Abonmarche joins effort to revitalize Benton Harbor Main Street, builds eight apartments

BENTON HARBOR, Mich.--- From a population of roughly 20,000 in the 1960s, Benton Harbor's current population is down to just over 9,000, according to City Manager Alex Little. However, the city still has the infrastructure for that larger number of people, and a large effort is underway to revitalize Benton Harbor's Main Street.

That's why leaders are celebrating projects like what Abonmarche is doing.

Abonmarche has been headquartered in Benton Harbor for more than 46 years. Its CEO, Daryl Knip, says their downtown building is falling apart. But the development company of designers, engineers and architects is not going anywhere. In fact, it's moving forward with an approved brownfield plan to renovate and refurbish its first floor offices, while installing eight apartment units on the second floor.

"We would like to invest in a building in the community to help attract new employees, provide a better work environment, and continue the improvements on Main Street," Knip said.

The brownfield agreement, approved by Benton Harbor commissioners Monday night, would allow the developer to get reimbursed for about $1 million with tax increment financing, so some of the tax revenue would be captured and given back to the developer. The city is not putting any money toward the project.

"I absolutely support it and as many as we can get like it," Little said. "We the city are not only interested in bringing Main Street back to life, but the entire city."

As explained in the commissioners meeting, the rent of the eight incoming apartment units is based on area median income (AMI). The six one-bedroom units would cost $1,100 a month; that's 70 percent AMI.

The two two-bedroom units would cost $1,600 a month, that's 80 percent AMI.

Benton Harbor needs hundreds of housing units, so why does only eight units matter? Some argue these smaller projects will inspire larger ones.

Here's Benton Harbor Mayor Marcus Muhammad at Monday night's meeting with why he supports the project.

"It's going with the renaissance of downtown Benton Harbor, which is commercial as well as residential," Muhammad said. "It attracts. Activity breeds activity. Business brings business. So maybe those 8 units will inspire somebody to open up a cleaner's next door or across the street."

Little said the next step for the city is finding developers to build infill housing in Benton Harbor's vacant lots. The city wants 500-600 new houses built over the next five years.