State awards $1.5M toward rehab, redevelopment of 131-year-old building in downtown Petoskey

What’s happening: Once the longtime home of Leo’s Neighborhood Tavern in downtown
Petoskey, 434 E. Mitchell St. has remained vacant these past few years since the decades-old
watering hole announced its final closing time. That could soon change as developers have
announced plans to preserve and repurpose the 131-year-old building for a restaurant,
speakeasy, and eight residential units.

What they’re saying: “The Leo’s Neighborhood Tavern building has been part of the fabric of
Petoskey for more than a century, and this project represents an opportunity to honor that
history while bringing new life to our downtown,” says developer Randy Flinn.

What’s planned: Flinn will redevelop the historic downtown Petoskey building, embarking on a
$5.3 million mixed-use project that will revive the 131-year-old building while adhering to the
federal Secretary of the Interior’s standards for historic building rehabilitation. Eight residential
units will be redeveloped upstairs, while space for a restaurant and a speakeasy will be
redeveloped below.

How they’re doing it: The project has recently been awarded a $1.5 million Revitalization and
Placemaking (RAP) grant by the Michigan Economic Development Corporation, an MEDC
program designed to support economic and community development projects that can help
revitalize Michigan’s traditional downtown communities. The city of Petoskey also approved a
$330,000 12-year Obsolete Property Rehabilitation Act tax abatement in support of the project.

Working together: “From the outset, it was clear that restoring a 130-year-old structure of this
scale would require strong public-private partnership,” says Flinn. “Without the support of the
Michigan Economic Development Corporation, this project simply would not have been
possible. The MEDC saw not just a building, but the potential for community impact – housing,
hospitality, and renewed energy in the heart of Petoskey. ”