Historical drawing that includes portions of what is currently known as the Water Street Redevelopment Area

Water Street is a brownfield in Ypsilanti, Michigan which used to be a site of various industries and businesses.[1] In 1999, under the leadership of Cheryl Farmer, the City of Ypsilanti officially embarked on a project to redevelop the area to improve the general image of Ypsilanti and increase its tax revenue.[2][3][4][5] Unsuccessful negotiations with developers and contamination have prevented the project from progressing.[6] The city’s goal to develop higher density tax generating property stemmed from the passing of the Headlee Amendment and Proposition A which resulted in limitations on property tax increases.[7][6][8][9][10] Businesses and residents displaced by the proposed development attribute the blight and low taxable value of the area to the city’s failure to provide and maintain municipal services and infrastructure.[11][12] The contamination of the site is similar to other brownfield sites linked to the Automotive industry.[13] Ypsilanti is among other municipalities in the state of Michigan with brownfield sites that remain undeveloped.[7][13]

Geography

Water Street is a single 38-acre parcel near Ypsilanti’s downtown area.[1] The area is bordered by Michigan Avenue to the North, the Huron River to the West and South, and South and Park Streets to the East. Prior to being U.S. Route 12 in Michigan, the road on the North side used to be named Congress Street.[1]

History

Prior to the 1800s, Native Americans primarily inhabited the land around Ypsilanti and the river.[14][15] The Potawatomi and Sauk trails passed by what is currently the Water Street area.[16] Native peoples were removed from the area starting in 1816 and continuing until 1830.[17] The first settler occupants on the land of the Water Street Redevelopment area were in the 1800s.[18] Harwood's flouring mill was constructed in 1829 and positioned along the river just south of Congress Street, now known as Michigan Avenue.[19] In the second half of the 19th century, Alva Worden and his brothers John and Chauncey lived in mansions on this land and manufactured their invention, a new whip socket, in the same area.[20][21][22][23]

In the 1900s the land began to be developed and over the next 100 years it was the site of industries and businesses such as parks, a railroad, a lumber mill, a plastics factory, a heating and cooling business, restaurants and car dealerships.[24][25][26]

Historic District/Amazing Quarter Mile

The stretch of land along U.S. Route 12 in Michigan became a hub for car dealerships starting in 1912 when the first car dealership opened.[27] This area has been referred to as "The Amazing Quarter Mile" and was eventually added to the Ypsilanti historic district.[28][24][29] Various businesses occupied the buildings on U.S. Route 12 in Michigan such as Ypsilanti Savings Bank, Markham's Restaurant, Moorman's Lumber Yard, Serbay Motors, Silkworth's Gas Station and Auto Repair, Sesi Lincoln Mercury.[24] The last car dealership on the South side of this stretch closed in the 1990s.[30]

List of businesses and parks

Prior to the redevelopment project, the area has been home to businesses, residences and parks:[11][31]

  • Arlan’s shopping center[32]
  • Booth Newspapers, Inc.
  • Campus Buick, Honda, and GMC
  • Chop Suey
  • Commerce Motor Truck Co./Dura Corp.
  • Davis Motor Sales
  • Detroit Harvester Co
  • Detroit United Railway
  • Doran Chevrolet Co
  • Forest Avenue Baptist Church
  • First Class Cleaning Supply & Flooring
  • Gilbert Park
  • Greene’s Cleaner & Dryers, Inc.
  • Harwood’s Flouring mill
  • JJ’s Hair Salon and Car Wash
  • Joseph Thompson Inc.
  • Lee’s Takeout
  • Logan’s Landscaping
  • Lowell's Towing
  • Markham’s Restaurant
  • Moorman’s Lumber Yard
  • Plasber Inc
  • Public Square
  • Richards Desoto Plymouth
  • River’s Edge Park
  • Serbay Motors[33]
  • Sesi Lincoln Mercury
  • Silkworth’s Gas Station and Auto Repair
  • Speedy Printing
  • Vincent Chevrolet
  • Walters Heating and Cooling
  • Wireless Toyz[34]
  • Ypsi Automotive Parts
  • Ypsi Iron & Metal
  • Ypsilanti Press
  • Ypsilanti Savings Bank
  • Ypsilanti Tractor Sales Inc.[31][35]

Timeline of the Redevelopment Project

1990: A group called "Ypsilanti 2000" forms to discuss ways to improve the city and improve its image.[36] One idea is to redevelop the Water Street site and tear down the vacant buildings.[36]

