Michigan steps back from developing 1,400-acre rural megasite

Michigan is no longer pursuing a plan to turn farmland into an industrial site after facing community pushback on developing the controversial megasite.

The Michigan Economic Development Corp. and the Lansing Area Economic Partnership, LEAP, put together a 1,400-acre megasite in Eagle Township to attract a largescale, job-creating investment.

But after the state disbursed nearly $6 million to the project, it’s been halted.

“We continue to believe the site could have great potential given its proximity to infrastructure, workforce and other adjacent industrial uses,” said Otie McKinley, a spokesperson for the Michigan Economic Development Corp. “We also recognize that this is not the right time to pursue additional development on the site.”

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The Eagle Township megasite, also known as the Michigan Manufacturing Innovation Campus, was one of four megasites the state started assembling two years ago as a part of its strategy to land major billion-dollar investments.

Named for their size, each “build-ready” megasite is at least 1,000 acres.

Others are located in Mundy Township near Flint, Shiawassee County and Marshall, where Ford Motor Co. is building a $2.5 billion electric vehicle battery plant.

The Michigan Strategic Fund earmarked $75 million two years ago to make these megasites “build ready” with infrastructure upgrades and real estate acquisition.

For the Eagle Township property, the state distributed $5.95 million to LEAP for site prep. LEAP did not respond to questions about how the funding was spent.

LEAP says there was a “sense of urgency” because of Michigan’s need for “sites of that magnitude to pursue important semiconductor and EV-related industry investment projects to reshore US manufacturing and technology jobs.”

It took six months of “confidential real estate assembly” to put together the Eagle Township megasite, according to LEAP. This included farmland donated to Michigan State University by late farmer David Morris and private properties under a three-year option agreement.

LEAP has since allowed the real estate options to expire after “the local municipality leaders and neighbor sentiment turned from initial unanimous support into significant opposition.”

“We took the further step of offering early termination to all affected property owners in recent weeks,” LEAP said in a statement.

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This decision comes after the project faced significant backlash from community members who objected to the large swath of rural land becoming a major industrial site.

Opposition gained momentum over the past two years through a 3,200-member Facebook group called “Stop the Mega Site, Eagle MI.” Red signs proclaiming “No Eagle Megasite” have also dotted the rural community located about 15 miles west of Lansing.

Eagle Township Supervisor and local farmer Troy Stroud, 54, says he’s cautiously optimistic about the news.

“We’re not all farmers in Eagle, but it’s a very strong part of how we identify and what we enjoy about where we live,” he said. “It’s what matters to us, and you have to fight for what matters to you.”

A key sticking point for opponents was that Morris, a former Eagle Township supervisor and longtime farmer, donated his centennial family farm to Michigan State University with the stipulation it must remain farmland until 2031. MSU previously said the agreement would extend to any future owner, but the university was sued last year for allegedly redacting too much information about the deal.

Stroud says a “lack of transparency” was another major issue after former township supervisor Patti Schafer signed non-disclosure agreements about the project.

“We just wanted some transparency around what it was,” he said. “It just became this quest of wanting to know the knowledge, the details, what was really happening.”

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This led to Schafer, Township Treasurer Kathy Oberg and Trustee Richard Jones facing recall efforts over the NDAs. Schafer lost her seat to Stroud while Oberg and Jones both resigned last November.

Secrecy around economic development has also been contentious in Lansing where lawmakers have signed confidentiality agreements tied to big deals.

It remains unclear what the future holds for the Eagle Township megasite.

Both LEAP and the Michigan Economic Development Corp. said it is not currently being marketed for development. A website for the Michigan Manufacturing Innovation Campus is now password protected. And the “primary economic opportunity” LEAP was trying to land chose another location outside the region.

Additionally, Eagle Township adopted a 220-page master plan in September that reflects residents’ will “to maintain the cherished natural and rural charm of the community.” It also updated its zoning rules around industrial sites.

“The future of a site in Eagle Township remains in the hands of the community,” McKinley said. “We are always open to any future engagement should their vision or plans for development on that site change from what they are today.”