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Introduction
In the heart of Downtown Lansing, Neva Lee’s—a small, woman-and veteran-owned retail houseplant shop—embodied the spirit of local entrepreneurship. Founded in July 2021, Neva Lee’s was not merely a business; it was a dream nurtured through passion and personal sacrifice. The journey from a modest 600-square-foot space to a more expansive 2,100-square-foot location was fueled by the active recruitment and promise of $25,000 relocation incentive funding from Downtown Lansing, Inc. (DLI), a national Main Street community program set up to support Lansing's downtown small businesses. Instead of flourishing in its new setting, Neva Lee’s faced a series of challenges highlighting the broader issues of injustice and inequity faced by small businesses in Downtown Lansing that deal with the incompetence of DLI and unregulated landlords.
The Promise and the Reality
In April 2022, DLI's invitation and commitment to our growth seemed like a beacon of hope. The promised and secured funding of $25,000 was intended to support our transition to a larger space, allowing us to expand our services to include a coffee shop, lounge, live music, and host community events. Despite the initial enthusiasm and a partial $10,000 payment, the remaining $15,000 has yet to be delivered. Over two years of persistent follow-ups and mounting frustration have transformed what was supposed to be an incentive into a debilitating liability.
Facing Unyielding Landlords
Our transition to the new location, a building that DLI put us into, was fraught with issues from the beginning. The landlords failed to fulfill their basic lease obligations and commitments. The space had continual issues and hazardous conditions, including plumbing, electrical, fire life and safety code violations. These deficiencies were not minor inconveniences; they posed serious financial and liability risks to our business operations. These issues resulted in interruption to our business, and an inability to fully activate the space we were paying thousands of dollars to rent. Repeated requests for repairs were met with silence, neglect and delays. The storefront, which was crucial for our visibility and customer attraction, remained incomplete and boarded up for months resulting in a loss of income as people thought it was a vacant or closed business. The ongoing struggle with the landlords was compounded by their consistent disregard for their lease obligations and the deteriorating condition of the property. The building was written up for many code violations from the city of Lansing's plumbing inspector, fire marshal, and electrical inspector. The landlord's rejected our attempt to negotiate the lease and did not repair the violations holding us up from doing business between the time they were issued a correction notice and the months after that we left our lease.
Bureaucratic Obstacles and Legal Battles
While dealing with the landlords, we also contended with DLI’s failure to deliver the promised funding. Despite numerous attempts to resolve the issue, including meetings with DLI’s director and communications with local officials such as the mayor, and senator Sarah Anthony's office, the remaining $15,000 has yet to provided. The lack of support from DLI was a direct financial blow to our business, our livliehoods, and our expansion plans, which was vital to our vision for the business.
Our situation worsened as plumbing code violations and other building deficiencies became more apparent. Inspections revealed that the property was not up to city codes, which further delayed our plans. Our attempts to negotiate a peaceful resolution with the landlords were met with resistance, and their legal threats only compounded our stress. We vacated the space after spending thousands of dollars on an attorney to negotiate our way out of the building since it interrupted and impacted our revenue and ability to grow our business. Our landlords breached their own lease contract, and because they are financially well-off, they were able to file a lawsuit against us. After being informed we had a case against them, but unable to afford the $30K plus in legal fees, we had to settle out of court for thousands of dollars.
The Personal and Community Impact
The struggle to maintain our business amidst these adversities has been both financially and emotionally draining. Neva Lee’s was not just a retail shop; it was a space envisioned to bring joy, community engagement, and a unique experience to downtown Lansing. The inability to fully activate our space due to the condition of the building, coupled with the financial strain and legal battles with wealthy indifferent landlords, incompetence and false promises from DLI, has resulted in the heartbreaking struggle of losing our business downtown.
Our story reflects a broader issue faced by many local small business owners in downtown Lansing who are often at the mercy of wealthy landlords and bureaucratic entities that lack accountability. It underscores the need for systemic change to support small enterprises that contribute significantly to local economies and communities. These businesses feel they are indebted to DLI and do not want to speak out against them for fear of retaliatory consequences, and that is a just fear based on the behaviors of DLI when they are questioned regarding their actions and capabilities.
Conclusion
Neva Lee’s stands as a testament to the resilience, and dedication of small business owners who strive to make a difference despite systemic challenges. The injustice we faced from shady landlords and an unfulfilled commitment from DLI illustrate a need for greater support and reform in business practices downtown. As we navigate this painful chapter, we hope our experience sheds light on the broader struggles and economic impacts faced by small businesses and advocates for more equitable treatment and accountability in the business and political spheres. The personal and financial toll on small business owners is immense, and the lack of accountability leaves them feeling vulnerable and powerless. Change needs to happen, and it starts with holding Downtown Lansing INC (DLI) and those in charge of downtown Lansing accountable and up to higher standards!
We have 10+ messages from DLI awarding us the relocation funds after they actively recruited us to move, telling us over and over they were on the way, and not once telling us over the course of 19 months that we were not getting the remaining funds. After we tried holding them accountable and taking action to collect on the funds, they finally said they were not giving it to us. They made continual clerical mistakes, accounting errors and late reimbursement payments with the federal grant dollars that we did receive. For a small business those errors are very costly! They wrongfully shared many other businesses' private data and information with us, a breach of PII and exposure on federal grant spending. This is just the tip of the iceberg of what we encountered that reinforces DLI's incompetence. We know other small businesses have experienced similar incompetencies with DLI's poor performance. We have been denied FOIA records, and time limits have been breached, and what we have been given is a fraction what actually exists. We have spent so much time over the years and went to many lengths for resolve, but at almost every effort we were met with resistance and a total lack of accountability.
We alerted our landlords to plumbing issues in the building many times and tried to hold them liable for being in default of their own lease. DLI put us in that building, a building with known issues.
DLI has also acted out with retaliatory behavior when people speak out against them.
We are not alone in these types of situations. Many small business owners in downtown Lansing are facing similar issues with how the city is being run. Many of the small business owners are upset with how DLI is mismanaging the Downtown Mainstreet but are afraid to speak up against DLI. We were too because we thought we needed DLI. We thought they were the gatekeepers to funding, growth and support. Change needs to happen for Downtown Lansing to thrive the way it could, and the way it should!
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