1992: The city hires consulting firm Hyett-Palma to investigate the benefits of assembling the land and pursuing its redevelopment.[37] The study endorses the redevelopment project and forecasts increased property tax revenue.[38]

1999: The city conducts a community charrette to gauge community interest in the project, and decides to move forward with the project.[36]

2000: The City Council includes the Water Street Redevelopment Area as part of the Downtown Development Authority District.[3]

2001: The city selects Biltmore Properties to develop the property.[36]

2003: A group of Ypsilanti residents, who had concerns about various aspects of the project, meet with the Mayor and other city officials to communicate their concerns.[39] The city demolishes the first six buildings in May.[36] City officials initiate condemnation lawsuits against the owners of some of the properties after acquisition negotiations fail.[36]

2004: In early January, the city begins the second demolition phase and removes eight buildings.[36] The city completes purchase of the land and begins contamination cleanup.[36] The city announces that the site is more contaminated than they initially expected.[36] The city of Ypsilanti ends the development contract with Biltmore Properties.[36]

2005: The city announces they will pay Biltmore $725,000 in return for data and documents created by Biltmore through their due diligence process.[36]

2006: The city selects Joseph Freed and Associates as a new developer.[36] In the same year, the developer left the project citing economic concerns.[40]

2008: In June, the city hires CB Richard Ellis Inc. to help them market the project across the nation.[36]

2010: The city holds a small ceremony on the site of Water Street to celebrate the beginning phase of the final building demolitions.[41]

2011: The city begins having conversations with Washtenaw County Parks and Recreation about developing a Recreation Center in the area.[42]

2014: The construction begins for a Family Dollar store on about one acre of the redevelopment area.[43]

2015: Family Dollar construction completes.[43] A proposed development with Herman and Kittle Property ends because Michigan State Housing Development Authority determines land is unsafe for residential housing due to contamination.[36]

2016: After talks about a Washtenaw County, Michigan Recreation Center at the site, the project fails due to the high cost of remediation and development.[36][44][45]

2017: The International Village development is proposed as a new project for the site.[46][47]

2020: A developer called Kaufman Jacobs proposes a mixed-use project.[48][49]

2023: Two developers, J29:7 and Renovare, present mixed use developments to the projects.[50] The proposals are put on hold when environmental consultants find that contamination from PCBs is "much more than" than expected.[51][52]

Developers

Several developers have submitted proposals and letters of interest for the Water Street Redevelopment Project.[53][54] One development has been completed to date - Family Dollar.[43] Biltmore Properties was the first developer for the project.[53][55] Biltmore’s proposal was largely residential with 872 condominium units.[36][55][56] The city broke ties with Biltmore on December 22, 2004.[57][36] The city cited the two could not agree on who would bear the cost of remediating the contaminated soil.[57] In 2006, Joseph Freed and Associates worked with the city on the Water Street Development, but backed out of the project before the end of the citing the economy as the reason.[43] In 2010 the city council rejected a proposal to build a Burger King on one acre of land at Water Street.[58] In 2011, the city and Washtenaw County Parks and Recreation discussed plans to build a Recreation Center in the area, however, after five years of discussion the project plans ended due to the cost of remediation and development.[36][44][45][42] In 2012 the city of Ypsilanti approved a letter of intent to build a Family Dollar on a little over one acre of Water Street land.[59] Family Dollar bought the land for $210,000 and completed construction in 2015.[60][61][62] In 2014, the city started work with Herman and Kittle Properties on an affordable housing project to be built on a portion of Water Street.[63] The developer proposed the name Riverwalk Commons for the project.[63] Residents expressed dissatisfaction for the development in the public comment portion of city council meetings.[64] The city did approve the project and provided a tax break for the developer.[65] In 2016, the project ended because the Michigan State Housing Development Authority cited that contamination of the land made residential housing unsuitable there.[66] In 2017, International Village LLC submitted a letter of intent to the city proposing a mixed use development, specializing in housing and amenities for Chinese residents and tourists.[46] After city officials traveled to China on a trip paid for by the developer, there was an investigation into the legality of the trip.[47] After this, the project did not proceed.[47][67] A developer named Kaufman Jacobs proposed a mixed-use project in 2020, but the project never progressed.[48][49] In 2023 two developers, J29:7 and Renovare, presented mixed use projects to the city.[50] The proposals were put on hold due to a report from environmental consultants stating that contamination was more significant than previously known.[51]

