A small but important step in housing

The renovation of a former bank in downtown Manistique into commercial and residential uses is getting some help from a Build MI Community Grant Initiative.

The former Manistique Bank is being transformed from a vacant commercial building to a mixed-use commercial and residential property. The project was awarded a $250,000 grant from the Michigan Strategic Fund program.

“We were looking to invest in downtown Manistique in a way that provides much-needed housing along the commercial corridor,” says Kristina Behrens and Antonio Adan, partners in Cedar Street Real Estate Developers. This is the couple’s first mixed-use project (both commercial and residential).

Victoria George, executive director of Schoolcraft Tourism & Commerce, sees the redevelopment project as a small but important step to much-needed housing in the rural community and how one person can contribute meaningfully. 

What’s happening:  Cedar Street Real Estate Developers has been awarded a $250,000 Build MI Community Grant Initiative through the Michigan Strategic Fund Program. The Manistique project was one of two in the U.P to receive funds that were announced this month. The other is Northern Hardwoods Lumber in Houghton County. Combined, the projects represent a $5.5 million investment in the U.P. and the protection of 85 jobs.

The project: On the building’s second floor, 4,670-square-feet of former office space is being renovated into three residential apartments, representing nearly $820,000 of capital investment. The new residential space will help increase the density of downtown Manistique while providing much-needed housing in the community of nearly 3,000 on the northern shores of Lake Michigan.

The first floor has already been transformed into office units, occupied by a remote worker and a domestic and sexual violence advocacy liaison. The main level offices have some original woodwork that has been kept intact and the two bank vaults remain in the rear of the building and will be retrofitted to be useful storage space. The upstairs had been remodeled several times over the years; there are not many original historic features remaining. 

“My family has been in the area since the 1960s and we feel a connection to the community,” Behrens says. “This building had been on the market a couple years ago, and when we visited, we were immediately drawn to the potential of the floor plan and the beautiful features of the building. The mixed-use development will enable patrons to enjoy a more pedestrian-friendly downtown area.” 

History: Built in 1902, the architectural features of the Jacobsville sandstone structure along with the prior façade restoration efforts have made the building one of the crown jewels of Schoolcraft County. The bank thrived during the 1920s but hit hard times during the Great Depression and closed in 1937, according to an article published in the Pioneer Tribune a few years ago.  Other businesses occupied the building over the years, including the Inland Lime and Stone Company and the Michigan Liquor Control Commission.

Other support: The site is a priority for the city of Manistique and has received local support in the form of an OPRA tax abatement with an estimated value of $81,577. The regional economic development organization, Invest UP, has prioritized the project for the region by providing collateral support from its Build UP program. The priority of Build U.P. is to expedite the construction of shovel-ready housing projects in the Upper Peninsula. Recipients must partner with a local lending institution to access funds. Funds may cover all or a portion of a calculated shortfall (as described by the lending institution)," according to its website.

“I’m thrilled for Kristina and her receipt of the MEDC Build MI Community Program grant,” Schoolcraft Tourism’s George says. "Her project to renovate the Manistique Bank building is a wonderful example of how small developers can make a significant impact on our community. By adding three new apartments to the area, Kristina is directly addressing our housing shortage and providing much-needed housing options for our residents. We are also grateful for programs like MEDC’s and Invest UP’s Build UP program, which provide invaluable support to those pursuing projects in our community.”