Local developer Chuck Schneider has got his sights set on turning a piece of former industrial land owned by Oxford Village for the past nine years into a residential development.
‘I think it’s good for the community,? he said. ‘I think it’s good for the village to generate some tax revenue.?
Last week, Schneider went before the village council and made his pitch to purchase 98 S. Glaspie St. for $225,000, then construct a three-story multiple family building on it along with some two-story attached single family row houses.
‘I’d like to see somewhere between 80 and 100 (units) in the whole thing,? he told council.
Council responded favorably to the idea and voted 4-0 to direct Councilman Tom Kennis, along with Manager Joe Young and Attorney Bob Davis, to negotiate an agreement with Schneider and bring it back to council for further action.
‘At the end of the day, I personally think it is a viable thing that could potentially be a win-win for everybody,? said Councilman Bryan Cloutier. ‘I would like to see it progress.?
Purchased by the village for $700,000 in March 2006, 98 S. Glaspie St. is a former industrial site consisting of two parcels totalling approximately 3.5 acres with two attached buildings totalling 21,400 square feet. The buildings are in very poor shape.
The property is located next to the village’s Scripter Park, Round Lake, Department of Public Works (DPW) complex and water treatment plant.
‘It’s not the strongest location next to the water treatment plant and the DPW yard, but it does have the advantage of being in close proximity to the park, so they kind of counter balance one another,? Schneider said.
Schneider initially offered $250,000 for the property, but reduced it by $25,000 because he told council he’s going to have to spend $70,100 to have the buildings demolished based on a quote he received from the Lapeer-based North American Dismantling Corp. He told council in light of this, he had to lower his offer, otherwise, the project wasn’t feasible.
An appraisal commissioned by the village last year valued the property at $305,000.
Schneider wants a number of conditions attached to the potential deal such as making the purchase contingent on him receiving site plan approval from the village.
‘I don’t buy any property unless I have an approved site plan because otherwise, I’m buying property that I don’t know what the community is going to allow me to use it for,? he said.
He also wants a rezoning approved. Right now, the property is zoned for single family residential use (R-1 and R-3). Schneider wants the large portion zoned R-1 to stay as is, but he’s requesting the small portion to the east zoned R-3 be rezoned to multiple family (RM-1).
He told council his proposed development would primarily be designed to serve the needs of senior citizens, young couples and young single people. He noted that housing for young people is particularly lacking in this community. ‘Where does a 28-year-old single person live in Oxford?? he asked.
Having a development like this within walking distance of the downtown area would be a big benefit to Oxford in Schneider’s view.
‘If you look at communities like Royal Oak and Rochester . . . .those communities are all viable because they have people who live very close to the downtown,? he said. ‘And that’s really what maintains those downtowns.?
As part of his proposed deal, Schneider offered to maintain and enhance the village-owned Scripter Trail located east of 98 Glaspie St. in order to make it ‘much more user-friendly and attractive.? His letter of intent said ‘enhancements could include trail grooming, wild flower plantings, trash receptacles and park benches.?
Schneider also offered to allow the village to retain ownership of the 710-square-foot historic Smith silo located on the property, but it would have to be removed by the municipality prior to closing.
Smith silos are a part of Oxford history.
Founded in 1906 by Hiram Smith, inventor of the concrete stave silo, the Smith Silo Company sold its first one in 1909. Smith’s son, Warren Smith, expanded the company and built it into one of the best-known concrete silo manufacturers in the Midwest.
Smith Silo moved to Oxford in 1930 to be close to its gravel source. The company was located at 98 S. Glaspie St. through the 1970s.
Another Smith silo stands in Seymour Lake Township Park where it’s used as a pavilion. A Smith Silo was donated to the Henry Ford museum in 1976.
Schneider is the fourth party to approach the village with a formal offer to purchase 98 S. Glaspie St. Last year, two Oxford companies, Raven Engineering and Puritan Magnetics, offered $250,000 and $305,000, respectively, for the property with the idea of moving their industrial operations there.
Both later withdrew their offers.
Venture, Inc., a subsidiary of the Oakland Livingston Human Service Agency (OHLSA), offered the village $400,000 for the site, so it could construct an apartment complex for senior citizens (age 55 and older) who are deaf or hard-of-hearing.
Venture’s funding for the proposed project was entirely dependent upon it applying for and receiving low-income housing tax credits from the Michigan State Housing Development Authority. The competition for these can be quite stiff.
‘We needed to get those tax credits to make it work,? said Ron Borngesser, chief executive officer of OLHSA.
According to Borngesser, Venture withdrew its application with the state because the project wasn’t going to be as competitive in the bidding process as originally believed.
The site just wasn’t close enough to downtown Oxford to compete with other projects in urban areas, he explained.
‘Walkability has become really critical (in the competition for these tax credits),? Borngesser said. ‘You’ve got to be near certain things in the downtown district in order to get the maximum number of (walkability) points. Glaspie was just a little bit too far out.?