Brownfield status and contamination

Several different contaminants have been found in the soil such as PCBs, Heavy metals, Volatile organic compound, BTEX and PNAs.[31][54][68] By 2003, a site assessment of soil and groundwater had been completed and listed contamination details by parcel.[35][69] In 2016 the city received grant money for further testing which revealed more contamination.[70] City put up a fence around the most toxic areas.[70] The now fenced-in area is the former site of Commerce Motor Truck Co. and a Dura Corp. manufacturing facility as well as a junk yard.[36][69] In 2023, environmental consultants reported to the city that contamination was more extensive than previously known, halting Water Street Redevelopment plans.[51][52] According to the environmental consultants, the contamination in these parcels is considered Hazardous waste in the United States due to the high parts-per-million (ppm) of PCBs in the top few feet of soil.[35][54][45]

Opposition and controversy

Residents and business owners have objected to the project based on the projected and actual costs.[11][71][72] As early as 2000 Ypsilanti residents were voicing concern about this project[11][73] City officials filed lawsuits against property owners with whom they could not reach a purchase agreement.[36] The city and those property owners settled and the city purchased all of the properties.[36] Altogether the city paid over $7-million for all of the properties, exceeding their initial budget.[36][74] On November 1, 2005, Ypsilanti resident and developer Bob Doyle delivered a letter to the Mayor and City Council describing in great detail the history of the Water Street project and why he opposed the current plan.[39]

In 2005, after breaking ties with Biltmore, the city paid $725,000 to purchase information that was developed by Biltmore in preparation for project construction.[36] Residents of the city became concerned that part of the $750,000 paid to the developer would come from the city's general fund, not grants and loans.[74] The city manager had pledged in the beginning of the project that no general fund dollars would be used, but shared with the Ann Arbor News in 2007 that the city had no other way to pay the debts.[39][36][74]

In 2016, the city filed a lawsuit against a local artist who helped organize and build a sculpture park which was part of the Water Street Commons.[75] The lawsuit followed the discovery of more contamination at the site.[75] In the lawsuit, the city requested all the sculptures be taken down and the individual stay off of the city property.[75] The Water Street Commons originally had a permit to be on the land, but after it expired, the Commons became illegal.[75] The case never went before a judge and city and artist chose to resolve the dispute through a stipulation order with the same requests of the lawsuit. The mayor at the time, Amanda Edmonds, responded to criticism of the suit by blaming media headlines for being misleading.[76][77]

In 2017, city officials went on a trip to China which was paid for by the developer behind the International Village mixed use development proposal.[78] The Mayor at the time, Amanda Edmonds attend this trip, as well as, Ypsilanti Director of Economic Development Beth Ernat, Mayor Pro Tem Nicole Brown, and Police Chief Tony DeGiusti.[78] The trip happened in September 2017 and afterwards an investigation was launched into the legality of the trip.[78] Mayor Pro Tem Brown and Police Chief DeGuisti were not found guilty of misconduct at that time.[78] Mayor Edmonds and Beth Ernat were accused of carelessness.[78] The city did not renew its contract with Ernat and Mayor Edmonds did not run for re-election.[47][78][79][80]

