MARQUETTE — A portion of the former Cliffs-Dow property along Lakeshore Boulevard in Marquette could be rezoned to a mixed-use district to allow for development, despite a state deed restriction currently prohibiting residential uses of the site due to chemical contamination in the groundwater.

Rezoning the city-owned site from a municipal district to a mixed-use district will be considered by the Marquette City Commission at its 6 p.m. meeting Monday in Marquette City Hall Commission Chambers, immediately after a public hearing is held on the matter.

This follows the Marquette City Planning Commission’s 5-1 vote at its Sept. 18 meeting to recommend the city rezone a portion of the Cliffs-Dow industrial site — which contains roughly 26 acres at 100 Wright St. and a portion of 2001 Lakeshore Blvd. — from municipal to mixed-use, contingent upon addressing environmental concerns and the current state deed restriction prohibiting residential use of the site.

The motion made by Planning Commissioner Sarah Middlefehldt indicated the planning commission recommendation to rezone would require “that remaining exposure pathways in terms of contaminants will be evaluated and fully accounted for by future users of the property as part of their due care obligations, which are required by the state, and that restrictions that are on the deed to this property, while they currently do prohibit residential use, that restriction may be modified if the (Michigan Department of Environment, Great Lakes and Energy, or DEGLE) does find an acceptable proposal submitted by a future owner of this property, and that reliable engineering and construction controls are a necessity on this site.”

A mixed-use district allows a wide variety of uses, such as housing, childcare, nursing homes and assisted living, food preparation and more.

The city had requested the planning commission consider rezoning the property due to the city’s long-term efforts to return the parcel to the private sector and the commission’s July 30 resolution of intent to negotiate the sale of the property with local developer Veridea Group. The city will realize 80% or more of the appraised value of the property upon the successful closing of a sale, per the city code.

Preliminary designs by Veridea Group indicate the potential for up to 500 residences, including townhouses, senior living and rental apartments to be constructed on the 32-acre property.

However, the city has not executed a sale of the property, nor a local development agreement, as rezoning it to mixed-use “is the next step for the municipality in this process and any future development will be subject to the standards of the requested district” per the land development code, planning commission notes state.

Many area residents expressed concerns at the July 30 meeting about the proposed residential use of the parcel. Concerns were related to the current deed restriction, the actual extent of knowledge about the site’s contamination, affordable housing, public access, consistency with community master plan goals, as well as planning for setbacks and rising lake levels.

While commissioners and area residents have expressed concerns about the rezoning and intent to sell the property prior to the removal of the state deed restrictions, city officials have said the rezoning and plans for development will need to come first.

“(DEGLE) is aware and supportive of the city’s efforts to sell the property and staff has discussed the ability to have the deed restriction of ‘no residential uses’ removed from the deed, subject to a post-sale due care plan,” city notes state. “Any potential buyer of the property would have the ability to conduct phase 1 and phase 2 (baseline environmental assessments) to afford themselves protection under Part 201, as well as be subject to due care plan obligations.”

Marquette Community Development Director Dennis Stachewicz said previously that removing the deed restriction prior to rezoning wouldn’t be possible because rezoning needs to occur before a developer could move forward with designing and proposing the necessary engineered controls to the state for removal of the deed restriction.

“If we’re going to put a duplex on this property, (we have to say) ‘Here is our specific engineered control.’ They will say ‘yes’ or ‘no,’ but they won’t grant you any projection out on top of that, which is why we’re going in the order we are now,” Stachewicz told commissioners at the July 30 meeting.

While the DEGLE denied the city’s request for a ‘no further action’ determination at the site, and city officials are evaluating “alternatives in order to address the deficiencies noted,” Stachewicz emphasized DEGLE officials were “very confident” the deed restriction could be removed with appropriate engineered controls.

The city will “work with (DEGLE) to meet our city obligations and also permit development on a site that would protect the health, safety and welfare of the residents on there, as well as the community,” Stachewicz said at the July 30 meeting. “(DEGLE’s) not in the business of putting people in harm’s way, nor is the city of Marquette. And that would also give us time to work on any post-ownership obligation planning. What I mean by that is, if the city does choose to sell the property, the city is still the liable party on the property. And we will have obligations after the sale to continue monitoring the results of whatever remediation would need to be, which is basically just dealing with groundwater. There’s no real direct-contact issues that have been identified.”

The site is also subject to an existing Act 381 brownfield plan and “potential development will likely involve the use of brownfield program to support outstanding private and public development through a partnership,” city documents state.

Furthermore, the property’s sale and subsequent use of an amendment to the brownfield plan would “provide much-needed funding for the Lakeshore Boulevard relocation efforts,” notes state.

Cecilia Brown can be reached at 906-228-2500, ext. 248. Her email address is cbrown@miningjournal.net.