Development: Gray Street II Apartments
Date of Notice: 08/15/2025
Michigan State Housing Development Authority (MSHDA)
735 East Michigan Avenue
Lansing, Michigan 48912
(517) 373-8370
NOTICE OF FINDING OF NO SIGNIFICANT IMPACT ON THE ENVIRONMENT
AND NOTICE OF INTENT TO REQUEST FOR RELEASE OF FUNDS
These notices shall satisfy two separate but related procedural requirements for activities to be undertaken by the Michigan State Housing Development Authority
Notice of Intent to Request a Release of Funds
On or about 09/02/2025 the Michigan State Housing Development Authority (MSHDA) will submit a request to the U.S. Department of Housing and Urban Development (HUD) for the release of HOME - ARP funds from Section 3205 of the American Rescue Plan Act of 2021 (P.L. 117-2) (“HOME-ARP” as amended and Section 8 (o)(13) of the U.S. Housing Act of 1937 (42 U.S.C. 1437f(o)(13)), and for the release of Project Based Voucher (PBV) funds under Section 8 (o)(13) of the U.S. Housing Act of 1937 (42 U.S.C. 1437f(o)(13)) as amended to undertake a project known as Gray Street II Apartments for the purpose of:
MSHDA intends to award Gray Street Phase II Limited Dividend Housing Association LLC up to $3,313,857 of HOME-ARP funds and #24 MSHDA PBVs for Gray Street II Apartments. Gray Street II Apartments are located at 2169, 2175, 2181, 2189, 2188, 2194, 2211 and 2217 Gray Street, Detroit, Michigan 48215, at 2124, 2132, 2125, 2133, 2138, 2144, 2147, 2155, 2160, 2166, 2161 and 2169 Springle Street. Detroit, Michigan and at 12801 Kercheval Street. Detroit, Michigan 48215. This project consists of the acquisition and rehabilitation of 14 townhouse buildings and one mixed-use building. The buildings consist of 24 units of housing which include 3 two-bedroom apartments, 1 three-bedroom apartment, 1 two-bedroom townhome and 19 three-bedroom townhomes.
Gray Street II Apartments – Detroit/Wayne County
#24 units rehabilitation
#24 Units HOME-ARP
#24 Units PBVs
$1,234,896 Tax-Exempt Loan
$5,165,359 Tax-Exempt Construction Loan
$671,437 MSHDA 1602 Loan Assumption
$3,313,857 MSHDA HOME-ARP Loan
$859,017 City of Detroit HOME Loan Assumption
$2,572,921 LIHTC Equity Contribution
$124,902 Income from Operation
$668,036 Transferred Reserves
$488,317 Developer Deferred Fees
$9,933,383 Approximate Total Development Cost
Notice of Finding Of No Significant Impact (FONSI)
The MSHDA has been determined that the project will have no significant impact on the human environment. Therefore, an Environmental Impact Statement (EIS) under the National Environmental Policy Act of 1969 (NEPA, 42 USC 4321) is not required. Additional project information is contained in the Environmental Review Record on file at MSHDA, 735 E. Michigan, Lansing, Michigan 48912 and may be examined or copied weekdays 8 A.M to 5 P.M. Please contact Daniel Lince of MSHDA at (517) 335-0183 for further information.
Public Comments
Any individual, group, or agency may submit written comments on the ERR to MSHDA’s address written above. All comments received by 09/01/2025 will be considered by MSHDA prior to authorizing submission of a request for release of funds. Comments should specify which Notice they are addressing.
Environmental Certification
The MSHDA certifies to HUD that Anthony Lentych in his capacity as Chief Housing Investment Officer consents to accept the jurisdiction of the Federal Courts if an action is brought to enforce responsibilities in relation to the environmental review process and that these responsibilities have been satisfied. HUD’s approval of the certification satisfies its responsibilities under NEPA and related laws and authorities and allows Gray Street Phase II Limited Dividend Housing Association LLC to use Program Funds.
Objections to Release of Funds
HUD will accept objections to its release of funds and the MSHDA certification for a period of fifteen days following the anticipated submission date or its actual receipt of the request (whichever is later) only if they are on one of the following bases: (a) the certification was not executed by the Certifying Officer of MSHDA; (b) MSHDA had omitted a step or failed to make a decision or finding required by HUD regulations at 24 CFR Part 58; (c) a grant recipient or other participants in the project have committed funds or incurred costs not authorized by 24 CFR Part 58 before approval of a release of funds by HUD; or (d) another Federal agency acting pursuant to 40 CFR Part 1504 has submitted a written finding that the project is unsatisfactory from the standpoint of environmental quality. Objections must be prepared and submitted in accordance with the required procedures (24 CFR Part 58, Sec. 58.76) and shall be addressed to the U.S. Department of Housing and Urban Development Detroit Field Office, Keith E. Hernandez, Director, Community Planning and Development at 477 Michigan Ave, Suite 1600, Detroit, MI 48226 or DetroitCPD@hud.gov. Potential objectors should contact HUD to verify the actual last day of the objection period.
Anthony Lentych
Chief Housing Investment Officer, Certifying Officer