References

  1. 1 2 3 WASHTENAW COUNTY BROWNFIELD REDEVELOPMENT AUTHORITY - Water Street. (2014, December 1). https://www.washtenaw.org/DocumentCenter/View/11005/WS_BFP_WCBRA_AKT_182015_Revised-Final_Approved
  2. ↑ Hachem, K. (2002, March 10). Officials hope project sparks redevelopment. mlive newspaper archives. https://mlive.newsbank.com/doc/image/v2:124AC00F04CB9A3C@NGPA-MIMNA-17108D200D1BC14F@2452344-16F683BD6ECD9020@120-16F683BD6ECD9020@?search_terms=khalil%2Bhachem%2Bwater%2Bstreet%2Bcheryl%2Bfarmer&text=khalil+hachem+water+street+cheryl+farmer&content_added=&date_from=&date_to=&pub%5B0%5D=124AC00F04CB9A3C&pdate=2002-03-10
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  41. ↑ "Ceremony kicks off building demolition for Ypsilanti's Water Street Redevelopment Project". AnnArbor.com. Retrieved 2023-11-14.
  42. 1 2 Perkins, T. (2011, April 18). The newest idea for Ypsilanti’s water street: An $8 million to $10 Million county recreation center. AnnArbor.com. https://www.annarbor.com/news/the-newest-idea-for-water-street-an-8-to-10-million-recreation-center/
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  46. 1 2 "Still unclear who paid for Ypsi officials trip to China". Michigan Radio. 2017-10-11. Retrieved 2023-11-14.
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  59. ↑ "Family Dollar closer to becoming first development on Water Street in Ypsilanti; 2013 target open date". AnnArbor.com. Retrieved 2023-11-14.
  60. ↑ Stafford, Katrease (2013-09-23). "Proposed $1.2M Water Street Family Dollar project moves closer to construction". mlive. Retrieved 2023-11-14.
  61. ↑ "$1.2M Family Dollar store to become Ypsilanti's 1st Water Street development". AnnArbor.com. Retrieved 2023-11-14.
  62. ↑ "Water Street Family Dollar Sign Crisis Averted". WEMU-FM. 2013-10-17. Retrieved 2023-11-14.
  63. 1 2 Stafford, Katrease (2014-01-20). "Indiana developer proposes $12M affordable housing project on Ypsilanti's Water Street". mlive. Retrieved 2023-11-16.
  64. ↑ Stafford, Katrease (2014-03-05). "Ypsilanti approves $12.5M affordable housing project despite resident pleas". mlive. Retrieved 2023-11-16.
  65. ↑ Perkins, Tom (2015-02-19). "Ypsilanti approves $750,000 tax break for Water Street affordable housing project". mlive. Retrieved 2023-11-14.
  66. ↑ Perkins, Tom (2016-07-21). "Pollution concerns derail another Water Street project in Ypsilanti". mlive. Retrieved 2023-11-14.
  67. ↑ Perkins, Tom. "How a bizarre $300M 'Chinatown' scandal played out in Ypsilanti, Beijing, and Wayne State". Detroit Metro Times. Retrieved 2023-11-16.
  68. ↑ "Brownfield Projects". gisappsecure.ewashtenaw.org. Retrieved 2023-11-16.
  69. 1 2 The Traverse Group . (2005, March 13). Phase II environmental site assessment - city of ypsilanti. City of Ypsilanti. https://cityofypsilanti.com/DocumentCenter/View/418/Phase-II-Environmental-Site-Assessment-PDF
  70. 1 2 Perkins, T. (2015b, November 18). Ypsilanti approves $50k for Water Street contamination testing, record review. mlive. https://www.mlive.com/news/ann-arbor/2015/11/ypsilanti_approves_50k_for_wat.html
  71. ↑ Haynes, Jessica (2017-09-12). "Ypsilanti's Water Street could see $150M development in 2018". mlive. Retrieved 2023-11-16.
  72. ↑ Gardner, Paula (May 5, 2013). "Ypsilanti's Water Street: Contradictions keep city from fulfilling any potential for property". AnnArbor.com. Retrieved 2023-11-16.
  73. ↑ Pierce, Steve (May 26, 2003). "Concerns over Ypsi Water Street Project". YpsiNews.com. Archived from the original on 2009-01-07. Retrieved 2023-11-16.
  74. 1 2 3 Hachem, K. (2007, July 15). What’s Next for Water Street.". mlive newspaper archives. https://mlive.newsbank.com/doc/image/v2%3A124AC00F04CB9A3C%40NGPA-MIMNA-17108D853067A982%402454297-16F6CEBB5D5ABA8A%4079-16F6CEBB5D5ABA8A%40?search_terms=biltmore%2B%22water%2Bstreet%22&text=biltmore+%22water+street%22&content_added=&date_from=&date_to=&pub%255B0%255D=124AC00F04CB9A3C&pdate=2007-07-15
  75. 1 2 3 4 Perkins, Tom (2016-04-20). "Ypsilanti sues 'Water Street Commons' organizer over sculpture park". mlive. Retrieved 2023-11-14.
  76. ↑ "Ypsilanti Files Lawsuit, Plans Increased Police Patrols At Water Street Site". WEMU-FM. 2016-04-25. Retrieved 2023-11-14.
  77. ↑ Perkins, Tom (2016-04-29). "Ypsilanti drops lawsuit against Water Street art park organizer". mlive. Retrieved 2023-11-14.
  78. 1 2 3 4 5 6 Burns, Gus (2019-03-13). "A year later, state police still investigating whether funding of Ypsilanti China trip might have been illegal". mlive. Retrieved 2023-11-14.
  79. ↑ Haynes, Jessica (2018-04-13). "Ypsilanti drops economic director after China-trip investigation". mlive. Retrieved 2023-11-14.
  80. ↑ Perkins, Tom. "Ypsilanti mayor admits to knowledge of her China trip's funding source". Detroit Metro Times. Retrieved 2023-11-14.
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