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The Harding's store, which was built in 1971 as a Jewel-Osco supermarket, was closed in February of 2015. Its property is adjacent to Westnedge Avenue, Crosstown Parkway and Howard Street.

(City of Kalamazoo )

KALAMAZOO, MI -- The redevelopment of the former Harding's supermarket property on Howard Street will be a $9.4 million project that includes downscaling the structure there for a smaller grocery and creating a cluster of small retail shops.

Representatives of the project developers, who are calling themselves the Westnedge Investment Group LLC, were to meet early Thursday morning, May 18, with Kalamazoo's Brownfield Redevelopment Authority to try to secure a Brownfield Plan Development Agreement.

The proposed project "will improve the community by removing a long-time vacant complex at a highly-visible intersection while providing fresh, affordable food and retail to the Vine, Southside and Westnedge Hill neighborhoods," according to a filing with the city.

Westnedge Investment Group LLC is a Novi-based group whose principals own the Park Street Market on Kalamazoo's North Side.

According to information filed with the city, Westnedge Investment Group plans to redevelop the 4.76-acre former Harding's site at 412 Howard St., south of downtown Kalamazoo, by rehabilitating what is considered to be a functionally obsolete, 60,000-square-foot building and converting it into a 28,218-square-foot grocery market.

The developer will also add four to eight retail shops that range from 1,600 to 8,000 square feet, according to information provided to the city. Other site improvements include developing a new 3,000-square-foot out lot retail building.

"The developer commits to investing approximately $9.4 million in the purchase and redevelopment of the property and to create approximately 116 full-time-equivalent jobs," according to the city. "In return, the Brownfield Redevelopment Authority will provide up to 15 years of actual local Tax Increment Reimbursement or $650,000 to the project, whichever occurs first."

If the Michigan Economic Development Corp. approves the collection of school Tax Increment Reimbursement, however, the number of years of local and school Tax Increment Reimbursement will be 12 years or $900,000, whichever occurs first.

The state allows the authority to identify properties that are environmentally contaminated, blighted or deemed functionally obsolete and lets tax revenues from eligible new projects in those areas to be captured and used to help offset developers' costs.

With the proposed Harding's project, the developer is expected to incur costs for such things as building demolition, site preparation and infrastructure improvements.

According to an exhibit filed with the city, the current taxable value of the property is about $940,600. After redevelopment, the taxable value is expected to be more than $2.24 million.

The proposed project "will improve the community by removing a long-time vacant complex at a highly-visible intersection while providing fresh, affordable food and retail to the Vine, Southside and Westnedge Hill neighborhoods," according to a filing with the city.

Operating as Westnedge Investment Group LLC, the Shina Group bought the former Harding's market in 2015, saying it had plans to convert it into a multi-use commercial development, most likely with a grocery store component.

The Shina Group owns the Park Street Market on Kalamazoo's Northside as well as nine other grocery markets, primarily in the Detroit area.

Kiar Gamsho, director of Park Street Market, said he expects the Howard Street location to have a state-of-the-art grocery store and other businesses that are part of a lifestyle center, a development with leisure amenities as well as retail stores. That means such businesses as a hardware store and restaurants may be recruited.

Another possibility is establishing a year-round farmers market that would have garage-like doors to accommodate outdoor stands and seating during the fair weather months.

Gamsho said additional property that has acquired north of the former supermarket property has potential to be redeveloped into new brownstone residences.

The Harding's store, which was built in 1971 as a Jewel-Osco supermarket, was closed in February of 2015. Its property is adjacent to Westnedge Avenue, Crosstown Parkway and Howard Street.