A contested development advances while court battles continue

The Gaslight Village development in East Grand Rapids is back on the city's Planning Commission agenda, even as a lawsuit from neighbors hangs over the project.

Developers Gaslight Investors presented renderings for phase one of the project to the Planning Commission on May 13. The first phase calls for three new buildings with 40 residential units at 515 Lakeside Drive, near the intersection of Reeds Lake Boulevard.

The site was formerly the Ramona Medical Center.

The lawsuit behind the project

Neighbors sued the city last year over how the concept plan approval process was handled.

David Decker, who represents the group Gaslight Village Responsible Development, said the lawsuit centers on the Michigan Zoning Enablement Act and a protest petition filed by residents.

The petition sought to require a five-to-two supermajority vote for approval of the concept plan. The City Commission passed the project on a four-to-three vote in October 2025.

"Several people have asked how this matter is up for consideration tonight when there's a lawsuit pending regarding this development."

That was City Attorney John Huff at the May 13 meeting. Despite the city previously stating it was pausing any project approvals until the court makes its final ruling, Huff said litigation does not suspend matters in dispute.

"That choice to proceed is the developer's choice, not the city's choice. The risk here is on the developer. If a court subsequently intervenes or makes a ruling that's contrary to the developer's interest, the developer's the one who's spent the time, interest, and expense in proceeding."

According to Decker, the case is currently in discovery, with a September 16 deadline for either party to file for summary disposition.

City says it cannot halt the project

City Manager Shea Charles said the Planning Commission will not comment on the pending litigation. He said the lawsuit challenges procedural issues rather than the project itself.

"The plaintiffs have not challenged the preliminary site plan approval. Plaintiffs have not challenged the substance of the project itself. Instead, plaintiffs have challenged whether the City followed proper procedure in denying the protest and referendum petitions."

Charles said the city could face liability from the developer if it unilaterally chose to halt the project without a court order.

What the project includes

Phase 1 would include:

• Three buildings
• 40 total residential units
• 118 parking spaces
• Private funding for Phase 1

According to city documents, outstanding items include stormwater and pedestrian safety concerns raised by staff. The developer will be making a Housing TIF request this summer for the overall project.

A traffic study on the Planning Commission agenda found the development would not create significant traffic impacts, according to FOX 17.

Neighbors say their voices are not being heard

Residents have raised concerns about the project's size, traffic, parking, and lack of green space. The residents suing the city want to put the project to a public vote.

Jerry Anderson, a neighbor, questioned why the city is moving forward despite strong community opposition.

"When you have a proposal that's highly divisive, that 80% of the residents who've spoken on it have said that they don't like the way the current proposal fits the atmosphere of the community, why are they moving forward with it?"

Anderson said there is no real dialogue between the city and residents. He described public input as limited to three-minute comments at commission meetings where questions are not allowed.

"All anybody wants is a development that a consensus of the residents of East Grand Rapids will agree is beneficial to our community."

What happens next

A public hearing has been scheduled for June 9. Gaslight Investors say construction can begin once the city approves the project.

The Planning Commission met in the Community Center's Commission Chambers in East Grand Rapids.