Monday, November 7, 2011

Voters to decide fate of The Grove in February election

GVL / Eric Coulter

The decision is the final step in a two-year battle over development of The Grove, a $20 million construction project funded by Campus Crest Communities that would add 648 beds in 248 units to the northwest corner of Lake Michigan Drive and 48th Avenue.
Greg DeJong, a real estate agent working with Grove landowner Stuart Becker, estimated that the deal would generate $500,000 in property taxes for Allendale public schools; however, vocal opponents of the deal, including Township Trustee David Morren and owners of other apartment complexes near Grand Valley State University, say the density calculations used to approve The Grove give the complex unfair competitive advantage.
The density calculations used for The Grove were different than those used in the development of Allendale’s most recent housing additions, such as Meadows Crossing and The Village at 48west.
Glen Turek, property owner of Meadows Crossing apartments, said the housing market in Allendale is already “saturated,” with significant vacancies in most complexes.
In June, a survey showed that Campus West occupancy was at 30 percent, and other units have faced similar struggles as the growth of the student body at GVSU has leveled out in recent years.
“The existing housing complexes all have fixed costs that need to be supported,” Turek said. “If the market is too saturated with beds, this will create more vacancy and will make it difficult for the fixed costs to be supported. …Some owners will not be able to pay property taxes. Some landlords could even end up defaulting on loan payments.”
Construction for The Grove won approval from the board of trustees 4-3 in July, but has been held in limbo by a lawsuit challenging the lot’s zoning. The suit, brought forth by Duane Thomas and several housing development owners, seeks to return the land from mixed-used commercial to light industrial, its pre-2010 zoning.
Read the full story at www.lanthorn.com.

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