Course A Detroit-area development firm and restaurant franchise owner has purchased the closed Waverly Golf Course from the city of Lansing. The 120-acre golf West Saginaw Hwy and course and adjacent park, at the corner of Saginaw Street and Waverly Road, closed in 2007.