Downtown Development Authority Minutes 08-27-2012

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                        CITY OF MUSKEGON
                         SPECIAL MEETING

                                          August 27,2012

Board member K. Kraus called the meeting to order at 11:00 a.m. and roll was taken.

MEMBERS PRESENT:              Paul Edbrooke, Ken Kraus, Martha Bottomley, Roger Brink, Dan
                              Rinsema-Sybenga, Tim Taylor, Bryon Mazade

MEMBERS ABSENT:               Mike Kleaveland, excused; Steve Vaughan, excused; Mike Johnson,
                              excused; Eugene Fethke, excused

STAFF PRESENT:                Cathy Brubaker-Clarke, Tim Paul, Derrick Smith, Mike Franzak,
                              Diane Renkenberger

OTHERS PRESENT:               Jon Rooks, Parkland Muskegon; D. Alexander, MLive


Board members did not receive a copy of the May 2012 meeting minutes; therefore, approval was
postponed until the next DDA/BRA meeting.


HighPoint Flats, 241, 255, & 285 West Western Avenue. Proposed Development & Reimbursement
Agreement. C. Brubaker-Clarke provided board members with background information on the
HighPoint Flats project. The project had not proceeded as originally expected due to the economy
and recession. However, Mr. Rooks’ project is one of two in the City which received an extension
of Brownfield benefits, giving him until 2021 before the tax benefits begin phasing out.

J. Rooks confirmed that the economy had affected his project timeline. After studying the market,
they have decided to proceed with apartments rather than the condominiums originally proposed.
There were 48 units in the original building, and they plan to build an addition housing 24 more
units on an adjacent lot they own. He stated that the higher number of units would make it easier to
justify a full time manager at the complex. He believed that this project could serve as a catalyst to
other investors/developers by illustrating what was possible in the downtown area. J. Rooks
explained the requirements for obtaining state loan funds, stating that those deadline requirements
would speed up his project timeline.

A motion to approve the Development and Reimbursement Agreement was made by M. Bottomley
and supported by P. Edbrooke, with discussion continuing on the motion.

C. Brubaker-Clarke stated that, although this particular project was not included in the 2008
Brownfield Plan amendment, uses such as those proposed for HighPoint Flats were contemplated,
so a revised plan was not required. M. Bottomley asked if there would be any retail included in the
development, or just apartments. J. Rooks stated that it would be apartments only; they needed the
higher number of apartments to help cover overhead and management costs. He distributed pictures
of a model unit to board members. T. Taylor stated that he was comfortable supporting this project,
as Mr. Rooks had built a good reputation with his Lake House Restaurant and Shoreline Inn

A vote was taken on the above motion to approve the agreement, and was unanimously approved.

There being no further business, the meeting was adjourned at 11:20 a.m.

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