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EGLE grant helping to build new affordable recovery housing at site of former paper mill in Kalamazoo

One of the many consequences of the opioid crisis is the growing need for recovery housing in Michigan. Problem-Solving Courts and behavioral health programs can set people up to avoid relapse and recidivism, but a lack of long-term, stable housing can push them into a high-risk environment. Now, EGLE, the city of Kalamazoo, Kalamazoo County, and Edison Community Partners are working to build new, affordable recovery housing at the site of a former paper mill.

EGLE is awarding a $1 million grant to the William Schma House brownfield redevelopment project. The $19 million project will turn vacant property at 1900 Belford Street in the city of Kalamazoo into three new buildings with a total of 48 apartments plus space for support services like coaching and counseling.

The site was once part of a large papermill complex operated by several companies from the late 1800s until its closure in 1997. The 6.64-acre portion under redevelopment previously housed Mill D and a coal-fired power plant. As a result of those historical operations, the site was left with contamination including PCBs, metals, petroleum, and chlorinated solvents that must be addressed before redevelopment can proceed.

The city took ownership of the property in 2005 with a goal of preparing it for redevelopment. But it wasn’t just the contamination that had to be dealt with. The floodplain had been altered during the paper mill years. Both the floodplain and the section of Portage Creek running through the site would need to be corrected. The U.S. Environmental Protection Agency (EPA) provided a Superfund grant. The city worked with EGLE and the EPA on a $11.4 million cleanup project. EGLE and EPA funds paid to demolish Mill D, conduct new environmental assessments, realign the creek, remove 12,000 tons of contaminated material, and restore the floodplain. 

Despite that work, it was still 12 more years before redevelopment plans solidified enough for EGLE to award the grant. It’s paying for the removal of contaminated soil, a vapor venting system for the new buildings, and barriers to protect people from any remaining contamination. In addition to the 48 new affordable housing units, it will have dedicated space for comprehensive “wrap-around” support services. That includes things like mental health services, recovery coaching, and workforce training. The William Schma House will also have children’s playgrounds, a dog park, and walking paths. A Payment in Lieu of Taxes agreement with the city of Kalamazoo will keep rents priced for tenants making 20%-80% of the Area Median Income. The city and Kalamazoo County are contributing more than $5 million combined to the redevelopment. The project is slated to be finished in the fall of 2027.


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