David Nyberg, executive director of business engagement and economic development at Northern Michigan University, speaks at a Tuesday forum at the Northern Center regarding the development of the former Marquette General Hospital property next to the campus. Participants also said what they want to see at the property. (Journal photo by Christie Mastric)

MARQUETTE — Providing housing and maintaining community character were at the top of the list of what participants in a Tuesday community forum want to see for the redevelopment of the former hospital site adjacent to the Northern Michigan University campus.

The NMU Foundation and the Chicago-based firm Design Workshop Inc. hosted the forum, which took place at the Northern Center on campus.

In September, NMUF entered into a contract for the purchase and eventual sale of real estate with UP Health System – Marquette, a Duke LifePoint Hospital, to redevelop the former Marquette General Hospital site along College Avenue in a a way that is mutually beneficial to NMU, the city of Marquette and residents of local communities.

Past actions and future steps were explained at the forum.

“Through the focus and goodwill of many, this can work,” NMUF CEO Brad Canale said.

David Nyberg, executive director of business engagement and economic development at NMU, has been involved in the redevelopment project.

“The mission of the foundation is to establish and foster relationships that will enhance the interests of Northern Michigan University,” Nyberg said.

Thoughts, he said, turned to the 23-acre site next to campus and NMU’s role in it.

“The key function of how this works is we are here to facilitate an outcome,” Nyberg said. “We’re here to bring together the relationships, the resources and the expertise all together to identify a mutually beneficial offer to the community and for NMU. That’s our ultimate goal. And the hospital is involved, too.”

If the project is determined to be environmentally feasible and the economics work for a master developer to do the project in a way that benefits NMU and the community, Nyberg said it can move forward.

The core tenets of the agreement would be for NMUF to take possession of the site for $1, and in turn receive $10 million from UPHS-Marquette to begin moving staff housed at the Neldberg Building and start the process of site preparation, according to Nyberg, with that site preparation estimated to cost between $16 million and $18 million.

Nyberg noted that a study determined that the site could bring in an approximate $166 million investment, and bring together about 500,000 square feet of housing, including senior and assisted living as well as blended housing.

He said conversations then began with the city of Marquette about ways to facilitate site preparation, which is the demolition of existing buildings. It subsequently was determined that it was possible through the development of a brownfield redevelopment plan.

The next step, Nyberg said, was to select appropriate developers in the project.

A national request for qualifications was issued on March 11 to secure a master developer to be NMUF’s principal majority partner in the project. The response period for the RFQ closed on April 8.

Nyberg said talks continue regarding a preferred partner, although NMUF cannot talk about details yet. The next actions include development of a brownfield development plan framework, with discussions ongoing with the Michigan Economic Development Corporation and the Michigan Department of Labor and Economic Opportunity.

“I think we’re going to be in a position to announce a commitment to the city and the foundation for a significant investment toward that demo,” Nyberg said.

Nyberg said the critical part of the project moving forward involves getting input on what’s important to the community.

However, he reiterated that the NMUF has an “altruistic motivation to do something really impactful” and “doing nothing” is not an alternative.

“I don’t think anybody wants to see this property sit there for a long time,” he said.

He called the development approach “holistic,” and would be completed in phases over seven years with a potential diverse set of amenities that include housing.

Representing Design Workshop were Luke Mich, based in Chicago, and Callie New, based in Marquette.

Mich called the project a “unique” opportunity.

“The process of negotiating with a preferred partner is still underway, but that is a critical step to really opening up and saying, ‘Here’s what we have. Here’s the potential and the opportunity that exist. Come help us make this reality,'” Mich said.

He expected a public announcement regarding that partner, which has been identified, to take place within the next few weeks.

Mich also said the master developer will lead community engagement as the project progresses, with the city to be involved.

New led an interactive session with the participants, who on their phones answered questions related to what they perceive are the city’s strengths and weaknesses, as well as its needs in certain areas.

The top answers for strengths were Marquette being the regional economic center and its tourism industry, while the top answers for weaknesses were lack of economic and racial/ethnic diversity, lack of child care resources and housing affordability.

In fact, housing was listed first in the area of land-use needs while housing development was first in economic opportunity.

The feedback is to be given to NMUF, which then will pass it on to the master developer.

Another community forum was scheduled for Tuesday night at the Northern Center.

Christie Mastric can be reached at 906-228-2500, ext. 250. Her email address is cbleck@miningjournal.net.