Traverse City Becomes a Magnet for the Homeless
How Michigan’s Popular Tourist Destination Grapples with Homelessness
This article documents the homelessness situation in Traverse City during the early 2010s. The issues discussed remain relevant to ongoing conversations about housing, tourism, and social services in Northern Michigan.
Traverse City, Michigan — known for its cherry orchards, wine trails, and stunning Lake Michigan shoreline — faced an unexpected challenge in the early 2010s. The picturesque resort town was becoming a destination not just for tourists, but for homeless individuals from across the state seeking services, mild summer weather, and a community with resources.
The Growing Crisis
By 2012, Traverse City’s homeless population had grown significantly, creating tension between the tourism-dependent economy and the need to address a serious social issue. Local officials and service providers found themselves at the center of a statewide conversation about homelessness in Michigan.
Why Traverse City?
Several factors contributed to the area’s appeal for those experiencing homelessness:
Contributing Factors
- Better Services: Traverse City had more comprehensive social services than many rural Northern Michigan communities
- Climate: Moderate summer temperatures and access to public spaces near the waterfront
- Economic Opportunity: Seasonal tourism jobs, though often insufficient for stable housing
- Community Resources: Active churches and nonprofits providing meals and assistance
- Safe Harbor Ordinance: More tolerant policies toward homeless individuals than some communities
The “Homeless Magnet” Debate
The situation sparked a controversial debate about whether providing services was “attracting” homeless people from other areas — a claim that divided the community.
Critics argued that the city needed to address the issue more aggressively, particularly in tourist areas like Front Street and the Open Space near the bay. Advocates pushed back, noting that criminalization would only push the problem underground without solving it.
Local Response
Traverse City and Grand Traverse County developed several approaches to address the crisis:
The Intersection of Tourism and Poverty
Traverse City’s situation highlighted a broader issue facing Michigan’s tourist destinations: the contrast between affluent visitors and struggling residents.
The Economic Reality
Tourism brings billions to Northern Michigan, but seasonal work often means low wages and unstable employment. The same beautiful environment that attracts visitors also attracts those with nowhere else to go — and housing costs driven up by vacation homes and short-term rentals made affordable housing increasingly scarce.
Statewide Context
The Traverse City situation was part of a larger homelessness crisis affecting Michigan following the 2008 recession:
- Economic Collapse: The automotive industry crash devastated Michigan’s economy
- Foreclosure Crisis: Michigan had among the highest foreclosure rates in the nation
- Mental Health Cuts: State budget cuts reduced mental health and social services
- Veteran Homelessness: Returning veterans faced housing and employment challenges
Lessons and Ongoing Challenges
The Traverse City experience offered important lessons for communities across Michigan:
Key Takeaways
- Homelessness is a regional issue requiring coordinated responses
- Criminalization doesn’t solve homelessness — it just moves it
- Housing costs and availability are central to the solution
- Mental health and substance abuse services are essential
- Community attitudes matter as much as policies
Current Situation
Today, Traverse City continues to grapple with homelessness while implementing evidence-based approaches. The conversation has evolved from “how do we hide the problem” to “how do we solve it” — though tensions remain between economic interests and humanitarian concerns.
Resources
The City of Traverse City and Northwest Michigan Community Action Agency continue to provide services and information about homelessness resources in the region.
How to Help
If you want to help address homelessness in Northern Michigan, consider volunteering with local shelters, donating to established organizations, or advocating for affordable housing policies in your community.