Ann Arbor YMCA lot

Ann Arbor's Downtown Development Authority is putting some conditions on allowing the former Y-Lot on Fifth Avenue to return as a surface parking lot. 


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Andrew Cluley / 89.1 WEMU

While most attention was being paid to President Barack Obama visiting Ann Arbor Wednesday, an important sale was completed.  Dennis Dahlmann the owner of the Campus Inn and the Bell Tower Hotel completed the purchase of the former Y-M-C-A lot on South Fifth Avenue. 

City Administrator Steve Powers thinks the sale is a positive in two ways.


Ann Arbor's Downtown Development Authority has asked the city to commit the funds the DDA spent on the former YMCA lot to affordable housing projects.  The DDA board yesterday passed a resolution to waive the reimbursement of their costs on the Y-Lot property, and encourage City Council to commit as much as possible to affordable housing as well. 

DDA Board Member Keith Orr says to make a real impact on affordable housing as much money as possible is needed from the $5.25 million for the sale of the Y-Lot.

Ann Arbor City Administrator Steve Powers says work on the sale of the former YMCA lot to Dennis Dahlmann continues to go smoothly.   However with the city facing a December 16th deadline to repay the $3.5 million installment purchase agreement city council has approved a six month extension on the loan. 

The City of Ann Arbor and the owner of the Campus Inn and Bell Tower Hotel have reached an agreement for the sale of the former YMCA  property. 

Dennis Dahlmann agreed to all of the conditions required by City Council in addition to his purchase price of $5.25 million  for the property at 350 South Fifth Avenue. 

Mayor John Hieftje says he's excited to have the sale moving forward and have the land providing income to the city and bring more vitality than a surface parking lot.

The sale is expected to close by the end of the year to meet the city's deadline to payoff an interest only loan on the property.  Dahlmann will be required to build a project including ground floor retail, large plate office space, and residential units.