Houghton secures $3.8M to transform downtown into talent hub

Houghton is on a talent hunt. 

The city isn’t just looking for high-tech talent. The Keweenaw community wants to attract and retain low-tech and no-tech talent — artists, writers, makers and people with an idea for a small business.

Using $3.8 million in Michigan Talent Partnership (MTP) placemaking grant, the city plans to create a business and creative incubator, a pocket park and a walking and biking trail linking downtown to the arched entrance of nearby Michigan Technological University. 

The new projects are part of an ongoing effort to turn Houghton’s downtown and waterfront into a talent-driven destination the city is calling North Landing. 

Houghton was one of six cities chosen to receive the latest round of MTP placemaking grants. It is the only grant recipient in the U.P.  Placemaking grants totaling $23.9 million were awarded to Houghton, Ann Arbor, Detroit, Lansing, Grand Rapids and Mount Pleasant. Funded by the Michigan Department of Labor and Economic Opportunity (LEO), the grants are administered by the Michigan Economic Development Corporation (MEDC). 

The Michigan Talent Partnership Program is a grant program that invests in public space development projects in central city neighborhoods or concentrated districts. The program funds projects designed to increase density, walkability, and vibrancy in Michigan’s central cities to attract and retain talent and create business ownership opportunities for local residents.

Through the MTP Program, MEDC partners with local communities to support talent attraction and retention by investing in transformational placemaking projects that create high-density, high-amenity and vibrant street life neighborhoods/districts, with business ownership opportunities for residents.

“Michigan’s future depends on strong communities and a growing population,” says Jonathan Smith, senior chief deputy director for LEO. “The Michigan Talent Partnership is about giving local leaders the tools to attract people, create opportunity, and build places where young people want to put down roots. When we invest in communities, we invest in Michigan’s long-term growth.”

Michelle Parkkonen, managing director of technical assistance programs at the MEDC, explains: “The intention behind this grant is the epitome of the MEDC’s longstanding commitment to an economic development strategy that invests seamlessly and holistically across Michigan’s people, places and projects. The city of Houghton is a fine example of committing to and embracing such a strategy: They have been working for years to ensure the community, businesses and talent in the region want to continue to call Michigan home, or, if they had not before – they will. That’s the kind of boldness that makes a difference, and the MEDC was proud to choose them for this grant.”

Houghton business and creative incubator

Built in the 1980s, the building at 326 Shelden Ave., in the heart of downtown Houghton, has had multiple owners but now sits vacant. The city plans to acquire and renovate the building and launch the Houghton Business and Creative Incubator there to provide affordable working spaces for creators and emerging local small businesses. 

The interior will be divided into workspaces ranging from 150 to 300 square feet, connected by public areas accessible via elevator and stairs to bridge the elevation difference between Shelden Avenue and Lakeshore Drive. These spaces will be leased to creators and developing small businesses, providing a safe, affordable way to establish themselves and test the market — with the goal of eventually growing into their own downtown locations. With the help of the Keweenaw Economic Development Alliance (KEDA) and the Michigan Small Business Development Center (SBDC), the incubator will assist inventors, sellers, artists and makers in refining their business models and scaling up.

Pocket park

In the heart of downtown, at 509 Shelden Ave. — a vacant lot nestled between a bookstore and a music store — will be transformed into a vibrant little community park.

The vision for the Shelden Avenue Pocket Park is a welcoming public space designed to foster everyday moments of connection and creativity, a cozy open area filled with plantings, comfortable seating, a raised platform, subtle lighting and restrooms. 

Non-motorized trail connector

Michigan Tech, the only Research 1 university in the U.P., is just a mile from downtown Houghton. A walking and biking trail connecting the two is another of the city’s placemaking grant projects. A safe, scenic, non-motorized trail, it will improve access to downtown from Michigan Tech, the community’s largest employer, encouraging students, faculty and staff to frequent downtown shops and restaurants. It will also connect the university with the city’s enhanced waterfront, promoting foot traffic along Houghton’s Portage Waterway.  By prioritizing walking and biking, the project improves safety, reduces reliance on cars for short trips, and increases downtown foot traffic, which directly supports local businesses.

The MEDC will pay for the planning and application to the Michigan Department of Transportation (MDOT) for MDOT Transportation Alternative Program (TAP) funds to build the connector.

The trail connector is a key piece of a larger concept that is fueling Houghton’s efforts. The city is turning its waterfront corridor from Michigan Tech through and past downtown into a district it calls North Landing. Houghton describes North Landing as a talent magnet, a walkable, attractive corridor filled with overlapping housing, businesses and recreational spaces.

Why Houghton

The talent partnership placemaking grant seemed a perfect fit with what Houghton has been doing for a while now—bringing amenities to the community that will make it an even more sought-after place to live, says City Manager Eric Waara.

“Creating places people want to be helps build a stronger community,” he explains. “We can get out and see each other and share common experiences, make friends, and really connect. Part of the goal was connecting our assets and creating those assets that make it easier for people to be out enjoying our community. Part of the goal was to help build and strengthen our small business economy.

“We looked at what was missing, and that was a place for new or emerging small business to do business in the downtown,” Waara goes on to say. That’s how the city came up with the idea of the Houghton Business and Creative Incubator. 

“Our area has done a great job supporting high-tech entrepreneurship through the work at the MTEC SmartZone in building those types of businesses,” he explains. “What we needed was a place for the no-tech  creatives, artists, or small retailers to start without risking everything by providing attainable space and a continuum of business support services that would maximize their chances for success, but also provide a safe way for them to fail if they happen to. 

“Having a safe place to get a start and then help on the path to success will hopefully lead to those businesses growing out of the incubator and setting up shop in our downtown. This employs talent, other talent supports those businesses, and that provides us with a stronger, more resilient economy.”