Wealthy Street Mega Thread

[jthrasher]

Did anyone else see that 616-626 Wealthy is listed for sale? $695,000

[Pattmost20]

8 hours ago, jthrasher said:

Did anyone else see that 616-626 Wealthy is listed for sale? $695,000

A lot of money for a building that needs a bunch of renovation.

[GRDadof3]

8 hours ago, jthrasher said:

Did anyone else see that 616-626 Wealthy is listed for sale? $695,000

That's crazy. I like Wealthy Street and all but I think it will reach a saturation point soon. At least from an investment/development standpoint. 

 

[MJLO]

I would think that would almost be better as a scrape and build over a renovation.

[GRDadof3]

12 minutes ago, MJLO said:

I would think that would almost be better as a scrape and build over a renovation.

I was kind of thinking that too but you'd pay $695,000 for the building, + $50 - $75,000 for demolition (just spitballing but it's not cheap), so you have $760,000 in for a .11 acre piece of land. That's $6.9 Million per acre, roughly. I can buy an acre on the East Beltline with 20x the potential traffic for $300,000 - $500,000.  I mean, I can't but someone could.  

Elasticity of demand is not infinite, ever.  Unless you're running SpaceX or something. 

Orion paid $155,000 for the old carwash on Wealthy where their apartments are now, on a lot at least twice as large, and still everyone complains about how expensive the rents are. 

[mpchicago]

9 minutes ago, MJLO said:

I would think that would almost be better as a scrape and build over a renovation.

If I recall correctly, the current owner requested demolition, but the HPC denied the request.    

My questions is, what ever happened to the multi use plans for the building directly across the street @ 623 Wealthy?  That building seems cursed.

[MJLO]

For them to put that at such a high price point, it almost makes me wonder if a developer is looking at snatching up multiple properties for something bigger.  

1 minute ago, mpchicago said:

If I recall correctly, the current owner requested demolition, but the HPC denied the request.    

My questions is, what ever happened to the multi use plans for the building directly across the street @ 623 Wealthy?  That building seems cursed.

The HPC denying a request to tear down what is in essence an old strip mall doesn't surprise me in the least.

[EastownLeo]

1 hour ago, MJLO said:

For them to put that at such a high price point, it almost makes me wonder if a developer is looking at snatching up multiple properties for something bigger.  

The HPC denying a request to tear down what is in essence an old strip mall doesn't surprise me in the least.

616-626 is the empty lot and house next to wealthy street bakery, not the strip mall.

Strip mall is 623 wealthy and has had many variations of a full development.  Did the stall because of Lagrand's Issues. 

http://www.mlive.com/business/west-michigan/index.ssf/2016/01/wealthy_street_bakery_founders.html

They owned the strip mall for a while.  Do they still?

[x99]

2 hours ago, mpchicago said:

If I recall correctly, the current owner requested demolition, but the HPC denied the request.    

My questions is, what ever happened to the multi use plans for the building directly across the street @ 623 Wealthy?  That building seems cursed.

So here's the refresher ... They paid a little over $300,000 for the house, the vacant lot, and the "strip mall".  The listing says the house is "awaiting permission to be demolished."  That's stretches the truth more than a little.  Permission was sought to demo the house and it was denied.  I suppose you could ask again...  Perhaps a real replacement plan would help, since their replacement plan was "dirt lot".  Before that, some old lady had this pried out of her hands by the Wealthy Bakery owners because she "wasn't maintaining it" and it was making their bakery look bad.  There were plenty of newspapers articles about the controversy.  I believe Dave Lagrand is now out of the picture on these buildings.  Still, as far as I can tell, they never even bothered to wash the windows.  

So far as their renovation plan, if memory serves they whined and whined about the economics of the project to HPC, which was the reason they supposedly needed to add another story.  The plan looked like complete garbage, but HPC approved it anyway.  Ultimately, their bizarre plan to renovate this building still failed to attract tenants (I assume) because the rents were not realistic.  The advertised ground floor prices were outrageously high for the area.  Now they want even more for the building than the price point at which their plan seems to have failed.  

EDIT:  Here's the ownership history.  In 2013, Jeremiah 32 LLC paid the old lady whose hands these buildings were involuntarily pried out of $210,500 per city records.  Less than a year later Jeremiah 32 flips it over to 619 Wealthy LLC for (at least according to the deed) $480,000.00.  Jim McClurg was/is the registered agent of both of these entities, and based on news reports, we can assume David Lagrand also had some part in Jeremiah 32.  How they actually had the ownership structured, I have no idea, but it seems fairly clear these things haven't really changed hands all that much and no one actually paid $480k for the buildings.  That seems like a tax play probably connected to the bakery split up, but that's just a guess, since nothing else really makes sense.  A $200k+ jump in 11 months?  Anyway, the crappy house is currently owned by Wealthy Bakery.  Based on news stories posted above, we can perhaps assume that McClurg is now sole owner of the bakery and these properties through his LLC.  I mean, even a razor blade and some Windex, man.  Really?  I feel bad for eating at your bakery when you're like the friggin' Jim Azzar of Wealthy Street.

