Trending
MARQUETTE -- InvestUP is increasing efforts to find housing solutions across the Upper Peninsula.
InvestUP announced the launch of Build U.P. to address the need for housing in the U.P. and provide the region with a "long-term, sustainable fund to solve future housing challenges" on July 6.
"This fund creates a win-win-win for the Upper Peninsula," InvestUP CEO Marty Fittante said in a press release. "Build U.P. will help developers move housing projects over the finish line faster. An increase in available housing will assist Upper Peninsula employers in attracting and retaining talent, which in turn will help boost regional population levels."
Build U.P. consists of two programs, Cash Collateral Program and Residential Infrastructure Loan Program.
According to a press release, the Cash Collateral Program provides cash collateral to enhance funding by U.P. lending institutions.
"Recipients must partner with a local lending institution to access funds," InvestUP said in the press release. "Funds may cover all or a portion of a calculated shortfall as described by the lending institution."
The Residential Infrastructure Loan Program provides financial assistance to U.P. cities, villages, counties and townships to facilitate infrastructure extensions to new residential or rehabilitated housing, such as water, sewer and road, according to the press release.
"Build U.P. will loan the local unit of government funds by purchasing their bonds at interest rates favorable to the local unit," InvestUP said in the press release.
According to a press release, the fund was created in response to several regional economic polls and surveys. InvestUP reported that the surveys consistently identified the U.P.'s current lack of professional and workforce housing as the "biggest economic obstacle facing the region."
"The biggest, most critical issues facing our region is the loss in aging population," Fittante said. "We've got data that not only looks at what has happened with our population in terms of its loss and aging but additionally, we've got data that shows there is a real appetite of people who are interested in the Upper Peninsula."
The priority of Build U.P. is to expedite the construction of shovel-ready housing projects in the U.P., according to the press release.
"Once projects come before Build U.P. and approved by the nonprofit board, (the project) would be capable of being started within 18 months," Fittante said.
At the height of the COVID-19 pandemic, InvestUP was given $7.2 million to distribute to small businesses across all 15 U.P. counties based on population. He said for Build U.P., funds will be distributed differently.
"We will strive with this $15 million to also have geographic equity, but we won't be able to be as precise as we were with the COVID emergency small business money, because this will be dependent upon where impactful housing projects exist," Fittante said. "Unlike with COVID where we knew we had small small businesses in every community that needed this funding desperately, this is different because not every community will have an impactful housing project that's ready to go."
Application requests can be made at manager@buildupmi.com. For more information, visit investupmi.com.