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Ann Arbor City Council Approves Rezoning Efforts

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In an 8-3 vote, the Ann Arbor City Council has given initial approval for the rezoning of over 200 acres around Briarwood Mall. The city-initiated rezoning will need final council approval next month. Its intent is to encourage high-density, mixed-use development with limited building heights determined by the proximity of residential areas. City officials are hopeful that it will lead to a mix of housing and commercial spaces.  The three council members who voted against the proposal view the rezoning as a giveaway to developers and landowners.

 

Asphalt Specialists Appeals to City Officials

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Asphalt Specialists, Inc. wants Detroit’s Board of Zoning Appeals to allow construction of an asphalt mixing facility on Detroit’s northwest side. The project had faced opposition from community members and had been rejected by Detroit’s Buildings, Safety, Engineering and Environmental Department late last year. They are proposing a 25-acre facility in an area already zoned for intensive industrial use. The site would have 50-feet-high silos for mixing and storing raw aggregate like gravel and asphalt. The proposal was rejected due to concerns about its proximity to residential neighborhoods.

 

 

Rezoning Proposal Heads to Ann Arbor City Council

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Ann Arbor’s Planning Commission voted to recommend City Council approve the rezoning of 68 properties along State Street and Eisenhower Parkway into a new high-density development zone. The proposal would rezone 226 acres by Briarwood Mall and allow downtown-style development to occur, transforming the area into a mixed-use neighborhood. According to City Planner Alexis DiLeo, the proposed rezoning could potentially add hundreds of homes to the area.

 

Novi Residents Protest Childcare Center

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A plan to transform an existing golf clubhouse in the northwest corner of the city into a learning center is facing stiff opposition from area neighborhoods. The learning center would accommodate between 125-175 children on a daily basis, exceeding the zoning allowance. Hundreds sent letters to the city opposing the project, and many attended the January 26 planning commission meeting. The plan would also convert the nine-hole golf course into open green space. Residents are concerned about traffic, especially during drop-off and pick-up times. The residential properties and the clubhouse share the same road connector. The attorney for the petitioner says the traffic will actually be less intensive than a bar, restaurant or golf course. Commissioners voted to recommend a denial to the city council.

 

 

 

 

 

Ann Arbor Takes Steps Toward a More Walkable Neighborhood

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Ann Arbor real estate developer, Oxford Companies, plans to build a new apartment building on Ann Arbor’s south side. The space is currently used as parking for its main office. No timeline has been set for construction. The development endeavors to create a more walkable and livable neighborhood. The 226-acre area may potentially be rezoned to allow new buildings up to 300 feet which will develop a high-density and mixed-use area to create a downtown environment. The proposal would require the rezoning of 69 properties, including those around Briarwood Mall.

 

 

Washtenaw Conservationists Purchase Acreage

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The Michigan Land Conservancy purchased 162 acres of wetlands, forest and former cropland for $1 million. The acreage is located east of Ann Arbor in Superior Township. This is a second purchase toward preservation efforts in Superior Township. Previously, Superior Township leaders voted unanimously to buy 300 acres known as the “Rock property.” The newly-purchased Michigan Land Conservancy parcel is next door to that property and the township-owned Cherry Hill Nature Preserve. The speedy transaction was financed through private loans and donations, including a loan and donation from Detroit Audubon.

 

 

 

Michigan Legislature May Nix Short-Term Rental Laws

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Bills in the Michigan legislature that have bipartisan support would nix local laws that ban or limit short-term rentals through zoning. The bills are controversial and have garnered heated debate. Proponents like Airbnb, realtors, and lawmakers from both parties say the proposed changes to state law are about personal property rights and do not prevent cities from regulating short-term rentals. Opponents, which include leaders from cities all over the state and hoteliers, say they do not support an outright ban on short-term rentals. They feel that local leaders should have the power to decide what rules are most effective for their communities.

Weekly Brief – January 25, 2021

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As we observe the impact of COVID-19 on the residential, office, and retail sectors, there is a much longer-term factor that I am also observing. The impact of electric and/or autonomous vehicles on real estate.

First, electric vehicles. As the percentage of electric vehicles increases, there will inevitably be an impact on petroleum retailers. These gas stations are generally found in “prime” corner locations. If there is an economic impact on gas stations that causes a contraction of the number of locations, this will open up these locations to alternative developments. However, given the simultaneous decline of bricks and mortar retail, the users of these prime locations remain to be seen.

Second, autonomous vehicles. There are two potential impacts of autonomous vehicles that I want to highlight. As an initial matter, if one is able to “call” a car to pick you up when you are shopping or working, the need for close parking locations may decrease. This could have an impact on the requirement of zoning ordinances to provide on-site parking. If zoning ordinance requirements change, the impact on land use could be substantial. Second, if the shift to autonomous vehicles leads consumers away from vehicle ownership, and towards “on-demand” vehicles, this could have significant impacts both in our infrastructure needs and, in Detroit specifically, in the economy. If vehicles are rented on demand rather than owned by individuals, the sales volume could substantially decrease, as consumers could make more efficient use of available vehicles. Imagine if your car, parked in your office parking lot, was instead able to be used throughout the day by others.  If sales volumes decrease, the economy in Michigan could be detrimentally impacted.

Again, these are all long term issues. But a smart investor, owner, or consumer, will monitor the trends.