Without Workforce Housing, Our Costs Will Keep Rising

The cost of doing business is directly tied to the costs of your workforce. What do we mean by this? Take, for example, the costs of commuting. If retail, restaurant, and grocery store employees are forced to commute 45–60 minutes due to a lack of local housing, their wages and transportation costs will become cost-prohibitive.

To attract workers from farther away, businesses must offer higher wages with additional benefits, and even then, it’s becoming increasingly difficult to find and retain staff.

The impact is already being felt:

  • Reduced hours for restaurants and other service-based businesses and limited operations during peak periods due to understaffing.
  • Longer wait times for a seat at restaurants. They may have the tables but not the staff to service them.
  • Increased prices are passed on to customers to cover employment costs.
  • Businesses close on certain days for inns and other hospitality services.
  • Cleaning services are charging over $50/hr. plus transportation.
  • Teachers: GLHS has not been able to hire a teacher in the last 6 years.
  • HVAC Service: A service call from Traverse City to Glen Lake costs $150 (and does not include parts or labor).

Workforce housing is not just a community issue — it’s a business imperative.

At Anderson’s IGA in Glen Arbor, Brad Anderson must bring in seasonal workers from foreign countries and provide them with lodging in order for his business to service our communities

“Our labor costs pretty much mirror the national inflation rate increases over the last 5 years, so 20% to 22%. Service costs such as insurance, utilities, and taxes cause increased inflationary pressures across the board. However, lodging and the cost to fill the employment gap with foreign workers has added an additional 20%–25% to our labor expense. Yes, it’s very expensive to house and vet foreign workers, but they are happy to have the work.”

To mitigate housing challenges, local businesses like Cherry Republic have invested in employee accommodations. Cherry Republic provides over 30 beds for non-local hires, utilizing properties in Glen Arbor Township and Maple City, as well as dormitory space at the Leelanau School. ​(Housing North)

Key Facts

  • Business Impact: A survey by the Leelanau Peninsula Economic Foundation found that 72% of 132 local businesses identified the lack of workforce housing as their primary operational barrier. ​
  • Commuting Workforce: Over 4,000 individuals commute into Leelanau County daily for work due to the lack of affordable local housing. (Leelanau Peninsula Economic Foundation)
  • Housing Gap: A 2023 Housing Needs Assessment identified an overall housing gap of 2,335 units in Leelanau County through 2027, comprising 382 rental units and 1,953 for-sale units. ​(Leelanau Peninsula Economic Foundation)

How Can You Help?

  1. Start by spreading the word—talk to your friends, neighbors, business owners, and local officials. Share this newsletter with organizations you’re connected to, like your Chamber of Commerce, clubs, or neighborhood groups.
  2. Do you own land that might be suitable for conservation or community use? We’d love to hear from you—whether you’re open to donating or selling it to a local 501(c)(3), your contribution could make a lasting impact.
  1. If you haven’t already, subscribe to our newsletter to stay in the loop—there’s a sign-up link right at the bottom of our homepage. And don’t forget to follow us on Facebook and Instagram for regular updates and stories from the region.
  1. Looking for hands-on ways to get involved? Consider making a donation or volunteering with us. Every bit of support helps us protect and enhance the gateway communities of the Sleeping Bear Dunes.

Only together can we make a real difference.