Versa seeks airport tech park with 90-year lease
Apr. 12—TRAVERSE CITY — A public hearing on plans to develop a multimillion-dollar technology and logistics park on property owned by Cherry Capital Airport is set for April 18.
The Northwest Regional Airport Authority Zoning Board will review a proposal from Versa LLC to lease just over 18 acres of airport property east of Judson Street off West South Airport Road. The proposed mixed-use development could eventually include more than 200,000 square feet of distribution, warehousing, light industrial, research-and-development and related operations in multiple buildings on the site. The development site is immediately east of the Costco store on the airport's property, and would be accessed by a service drive between the two properties.
The hearing is set for 6 p.m. in the second-floor conference room at the airport.
Versa Manager Todd Wyett said his goal is to create a modern development site for the region that can take advantage of the airport's transportation and logistics options.
"I've noticed that Traverse City has a lot of older industrial buildings, but nothing that new," Wyett said. "If you're a logistics operation, having the airport next to it is a real advantage."
Versa, a development firm based in Royal Oak, proposes launching the development with a nearly 60,000 square-foot spec building at an approximate $9 million development cost, with future plans for another three buildings of similar size totaling some $50 million in development value, Wyett said.
According to the conceptual plans submitted to the airport authority, the site would include parking for more than 400 vehicles. The site would be buffered from residential property immediately east of the site by a 6-foot white vinyl fence and natural landscaping on a bermed area with evergreen trees.
Wyett said he invited neighboring property owners to a meeting on site before the public hearing to learn more about the project, and to outline the landscaping and buffering plans designed to minimize its impact on the adjacent neighborhood.
"We want to make sure we're good neighbors to the people that live around the airport," Wyett said. "These uses will be less intense than having a commercial development there."
A site plan of the proposed project and Versa's land-use application can be viewed at record-eagle.com and www.tvcairport.com
The project is the first major private development proposal at the airport since it took control of its own land-use decisions following its conversion to authority status in 2021. The Costco project, which dates to 2017, was approved under Traverse City's zoning ordinance.
TVC Engineer Bob Nelesen, who also serves as the airport's zoning administrator, said under the TVC zoning ordinance that general land uses are reviewed by the Airport Authority's Zoning Board, while projects related to aeronautic uses are reviewed by its Building and Grounds Committee. The Zoning Board includes several Airport Authority Board members, along with the planning directors from East Bay and Garfield townships and Traverse City.
Nelesen said following the Zoning Board's review, the proposal is forwarded to the Airport Authority Board for a final determination. The board could schedule another public hearing or take action at its May 21 meeting, he said.
Nelesen said leasing costs for the property would be similar to what Costco pays the airport — about 30 cents a square foot. Based on the parcel size of about 795,000 square feet, the current proposal would generate approximately $240,000 to $250,000 in annual revenue for the airport, he said.
If approved locally, Nelesen said the project would also be reviewed by the State of Michigan and the Federal Aviation Administration to make sure the building heights and other aspects of the project don't interfere with aircraft movement.
Versa is also seeking a long-term lease of up to 90 years because of the level of investment in the property, which will also require FAA approval. The maximum lease term the local airport authority can approve is 50 years, Nelesen said.
Wyett is an attorney and former general counsel and vice president of Arbor Drugs Inc., a publicly-held drug store chain that was acquired by CVS in 1998 for $1.5 billion. He's a former member of the State Transportation Commission and the Michigan Economic Development Corp. board and executive committee. He currently serves on the Board of Trustees of the Henry Ford Health System Foundation.
According to Versa's website, Wyett has been involved in more than $200 million in development projects in Michigan and Ohio. Some of his projects in northern Michigan include the Chick-Fil-A restaurant and an adjacent hotel development in Garfield Township, the Burlington/Buffalo Wild Wings complex next to the Grand Traverse Mall, housing projects in Petoskey and Cheboygan and the Walgreen's development in Charlevoix.
