Governor Gretchen Whitmer and the Michigan Strategic Fund (MSF) Board have approved a series of new projects to strengthen Michigan’s housing infrastructure, innovation ecosystem, and advanced manufacturing capacity.
The initiatives include a $4.5 million investment in affordable housing and mixed-use redevelopment in Houghton County, $4.2 million in funding to support 13 startup and innovation organizations statewide, and a significant $132.9 million reinvestment by American Axle & Manufacturing in St. Joseph County.
Governor Whitmer said the approvals represent continued momentum under the state’s “Make it in Michigan” economic strategy, which focuses on creating opportunities for residents, attracting businesses, and investing in communities across the state. The projects reflect a unified approach among state agencies, local partners, and private-sector stakeholders to advance long-term economic growth.
In the Upper Peninsula, the Skyline Commons project in the City of Hancock will receive a $4.5 million performance-based Michigan Community Revitalization Program Direct Loan to transform a former Finlandia University building into new residential and commercial space. The redevelopment will create 27 apartments—15 one-bedroom and 12 two-bedroom units—offered at rents ranging from 60% to 100% of the area median income. Nine units will be designated as affordable or workforce housing for up to 15 years.
The project will also maintain approximately 40,000 square feet of existing office space for current tenants, including medical professionals, while revitalizing 60,000 square feet of underused space to accommodate new businesses such as a childcare provider. This development marks a key step in reviving a historically significant structure that once housed Portage Hospital and later Finlandia University.
In Southeast and Mid-Michigan, the Michigan Innovation Fund (MIF) approved $4.2 million for 13 organizations that provide startup support and entrepreneurial services. This marks the final disbursement from the inaugural MIF program, which was signed into law earlier this year. The funds will strengthen Michigan’s innovation infrastructure by building capacity, supporting commercialization, and growing regional startup ecosystems.
Recipients include Michigan Founders Fund, Michigan Venture Capital Association, TechTown Detroit, Henry Ford Innovations, MTEC SmartZone, Start Garden, University of Michigan-Flint, Ferris Wheel Innovation Center, Milestone Growth Capital Institute, Automation Alley, MichBio, Michigan Central, and Traverse Connect. Funding amounts range from $150,000 to $500,000 based on demonstrated need, geographic impact, and prior success supporting entrepreneurs.
These investments are part of Michigan’s broader effort to attract talent and retain founders by expanding access to capital, mentorship, and commercialization resources. The Innovation Fund complements earlier state initiatives such as the R&D tax credit and the PitchMI statewide competition, positioning Michigan as a top destination for technology and venture growth.
In St. Joseph County, American Axle & Manufacturing (AAM) received a five-year, 100% State Essential Services Assessment (SESA) exemption valued at nearly $1 million to support a $132.9 million investment in its Three Rivers manufacturing facility. The project will fund major infrastructure and equipment upgrades, preserving high-wage union jobs and ensuring the facility remains competitive for future OEM contracts.
AAM’s reinvestment designates the Three Rivers site as its new Center of Excellence. This move will secure the facility’s long-term viability and highlight the region’s highly skilled manufacturing workforce.
KEY QUOTES:
“Today’s approved projects are an example of what happens when we work together to put Michiganders first. By building more housing, supporting major employers in our communities, and investing in our entrepreneurs, we’re strengthening the foundation for long-term growth throughout Michigan. Let’s keep working together to support the state’s ‘Make it in Michigan’ strategy to make our state the best place to live, work, and build a future.”
Gretchen Whitmer, Governor of Michigan
“From adding critical housing supply in the U.P. to supporting the state’s startup and automotive ecosystems, today’s approved projects reflect Team Michigan’s ongoing commitment to executing the state’s ‘Make it in Michigan’ economic development strategy focused on attracting and developing People, cultivating and revitalizing Places, and competing for and winning Projects. We remain grateful to the volunteer members of the MSF board, community partners, Governor Whitmer, and the Michigan Legislature for the legislatively provided economic development tools that support these projects to help every Michigander ‘Make It in Michigan.’”
Quentin L. Messer, Jr., CEO of the Michigan Economic Development Corporation and Chair of the MSF Board
“Rehabilitation and renovation of the building is a top priority for the City of Hancock. The building has seen numerous purposes throughout the course of its history, including most recently as a former university building for the now-defunct Finlandia University. Prior to that, the building was known as the old Portage Hospital building.”
Mary Babcock, City Manager, City of Hancock
“After nine months of due diligence, we saw no clear path forward but knew this historic Hancock landmark deserved a new chapter. Our team rose to the challenge, and Skyline Commons will provide vital housing and modern commercial spaces. We’re honored to lead this bold redevelopment, creating a lively hub that will enrich our community for generations.”
Andy Moyle, Moyle Development
“Michigan is laying substantial groundwork to create an innovation ecosystem like never before, and the Michigan Innovation Fund has been a critical component in demonstrating our long-term commitment. By laying this groundwork and reinforcing our commitment, we are signaling to thinkers and doers across the state, nation, and world that Michigan is ready to help you succeed beyond concept and into creation, from seed to scale, and more.”
Ben Marchionna, Chief Innovation and Ecosystem Officer
“From engaging stakeholders and partners, to disbursing funds in real-time, the Michigan Innovation Fund is answering a significant call from throughout the entrepreneurship and innovation communities. We are proud to lay this important foundation for the future of Michigan.”
Alison Todak, Vice President of Entrepreneurship and Innovation, MEDC
“These investments are necessary to ensure our plant infrastructure and advanced manufacturing processes remain competitive while supporting our highly skilled workforce to meet the strict requirements of our OEM customers. We appreciate knowing that when we’re making multi-year investments in physical and human capital, we’re doing so in a location where we can count on partnerships that are necessary to sustain and grow our Three Rivers Manufacturing Facility to compete successfully in this dynamic, ever-changing industry.”
Tolga Oal, President – Driveline, American Axle & Manufacturing
“The $132.9 million investment American Axle & Manufacturing is making in its Three Rivers facility is an incredible win for Southwest Michigan. This commitment will position the plant and community for long-term success. By designating Three Rivers as its Center of Excellence, AAM is not only elevating the facility’s capabilities but also shining a spotlight on the extraordinary talent and craftsmanship of our regional workforce. We’re deeply grateful for AAM’s continued investment in people, innovation, and community partnerships that strengthen the entire region.”
Jonas Peterson, CEO, Southwest Michigan First