Edited March 9, 2017 by x99

[GRDadof3]

16 minutes ago, x99 said:

So here's the refresher ... They paid a little over $300,000 for the house, the vacant lot, and the "strip mall".  The listing says the house is "awaiting permission to be demolished."  That's stretches the truth more than a little.  Permission was sought to demo the house and it was denied.  I suppose you could ask again...  Perhaps a real replacement plan would help, since their replacement plan was "dirt lot".  Before that, some old lady had this pried out of her hands by the Wealthy Bakery owners because she "wasn't maintaining it" and it was making their bakery look bad.  There were plenty of newspapers articles about the controversy.  I believe Dave Lagrand is now out of the picture on these buildings.  Still, as far as I can tell, they never even bothered to wash the windows.  

So far as their renovation plan, if memory serves they whined and whined about the economics of the project to HPC, which was the reason they supposedly needed to add another story.  The plan looked like complete garbage, but HPC approved it anyway.  Ultimately, their bizarre plan to renovate this building still failed to attract tenants (I assume) because the rents were not realistic.  The advertised ground floor prices were outrageously high for the area.  Now they want even more for the building than the price point at which their plan seems to have failed.  

 

ie, they want some other sucker to fail. This whole thing stinks. This is what happens in irrational/overinflated markets. 

[x99]

17 minutes ago, GRDadof3 said:

ie, they want some other sucker to fail. This whole thing stinks. This is what happens in irrational/overinflated markets. 

My rough math says to make up the difference between the $200k the current owners paid and the $700k they want, you'd need another $8 to $10 a foot in rent over the rent they already couldn't get to make their project fly.    In other words, you would have to be clinically insane to buy this, or really have a burning hatred for money.

[GR_Urbanist]

It seems like Wealthy from Eastern to Union is just a circus of buildings falling down from neglect, or shoddy workmanship, building that catches fire and likely will never be rebuilt for years, still a few structures that seem to be taking years to be renovated, and one building that has been boarded up for even longer than this thread has existed with not even a hint of it even being used for anything.

There are so many disappointments in key areas. I feel bad for all of the people that are trying to make magic happen when they are surrounded by so much neglect, incompetence, and landlords that just dont seem to care. The WSB people out to be really embarrassed because they have become no better.

[GRDadof3]

1 hour ago, GR_Urbanist said:

It seems like Wealthy from Eastern to Union is just a circus of buildings falling down from neglect, or shoddy workmanship, building that catches fire and likely will never be rebuilt for years, still a few structures that seem to be taking years to be renovated, and one building that has been boarded up for even longer than this thread has existed with not even a hint of it even being used for anything.

There are so many disappointments in key areas. I feel bad for all of the people that are trying to make magic happen when they are surrounded by so much neglect, incompetence, and landlords that just dont seem to care. The WSB people out to be really embarrassed because they have become no better.

We're a cheery bunch today, lol. When's another tower going to be announced!! 

[GRCentro]

5 hours ago, x99 said:

The listing says the house is "awaiting permission to be demolished."  That's stretches the truth more than a little.  Permission was sought to demo the house and it was denied.  I suppose you could ask again...

The owner is appealing the demo request to the state preservation review board. Can't recall when they are next meeting. Sometime this spring.

[x99]

1 hour ago, GRCentro said:

The owner is appealing the demo request to the state preservation review board. Can't recall when they are next meeting. Sometime this spring.

I see.  If they can get away with that, there is hardly an old house in town that can't be demoed.  Rubblestone foundations, you know.  And no foundation bolts, no hurricane ties.  Fireblocking?  Oh heck, no.  The whole town is just one disaster waiting to happen and a massive danger to the public.

Wealthy Bakery just moved down yet another notch on my poopy list to an Azzar minus.  They are NOT good neighbors (in my book).  

Edited March 9, 2017 by x99

[GRDadof3]

3 hours ago, x99 said:

I see.  If they can get away with that, there is hardly an old house in town that can't be demoed.  Rubblestone foundations, you know.  And no foundation bolts, no hurricane ties.  Fireblocking?  Oh heck, no.  The whole town is just one disaster waiting to happen and a massive danger to the public.

Wealthy Bakery just moved down yet another notch on my poopy list to an Azzar minus.  They are NOT good neighbors (in my book).  

I never liked how loud it was in there anyway. I've tried to have meetings there and that bread slicer is pretty similar to a dentist drilling out a root canal. You can't come in early and slice bread, people? 

[joeDowntown]

I like this Azzar grading scale. Although, even a good Azzar grade is still pretty bad.

