By Maggie LaNoue
Contributing Writer
July 25, 2025
Albion City Council will meet on Monday, July 28, at 7 p.m. at Opportunity High School, 225 E. Watson St., to vote on a redevelopment proposal for Washington Gardner School. Meetings are being held at Opportunity High School while City Hall’s elevator remains out of service.
The proposal centers on converting the historic school building, currently owned by Albion College, into 61 low-income apartments. The nonprofit Community Housing Network (CHN), based in Troy, Michigan, is requesting a 45-year Payment-in-Lieu-of-Taxes (PILOT) agreement. Under the ordinance language, the developer would “pay a charge equal to 6% of the net annual shelter rents that are actually collected by the housing project each year.” These payments are calculated after operating expenses, which means that in years with little or no profit, the city could receive minimal revenue.
Critics have expressed concern that this approach could result in minimal revenue for the city if the project shows little or no profit. Some residents worry about the long-term impact of adding another tax-exempt property to the city’s base and whether Albion will bear additional costs for essential services such as public safety, road repairs, and recreation.
Albion College President Wayne Webster made a presentation about the Washington Gardner School (WGS) property, owned by the College. He reiterated the College’s effort to reduce operating losses while preserving historic assets.
“We’ve spent hundreds of thousands annually on utilities and insurance for a building that has been vacant for years,” Webster said. “This proposal represents a $25 million investment in Albion and a way to bring life back to an important landmark while removing a significant financial burden from the College.”
Webster noted that the College has already transferred other surplus properties to new owners, such as Bellemont Manor, and stressed that the College will not profit from the transaction. Instead, the goal is sustainability: “We want Albion College to succeed, and that includes supporting the city’s long-term vitality.”
The agenda included two key development items: one was approving a commercial redevelopment district for 205 W. Cass Street, and the other was deciding whether to grant a Payment in Lieu of Taxes (PILOT) for the proposed Washington Gardner redevelopment. Public comments reflected strong feelings on the future of Washington Gardner School (WGS), a beloved 1927 landmark.
Webster stressed that Albion College will not profit from the transfer of the property. “It’s important to note that the College will not profit from this transaction,” he stated. “In fact, over the past decade, we’ve spent an estimated $200,000 to $300,000 annually on utilities and insurance for a building that no longer serves a central role in our educational mission. That’s more than $2 million that could have otherwise gone directly toward student support and academic priorities.”
Supporters of the project argue that the PILOT arrangement provides a practical solution by turning a vacant property into housing while reducing the College’s financial strain. Critics counter that the projected revenue—about $8,000 per year under ideal conditions—falls far short of the tax contribution expected from a market-rate property. Concerns also include the quality of future renovations and whether out-of-town contractors will limit local economic benefit.
Community Housing Network, founded in 2001, has developed affordable housing across Michigan and reports serving more than 17,000 people in the past year. According to its mission statement, CHN focuses on “providing homes for people in need and access to resources to create sustainable communities.” The organization earned an 88% score, or three-star rating, from Charity Navigator, with a program expense ratio of 95.27%, meaning nearly all funds go to direct services. CHN’s governance structure includes a fully independent board and strong financial accountability policies.
One of CHN’s most recent developments, Kelly Court Apartments in Eastpointe, opened in July 2025 to high demand, offering units for families earning 50 to 60 percent of the area median income. The nonprofit also emphasizes partnerships with local agencies for supportive programming, aligning with the collaborative approach planned for Washington Gardner.
At the most recent Albion City Council meeting on July 7, members addressed preparations for the upcoming vote. Monday’s session will include time for public comment before the decision. The outcome will shape not only the future of a prominent landmark but also broader conversations about economic development, housing needs, and fiscal responsibility in Albion.
Washington Gardner School remains a symbol of the city’s history and resilience. Built nearly a century ago and maintained through community investment, its next chapter is about to be written. Whether it becomes a center for housing and services or awaits a different fate, the decision will reflect the values and priorities of Albion’s leaders and residents.
Read about the July 28 meeting, what the citizens said.
Albion City Council Meeting Covers Two Development Projects, Public Weighs In
