Developers that have been benefiting from massive public subsidies want even more for development projects in Grand Rapids

According to a recent Crain’s Grand Rapid Business article, CWD Real Estate Investment LLC is nearing completion of a former office building to be used for housing, but now they want to more, especially if they can benefit from additional public subsidies.

At a Grand Rapids Chamber of Commerce event this past Spring, Sam Cummings talked about a state law that was adopted in 2023, which amended the Brownfield Redevelopment Financing Act. This amendment made housing development projects, like the One Eleven Lyon project eligible for brownfield capture. However, Cummings – who is the C in CWD Real Estate Investment LLC, hopes to benefit from the use of additional public subsidies for a third building conversion project.

According to the Crain’s article, “Cummings called the 111 Lyon project “step one” in the firm’s downtown strategy to invest in its downtown assets. He anticipates beginning construction on July 1 at CWD’s Ledyard Building at 125 Ottawa Ave. NW to convert part of the downtown office building into 36 apartment units.”

The same article then cites Cummings who makes the claim:

“The market and our downtown has changed in the past six years as cities across the country face new challenges,” Cummings said. “We will be transforming this building and others, adding residences and supplemental uses that piggyback on the new cultural anchors, courtesy of Grand Action, to strengthen the demographics of our city and make it a vital 24-hour community.”

I appreciate the comment from Cummings where he acknowledges that the Grand Action 2.0 projects, like the Amphitheater and the Soccer Stadium, has been a game changer. However, Cummings fails to acknowledge that this change has primarily benefited companies like CWD and the other downtown property owners.

Of course the Brownfield Redeveloping Act currently has a cap of $1.6 billion for development projects throughout the state. Not to worry, because in, “December, the Democratic-controlled Senate voted to more than double the $1.6 billion cap on post-construction tax captures to $3.5 billion. It would be the second expansion of the program, which was created in 2017, is funding 13 projects and is just $15 million short of the $1.6 billion limit,” according to a June 2nd Crain’s article.

In that same Crain’s article it states that the Michigan State Legislature House Speaker Matt Hall is now open to adopting the $3.5 billion amount for the Brownfield Redeveloping Act. This would make Sam Cummings and Dan DeVos (the principals of CWD) very happy, since it would all but guarantee that their ongoing efforts to turn office buildings into apartments in downtown Grand Rapids would be significantly subsidized by the public.

It is also worth mentioning that when running for Mayor of Grand Rapids, David LaGrand received $2,450.00 from Sam Cummings, which is why LaGrand was pictured in the photo with Cummings (see photo above) for the 111 Lyon ribbon cutting and quoted in the Crain’s article. Crain’s wrote, “Grand Rapids Mayor David LaGrand applauded Cummings’ vision for downtown and how the project will provide a more walkable lifestyle for its residents.”

LaGrand failed to mention that the primary beneficiaries of a walkable lifestyle in downtown Grand Rapids would primarily be members of the professional and capitalist classes. The rest of us will still have to drive to work and meet other basic needs, but hey, it should be clear by now that downtown Grand Rapids has been the playground of the rich for several decades now, often at the public’s expense.