Joe

[EastownLeo]

On the far east side of Wealthy.  In Gaslight village, I just noticed that the Biggby Coffee near D&W has closed.  Great to see that they forced out the Barber there and now they have an empty storefront.

[mpchicago]

1 hour ago, EastownLeo said:

On the far east side of Wealthy.  In Gaslight village, I just noticed that the Biggby Coffee near D&W has closed.  Great to see that they forced out the Barber there and now they have an empty storefront.

I'm surprised to see retail struggle a bit in Gaslight Village.   I know there are already some replacements in the works for a few empty storefronts, but seems like they should be 100% leased given the traffic/income levels, and all the new residential construction going on in GLV.   BTW, who owns the D&W Plaza?

Edited March 14, 2017 by mpchicago

[GR_Urbanist]

I'm at a lose on this one too.

 

EGR has massive amounts of foot traffic based on school and community events. Not to mention a full grocery that doesn't require a car to get to, and a LAKE.

It may be that the population is simply too affluent, and they would rather go to Breton Village or shops located further afield than Gaslight village which isn't as high-scale as its reputation may entail. Having that massive parking lot and somewhat shabby strip mall visible from the road isnt good optics either. Several other buildings are long past due for a renovation. The dry cleaner store was badly done and doesnt fit into a cohesive street wall look that this area badly needs. There was a recent WoodTV story on the problems they are having. I just dont think they ever really had a plan for the area after Jacobson's left.

They should take a look at the main strip in Grand Haven for inspiration, also try to attract the type of stores that Breton Village or even Uptown GR are attracting. Maybe aim for buildings to front the street in front of D&W, with residential on top to hide that massive break in the street wall.

Edited March 14, 2017 by GR_Urbanist

[mpchicago]

14 minutes ago, GR_Urbanist said:

I'm at a lose on this one too.

 

EGR has massive amounts of foot traffic based on school and community events. Not to mention a full grocery that doesn't require a car to get to, and a LAKE.

It may be that the population is simply too affluent, and they would rather go to Breton Village or shops located further afield, than Gaslight village which isnt as high-scale as it'\s reputation may entail. Having that massive parking lot and somewhat shabby strip mall visible from the road isnt good optics either. Several other buildings are long past due for a renovation. The dry cleaner store was badly done and doesnt fit into a cohesive street wall look that this area badly needs. There was a recent WoodTV story on the problems they are having. I just dont think they ever really had a cohesive plan for the area after Jacobson's left.

They should take a look at the main strip in Grand Haven for inspiration, also try to attract the type of stores that Breton Village or even Uptown GR are attracting. Maybe aim for buildings to front the street in front of D&W, with residential on top to hide that massive break in the street wall.

There was a plan for a retail building in front of D&W, but fell through. I agree, plaza in need of help.  Still wondering who owns that?  Not Spartan Nash? 

[mpchicago]

22 minutes ago, mpchicago said:

There was a plan for a retail building in front of D&W, but fell through. I agree, plaza in need of help.  Still wondering who owns that?  Not Spartan Nash? 

David Geenen....Thanks CTP!

[wingbert]

They should sell it all to the Amway families and let them chase away all the long time businesses, tear it all down and then build a bunch faux historic structures in their place.

[GRDadof3]

2 hours ago, GR_Urbanist said:

I'm at a lose on this one too.

 

EGR has massive amounts of foot traffic based on school and community events. Not to mention a full grocery that doesn't require a car to get to, and a LAKE.

It may be that the population is simply too affluent, and they would rather go to Breton Village or shops located further afield than Gaslight village which isn't as high-scale as its reputation may entail. Having that massive parking lot and somewhat shabby strip mall visible from the road isnt good optics either. Several other buildings are long past due for a renovation. The dry cleaner store was badly done and doesnt fit into a cohesive street wall look that this area badly needs. There was a recent WoodTV story on the problems they are having. I just dont think they ever really had a plan for the area after Jacobson's left.

They should take a look at the main strip in Grand Haven for inspiration, also try to attract the type of stores that Breton Village or even Uptown GR are attracting. Maybe aim for buildings to front the street in front of D&W, with residential on top to hide that massive break in the street wall.

Gaslight Village is owned by CWD, and apparently they aren't the best landlords (I know one business owner in there who isn't happy with them). Quite a few businesses have moved out, both retail and office, due to increasing rents and inflexibility. The feeling is that all of CWD's energies are being spent on Breton Village at the expense of GLV. And the music being piped over the loudspeakers is very loud, and tenants have complained, especially when a Lil Wayne song is playing talking about bangin ho's in the shower. 

I don't know who owns the D&W plaza.

A new restaurant going in where Olga's was may help a bit. 

[mpchicago]

Dutch Girl Brewery closes

It doesn't seem like we have seen the softening of the brewery/micro brew/brew pub scene in West Michigan yet, but here is one casualty.   Any others that I've missed?  I wonder if all the prospects listed back in December as still on track.....