Hundreds of single-family homes and condominiums could be built on the shores of White Lake at the site of the former Whitehall Leather Co.


Date not available
MIBiz

Although he is still waiting for approval from the city of Whitehall and the resolution of some environmental issues, Eastbrook Homes Inc. CEO Mick McGraw closed on the sale of the land in November. McGraw and his partner, Muskegon attorney Tom Thornhill, have worked on the site for several years and formed South Shore Development LLC to develop the property.

The four-story leather tannery plant with a nearly seven-story tower has been a landmark in Whitehall since 1866. McGraw and Thornhill purchased the property from Nashville, Tenn.-based Genesco Inc. when the company ceased tannery operations in that facility in 2000.

McGraw feels the site is unique to anything else found up or down the Lake Michigan shoreline because of its location on the 6.5-mile White Lake and its easy access to Lake Michigan.

“It’s also the only site along the Lake Michigan shoreline with that much lake frontage,” McGraw told MiBiz. “We plan to build a variety of residences – single-family homes, attached townhomes and flats – all with a marina dedicated solely to people living on the site.”

Whitehall City Manager Scott Huebler said the property was rezoned from industrial to multi-family residential in the late 1990s with the assumption that the factory would no longer be operating there and it would become prime lakefront residential property. Although final drawings haven’t been submitted, he said city officials are pleased with the South Shore plans.

“I know we are all excited and looking forward to the redevelopment. The tannery has been there over 100 years. After all that time it will be nice to see it taking on new life,” Huebler said.

Thanks to the tannery operations, a considerable amount of environmental work has been done on the property, but it is only the beginning. Huebler said the first part of the environmental cleanup involved dredging sludge out of the bay in the summers of 2003 and 2004. That was part of consent order by state of Michigan and Genesco.

Genesco is currently developing a remedial action plan with the state to define what needs to be cleaned up and how that’s going to be done. Huebler said the city has received approval from the state of Michigan for asbestos removal and demolition of the building. The city received a $1.25 million brownfield redevelopment grant and a low-interest loan of $748,000 from the state. Whitehall also will invest $760,000 for roads, sewer mains, water mains and sidewalks.

Huebler said the project has drawn some criticism, particularly in regards to increasing lakeshore population density and environmental concerns.

“There were a number of concerns that have been addressed. The developer made a number of changes to meet those concerns,” Huebler told MiBiz, noting the location of boat slips was moved to preserve a high-quality fish habitat.

The White Lake Area Chamber of Commerce is in favor of the development.

“We encourage the development of the area. That would be a step in the right direction,” said White Lake Area Chamber of Commerce Director Amy VanLoon.

Whitehall currently has only a couple of small condominium developments.

According to information published by city officials, the project would have a positive economic impact. A study conducted by the National Association of Home Builders indicates that the first year impact of building 200 residential units at the tannery site would generate just under $32 million of local income, $2.7 million in new taxes and more than 700 local jobs.

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