Furniture gallery just the start of city center’s rebirth

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July 22, 2007
By Dave Alexander
Chronicle Business Editor

The opening of Hegg’s Gallery in the former Century Club building is just the beginning of new construction and reconstruction on the former Muskegon Mall property. Development is not progressing as fast as downtown promoters had predicted — or would have liked — but development is progressing, officials said.

The first new building on the 23-acre “city center” site along West Western Avenue will be under construction, it is hoped, by this fall, promoters said.

Construction that was expected in the spring has been delayed by a combination of title work questions due to government participation in the pre-Muskegon Mall days of urban renewal, electrical utility issues and an ongoing debate over parking, according to Chuck Johnson. The retired SPX Corp. executive is chairman of the nonprofit Downtown Muskegon Development Corp., which owns and is selling lots in Muskegon’s historic downtown business district.

“Cindy Larsen (president of the Muskegon Area Chamber of Commerce) said the Hegg’s building will set the standard for the rest of the development,” Johnson said. “With Hegg’s, we’re off and running.”

Century Club redeveloper Gary Post has two more projects under way in the city’s historic “Russell Block.”

Along with partner Russ Strong, Post is redeveloping the adjacent former Muskegon Savings Bank building into upstairs offices for himself and Strong. The first level of the old bank building is being planned for either restaurant, deli or coffeehouse use, Post said.

On the other side of the Hegg’s building is the former Daniel’s Office Supply building. Post said that reconstruction already is ongoing with hopes of turning it into a gallery and studio space for artists.

Beyond the “Russell Block,” there are only two other buildings remaining from the Muskegon Mall demolition.

As for the former National City Bank building, Winberg Construction Inc. President Brad VanBergen and company Project Manager Jack Wallen have formed New Trend Investments LLC and have purchased the 15,000-square-foot, two-story former bank building.

New Trend Investments plans a mixed-use redevelopment, with initial plans showing four commercial spaces on the ground floor for retail or restaurant use and offices above. The building’s full basement might be redeveloped in the future, the owners said.

The 10-story former Comerica Bank building tower now is being considered for commercial and residential condominium conversion by an out-of-town developer, Johnson said. Negotiations with the unnamed developer are nearing completion, he said.

There are several new buildings in the works for the “city center” site:

- Capstone Real Estate LLC of Grand Haven has finalized purchase of the vacant lot on the north side of West Western Avenue at Third Street. Capstone and Clifford Buck Construction Co. of Muskegon are planning a new two-story office building that will house the Muskegon Area Chamber of Commerce. A groundbreaking ceremony for the new “Hines Building” is planned for July 31.

- On the south side of West Western Avenue at Third Street, the Sidock Group Inc. — a Muskegon-based engineering and architectural firm — is planning another two-story commercial and office building that will house its own offices. Final plans for the Sidock Building come before the Muskegon City Planning Commission in August.

- Baker College of Muskegon still plans to relocate its culinary arts school on the “city center” site at Third Street and Clay Avenue. Johnson said student parking issues still are being worked out, adding that construction has been delayed until 2008.

- The J2 Development and Construction Co.’s “Lake View” plan has been approved by city planners for the block bordered by Western Avenue, Terrace Street, Market Street and Jefferson Street. The commercial-residential development still is seeking financing, Johnson said.

Meanwhile, the city continues to have the historic street-grid system rebuilt on the site with Second, First, Jefferson and Market streets being reconstructed this summer. Muskegon County is planning the construction of a parking structure at Third Street and Morris Avenue with federal funds that would include relocation of the downtown bus station.