123 W. Summit (Lot Split from 721 N Main)

Site Description and History

123 W Summit is located on the north side of downtown. The property is currently used by the City Public Services Department. There are warehouse buildings on the site that are no longer in use. The site is currently zoned PL, Public Land. Most of the site is within the floodway and floodplain. The City received a FEMA hazard mitigation grant to remove a structure on the site and the FEMA grant restricts the future use in perpetuity to open space for the conservation of natural floodplain functions.

As part of the analysis, it was determined that the northwest corner of the site that abuts W. Summit Street was the only portion of the site that was not in the floodway or floodplain and is suitable for affordable housing development. Therefore, a .33 acre parcel in the northwest corner was split from the 5.26 acre parcel known as 721 N. Main. 

^{Image courtesy of SmithGroup}

Key adjacent uses include the railroad immediately to the west and the Ann Arbor Community Center and the Ann Arbor Distillery to the south.

From a financial perspective, the site has multiple constraints that reduce the traditional development subsidy options due to its small size and proximity to the railroad and Main St (related to noise). However, this site may be developed using local and philanthropic funds. The concepts in the Feasibility Analysis consider different housing typologies to maximize the total unit count within the current site constraints and zoning options. Resident and visitor parking are provided on-site for all options.

The City is considering the following objectives for redevelopment:

Maximize affordable housing units below 60% AMI
Maximize market rate housing units
Develop a mix of housing unit types and prices
Engage the Treeline Trail
Fit in with existing adjacent building heights and scales
Provide parking on site
Maintain some City ownership/control
Fit in with existing adjacent building heights and scales
Sell the property and use proceeds for affordable housing on another city-owned property

Project History

November 18, 2019: R-19-518 directed the City Administrator to work with the DDA, Treeline Conservancy and other community partners to conduct a community engagement process around the optimal development options in support of affordable housing
April 19, 2021: AAHC shares results of community engagement process with City Council
April 19, 2021: City Council agenda item 21-0610 requesting approval to divide the property between the floodway/floodplain and a 14,520 SF Summit Street facing the portion that is not in the floodway/floodplain and designate the AAHC as the developer of the property that is not in the floodway/floodplain
M‍arch 18, 2024: City Council approves the sale of 123 W Summit to the Ann Arbor Housing Development Corporation (AAHDC), a Michigan nonprofit whose sole member is the AAHC

Next Steps: AAHC hires development team, starts site plan approval process and secures development financing.