On December 8, 2020, Muskegon City Commissioners unanimously voted to approve Community enCompass’ E.A.C.H. Project (enCompass Affordable Community Housing), a pilot program that will offer new, affordable home ownership opportunities in our core city neighborhoods!
(See meeting for full E.A.C.H. discussion, starting at ~3:57:00: facebook.com/CityofMuskegon/videos/1090223244765865/ )
While we’ve seen significant investment in new housing in downtown Muskegon, particularly in the business district, the majority of these homes are market priced, and out of reach for working-wage families. The E.A.C.H. Project will bring needed, NEW, and affordable home ownership opportunities in the core city, targeting residents who make 80-120% of the Area Median Income (AMI).
“It’s significant when the city commission, mayor, and city staff not only realize the importance of affordable housing, but are willing to partner in creative ways, with multiple partners, to make affordable housing happen,” said Kimi George, Housing Rehab Catalyst.
The E.A.C.H. Project will take place in two phases:
Phase 1: Develop 3 single-family homes
Phase 2: Develop 2 multi-family homes and 1 single family
PHASE 1 HOMES:
During the meeting, Jake Eckholm, Economic Director for the City of Muskegon, explained the city’s interest in partnering with Community enCompass for this project:
“CenC has experience, not only with development of low-income owner-occupied housing, but also in identifying and assisting with owner-occupier selection and placement for folks in that category. So it makes sense for us [City of Muskegon] to work with them as the developer for not only our funds, but the funds that they’re coupling with the project, in order to try to build some pricepoint diversity into these new homes. We’re already working on infill housing, but the majority of units that we’re working on are market rate, so our goal from an economic equity standpoint was to work some diversity of pricepoint into the lot of homes that we are working on as the city.”
As the pandemic unfolded in 2020, we’ve seen the importance of our essential workers. Across Michigan, essential workers earn an average of 18.8% less than employees in other industries. According to Greater Muskegon Economic Development, the manufacturing industry (including food processing and agribusiness) employs over 21% of the Muskegon County workforce; healthcare and social assistance make up 18% of the workforce. Retail trade is the third largest industry in the area. These are the residents we plan to target through the E.A.C.H. Project. By offering a variety of housing options at multiple price points, working class families are able to live, work, play, and STAY in downtown neighborhoods, and shape its resurgence.
The Community Foundation for Muskegon County has also partnered with us on the EACH Project to create a Down Payment Assistance Fund (more details to come!), a fund that will be offered to families to match what they bring to closing, helping reduce the monthly mortgage payments of homes that would be otherwise unaffordable.
“Community enCompass has been putting people in homes--nice homes--who normally can’t afford to get in them, for years,” said Vice Mayor Eric Hood. “With this program, it looks like that’s what’s gonna happen again...Houses cost quite a bit to build, and to be able to subsidize that price and get [residents] into a nice home, that’s a good thing.”
Stay tuned for more details on this project, coming soon!
Author: Chelsea Tanis