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Gov. Whitmer Announces New Affordable Workforce Housing with Downtown Petoskey Rehabilitation Project

Government and Politics

December 2, 2024

From: Michigan Governor Gretchen Whitmer

The rehabilitation of the landmark City Park Grill in downtown Petoskey’s central business district will add housing and increased density with the support of the Revitalization and Placemaking program

LANSING, MI - On December 2, 2024, Governor Gretchen Whitmer joined the Michigan Economic Development Corporation (MEDC) to announce a redevelopment project receiving support from the Revitalization and Placemaking (RAP) program, which will activate the functionally obsolete second floor of the landmark City Park Grill in downtown Petoskey to create five affordable workforce housing units.  

“Today’s project in Petoskey will build more housing for workers and make the city a better, more affordable place to live,” said Governor Whitmer. “Thanks to bipartisan funding for the RAP program, we are continuing our comprehensive economic development strategy to help anyone ‘Make It in Michigan’ by focusing on investing in people, building up places, and winning projects. Together, we will keep growing our economy, delivering on the kitchen-table issues, and making our cities and towns better places to raise a family or start a business. Let’s keep moving dirt and getting things done.” 

This project, supported by a $566,170 RAP grant, will generate an anticipated total capital investment of $2,179,000, adding vibrancy and density to the community’s downtown. In addition, the project will include the installation of solar panels on the roof and an automatic fire suppression system throughout the first and second floor.  The RAP program provides access to gap financing for place-based infrastructure development, real estate rehabilitation and development, and public space improvements.  

“On behalf of the MEDC, we are pleased to work with communities across Michigan and invest in their resilience through the RAP program as part of our ‘Make It in Michigan’ economic strategy’s placemaking efforts,” said Michele Wildman, MEDC Chief Place Officer. “We look forward to seeing how this project brings additional vibrancy to downtown Petoskey and improve its community and residents.”  

The project will revitalize 2,921 sq.-ft. of the building’s formerly vacant second floor, meeting the growing demand for housing in Emmet County and attracting and retaining workforce talent in the region. Transitioning unused office space to small apartments above businesses downtown is one way that Petoskey can increase its inventory of workforce housing and its vibrancy as a livable, walkable community.  

“The City of Petoskey is proud to partner with Wineguys Holdings to revive a blighted, underutilized upper floor of a historic Downtown restaurant into 5 workforce housing units,” said City Manager Shane Horn. “This local, community-minded investment team understands the challenges of housing affordability in our region and is committed to being part of the solution. We applaud the MEDC in activating Revitalization and Placemaking program funds for this project as the redevelopment of this property will have a broad and profoundly positive impact on our Downtown and community as a whole.” 

Developer Wineguys Holdings also expressed gratitude for MEDC funding: "Wineguys Holdings is committed to helping address the shortage of affordable housing in the City of Petoskey. We appreciate the support of MEDC by providing Revitalization and Placemaking grant funding. We are also grateful to the City of Petoskey for their continued support throughout the process. The assistance of both was critical in allowing us to achieve our goal of providing five affordable workforce housing units in Northern Michigan. We would not have been able to fulfill this objective without their support."  

The rehabilitation of the second floor of the iconic City Park Grill building on placemaking efforts in the community. In August 2018, the City of Petoskey received certification as a Redevelopment Ready Community, which is awarded to communities in Michigan that have established a solid foundation to attract private investment and further build on municipality assets. 

“This is great news that will help spur growth in Northern Michigan. Housing has been a major issue in our region and across the state,” said Sen. John Damoose. “We’ve been working hard to both grow and attract talent, but the simple fact is if we want to bring more people to our state, they have to have somewhere to live. I’ve been a strong advocate for expanding workforce housing, and these grants will help make significant progress in the right direction. I hope to see more of these grants being made available, along with additional legislative steps that encourage more people to build their lives right here in Michigan.”