Fowlerville Considering Commercial Rehabilitation District
September 1, 2021
By Mike Kruzman / email@example.com
One local municipality could be implementing a new district that could stimulate new commercial business.
Fowlerville Village Council is considering the creation of a Commercial Rehabilitation District. This is being driven by the recent Planning Commission approval for a site plan at 130 West Grand River Avenue. The proposed mixed-use development would feature retail space on the ground level and 9 residential units on the second story.
Act 210 of 2005 provides for the establishment of a commercial rehabilitation district to provide for the exemption from certain taxes over a period of up to 10 years. The Village allows for these abatements in their industrial district, but there are differences in how a commercial district would operate. In a commercial rehabilitation district, the Village can choose its size, meaning it could be for one parcel, several, or all in the appropriate zoning. Businesses receiving this abatement would also continue to pay for what is at the property at the time the abatement is granted, along with school-related taxes.
Village Attorney David Stoker said that there are only around 50 of these in the state, and one-third of them are in Detroit. That is because it is primarily for the rehabilitation of buildings. 130 W. Grand River is currently vacant, but if it had property on it in the previous 15 years, it is still eligible. That site has only been vacant for 13.
Adoption of the district also affects the county’s taxes, and so its creation needs to be approved at that level, as well.
Village Council hopes to have proposed boundaries ready for review at their next meeting, and then hold a public hearing at the following one.