The Chicago-based 3F Properties receives support for its tax cut request on a $26.1 million market-rate apartment project in Grand Rapids. | Photo Courtesy of 3F Properties
The Chicago-based 3F Properties receives support for its tax cut request on a $26.1 million market-rate apartment project in Grand Rapids. | Photo Courtesy of 3F Properties
The Grand Rapids Downtown Development Authority supported awarding a tax cut to a Chicago-based company that wants to transform an older building in Michigan, according to reports.
The Chicago-based 3F Properties LLC wants to turn the building on Market Avenue SW in Grand Rapids into 167 market-rate apartments, mlive.com reported on March 11.
Most members of the Grand Rapids Development Authority supported the $26.1 million project, according to mlive.com. However, board member Luis Avila said he opposed the transformation because there aren't units for low-income households, and the agency would forego $1.2 million in tax revenue over 10 years.
“It seems to me we’re not fully incentivizing the way that we should,” he told M Live after the board meeting. “That’s a lot of money for the Downtown Development Authority. I got no indication if we didn’t approve this the project would be pulled, or we wouldn’t have at some point another developer come with a different idea for that property.”
Development Authority Chairman Richard Winn said the purpose of the organization was to spur this kind of growth.
“It’s the reason the DDA is in place — to help spur that kind of development that may not be possible,” he told M Live.
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