Brownfield Redevelopment

What is a Brownfield?

A Brownfield is real estate which requires some form of cleanup and/or investment to make it suitable for industrial, commercial or residential use. The reason for cleanup may be the presence or potential presence of a hazardous substance, pollutant, or contaminant. Cleaning up a property may be funded by tax incentives to encourage development of Brownfield land.

What are the benefits?

• Job creation and retention
• Finding uses for contaminated and/or vacant sites
• Increasing the tax base
• Spin-off redevelopment
• Stronger Neighborhoods
• Offers an alternative to urban sprawl and the loss of open space

It is the mission of the Brownfield Redevelopment Authority to identify and to facilitate improvement of environmentally distressed, functionally obsolete, and/or blighted areas so as to promote revitalization within the city of Holland. To date, the City has approved 7 Brownfield projects the details for which can be found in the Full Brownfield Plan.

Success Story

Shown in the photo above, the Baker Lofts building is an example of a successful Brownfield project. The former Baker Furniture factory located at 24th Street and Columbia Avenue is now a combined use residential, retail and office facility.

The developer has the opportunity to gain up to 4 million dollars for site redevelopment costs through captured taxes (Tax Increment Financing).

This project created 10 to 20 new part time and full time jobs in addition to the construction work. This project will also result in a long term increase to the City’s tax base and the reuse of a formerly vacant industrial building.

These incentives are available to sites having environment contamination above State thresholds or buildings that are
determined to be functionally obsolete.

How to Apply

1. Download the Brownfield Application

2. Applications for inclusion in the Brownfield Plan must be submitted and approved prior to the start of construction or installation of equipment and/or machinery.

3. Project Developers will be requested to submit an information package that includes:

• Location
• Development Principles
• Environmental Plan
• Redevelopment Plans
• Financial Feasibility

4. Applicants must submit 10 copies of the completed Brownfield application. If approved a filing fee is added to the tax increment financing capture covering the costs of processing the application.

5. The initial information package and completed project plan will be reviewed by the city staff with a recommendation forwarded to the Authority for the Authority’s consideration.

6. Once the plan is approved by the Authority, the project plan is forwarded to the Holland City Council for consideration. The Council holds a public hearing and takes final action on the application.

7. A development agreement outlining the roles and responsibilities of the Developer and the Authority between both parties is then required.
8. City staff will be available toassist you with questions you may have on the applicationor process.

Current Brownfield Sites

1. 16th Street Development
570 East 16th Street
Holland, MI 49423

2. Landmark Industrial Center
345 East 48th Street
Holland, MI 49423

3. Fifth Street Partners
29 East 6th Street
Holland, MI 49423

4. East 48th Street Properties
635 East 48th Street
Holland, MI 49423

5. Baker Lofts
573 Columbia Avenue & 176 E 24th Street
Holland, MI 49423

6. Steketee-VanHuis, Inc.
13 West Fourth Street
Holland, MI 49423

7. Macatawa Bank
141 E 8th St
Holland, MI 49423

8. Midtown Resource Center LLC
95 W 15th Street
Holland, MI 49423

9. Plaza East
99 E 8th Street
Holland, MI 49423

10. Purple House Productions
479 Columbia Avenue
Holland, MI 49423

11. Scrap Yard Lofts
146 River Avenue
Holland, MI 49423

12. City of Holland Parking Deck
7th Street
Hol land, MI 49423

13. Crescent Shores LLC
561 Crescent Drive
Holland, MI 49423

14. Liberty Village
372 River Ave.
Holland, MI 49423

A. Single Business Tax (SBT) Credit

By inclusion within the City’s Brownfield Plan, a project becomes eligible for a Single Business Tax Credit; that is, a
financial credit against the single business tax that a business may pay. This can be a significant financial incentive for
developers and investors of eligible property. Upon application submitted to the State, this Act provides such taxpayers a
credit against their SBT liability of up to ten (10) percent of eligible investment costs that the taxpayer has incurred to
redevelop or expand the eligible property, with a $30 million limit on the total credits that any taxpayer can claim. One
SBT credit is allowed per project and will be issued at the completion of the project.

B. Tax Increment Financing (TIF)

The City will consider the use of Tax Increment Financing to capture increases in property tax revenues on eligible
property to pay or assist in paying costs of eligible activities through a reimbursement plan agreed to for each project.
The Brownfield Authority TIF may capture available property tax revenues from “non-school” taxing jurisdictions and,
with State (MDEQ/MEDC) approval of a project work plan, “school” taxing jurisdictions. The TIF is used to
reimburse the costs of eligible project activities that are included within the approved Brownfield Plan.