LANSING, Mich. (WLNS) – New life is coming to a long unused part of downtown Lansing.

Lake Trust Credit Union’s former headquarters building is being redeveloped. The seven-story vacant office building will be renovated to house commercial space and 55 multifamily apartments.

A rendering of the 501 Project, which will renovate the vacant downtown Lake Trust Credit Union building.

Additionally, a new five-story mixed-use building will be constructed on the adjacent parking lot that will house 117 apartments and have commercial space of its own available.

“Repurposing the Lake Trust parcel has been an incredibly important revitalization effort in the southern end of our downtown. Creating new housing, especially by converting former office space, will be tremendous for Lansing as we continue to see a need for more housing downtown. I appreciate the work of everyone at the MEDC and the Lansing Economic Development Corporation to ensure this project kept moving forward,” said Lansing Mayor Andy Schor.

Developer 501 and 503 S. Capitol, LLC say the largescale renovation effort, dubbed the 501 and 503 Projects, will help upgrade the block by offering parking and “enhanced outdoor space” for future tenants.

The 503 Project, a new apartment building adjacent to the former downtown Lake Trust Credit Union headquarters.

The construction will also see improvements to nearby public property like sidewalks and utility mains.  

The 501 Project will generate an estimated total capital investment of $17.9 million and create nine full-time equivalent jobs. It is supported in part by state tax capture approved by the Michigan Strategic Fund valued at $855,628.

The neighboring 503 Project is estimated to create a $31.2 million capital investment, spur five full-time equivalent jobs and is backed in part by state tax capture valued at $427,482.

In total, the two projects will bring in a capital investment of $49.2 million; the tax capture will be used for the reimbursement of brownfield activities at the sites.

Lansing is supporting the 501 and 503 Projects through its approval of local tax capture valued at $2.6 million.