Sale May Turn Michigan Inn Into Condos

Sale may turn Michigan Inn into condos

BY ARTHUR BRIDGEFORTH JR.

The former Michigan Inn on Jackson Road, vacant since last fall, may be converted to condominiums if a sale is worked out between the hotel’s property manager and a Southeast Michigan-based firm.

Paul Scott, principal of Paul Scott Real Estate near Traverse City, said a firm he represents has offered to buy the property from its current owners, Arbor Valley Associates, a Farmington-based limited partnership, and Ramada Inns Corp.

Scott would not disclose the terms of the offer or the name of the potential buyer, which he described as a real estate investment firm knowledgeable in redevelopment. He said he expects the deal to be completed within a couple weeks.

“It’s a terrific location toward the highway (1-94) ... and it’s on the bus line,” Scott said. “The structure is very sound and there’s a lot of room to provide for parking space.”

The condos will consist of efficiencies, one- and two-bedrooms and will be low to moderately priced, Scott said. The price will range from $45,000 to $65,000.

He said it will cost more than $1 million to convert the hotel into condos because a number of the rooms have to be merged.

Rodney Sabourin, president of Valley Property, which is the property manager of the Michigan Inn, said the 129-room hotel was closed last fall after seven years in business, because occupancy rates had dropped off dramatically. The vacant hotel has been on the selling block for more than a year.

“The Ann Arbor market (for hotels) is very weak in my opinion,” Sabourin said. “There’s just too many hotel rooms around.”