GRAND HAVEN, Mich. — A plan to bring 45 attainable apartments to Grand Haven's east side cleared a hurdle Monday when city council members approved the developer's request for an eight-year tax abatement worth $638,357. The project has sparked conversations over what is affordable housing in Grand Haven and how to solve the city's workforce housing shortage.
WATCH: Grand Haven approves tax break for affordable apartments
The new apartments will rent for $1,500 per month and be reserved for people making 80% of the area's median income, or $65,579 a year. Data from Housing Next shows almost half of Ottawa County renters earn less than $50,000 per year, putting these units out of reach for many local workers.
"It's a complex problem with housing in this community," said Bob Monetza, Grand Haven's mayor.
Monetza acknowledged the project isn't as affordable as the council would prefer, but said it actually does advance the city's goal of expanding housing options at lower price points.
"That's what's really critical for us is to make more room for housing stock and for improvements overall, and that will help stabilize pricing throughout the city," Monetza said.
Local resident Nick Cadena, who has lived in Grand Haven his entire life, said the rising cost of living is affecting both businesses and workers in the area.
"I don't think [rent is] affordable, I don't think it's sustainable right now," Cadena said.
Cadena noted that housing costs are driving away customers and making it difficult for employees to find nearby housing.
"Our city officials are doing the best that they can, but the solutions that we're getting aren't exactly reflecting the fact that people my age really need housing to come down in order to stay here," Cadena said.
Monetza said the city recognizes the housing challenges and is exploring additional solutions. Monetza mentioned possibly reviving the city's Neighborhood Housing Services Department to help residents maintain their homes, and officials continue seeking ways to make housing more affordable.
"It's really critical for a community to be a complete whole community where every social economic group, every part of the community is welcome and has a place to live here," Monetza said.
