For 65 years, the Mount Clemens City Hall has served as a landmark on the Clinton Riverfront and the center of the local government operations.

But if all goes as planned, the municipal campus could vacate its home and relocate elsewhere with an eye on a new residential development on the waterfront that would bring additional tax revenue into the community.

The city and Oakland University have given the green light for the upcoming purchase of the former OU satellite location inside the Towne Square office building at 20 South Main Street, the two sides announced Friday.

Mayor Laura Kropp described the move as a potential “game changer” for Mount Clemens, giving the city a chance to grow its downtown residential population.

“We currently have fewer than 100 residents in our downtown district,” she said in a news release announcing the relocation. “Adding 100 or more new housing units with first-floor business opportunities would significantly boost our local economy and grow our tax base.”

According to the release, the city will renovate the office building and relocate both City Hall and the Mount Clemens Fire Department, which currently shares a parking lot with the municipal structure, to the newly-acquired downtown site.

The acquisition and renovation are being supported by $2 million in state grant funding, secured through the efforts of Macomb County and state Rep. Denise Mentzer, a Mount Clemens Democrat.

The $2 million will be used for the purchase of the property and initial engineering and construction costs to retrofit the building for municipal use.

“This is a great opportunity to partner with the City of Mount Clemens and help address the shortage of downtown housing,” Oakland University’s Senior Vice President for Finance and Administration Steven Mackey said in the release. “We’re proud to support a project that benefits both the city and the region.”

Oakland University acquired the 20 South Main building in 2014 through a donation by developers Gabe Anton and Stuart Frankel. The university restored the long-vacant structure and began offering classes there in 2015.

However, following the COVID-19 pandemic, Oakland shifted its academic programming, ultimately ceasing operations at the Mount Clemens site, officials said in the release.

Mayor Kropp first disclosed the relocation during a State of the City address in November 2024.

Recognizing the potential for a positive impact on the community, OU partnered with the city to repurpose the space on Main Street at Cass Avenue, across from the Macomb County Administration building in the heart of the city.

According to the release, Mount Clemens leaders envision a mixed-use development on the riverfront, including condominiums with ground-floor business opportunities to “stimulate economic activity, expand housing options, and enhance the vibrancy of downtown Mount Clemens.”

The area directly along the river will remain a public park, preserving access to green space and scenic views for all.

Macomb County Executive Mark Hackel — who years ago pushed city officials for a similar development — voiced support for the initiative.

“Relocating city facilities downtown is a win for Mount Clemens, Oakland University, and Macomb County. This move opens up incredible opportunities along the riverfront for thoughtful development that enhances quality of life and strengthens the community,” he said in the release.

It’s the second time that the municipal campus is being eyed for development.

In 2015, Hackel shared a conceptual drawing created by Partners in Architecture that included a vision for downtown Mount Clemens that called for a new City Hall and a riverfront housing project. He presented that concept to a group of business leaders in the summer of 2015, but the idea failed to get off the ground.

Hackel recently said he believes more developers are now seeing the opportunity to push Mount Clemens back to a bustling county seat that it once was. He told The Macomb Daily the county’s planning department is working with city officials on the project.

According to Hackel, urban centers are becoming more popular in Michigan as evidenced by developments taking place in Detroit, Ferndale and Royal Oak.

The move comes at a time when the downtown area is undergoing a $6.5 million revitalization project to spruce up its downtown, make it more user-friendly and encourage more businesses to open in the area.

Also, construction is underway at the former Victory Inn hotel on North River Road for a new affordable $10 million housing project $10 million project set to be have 117 residential units.

Renovation work on the new City Hall and Fire Department is expected to begin in 2026, with the city targeting early 2027 for occupancy.

In the meantime, Mount Clemens officials say they will begin seeking development partners to bring its riverfront vision to life.