A lot of people are speculating about whether the signal will be better or worse from the proposed site. Without comparing the Longley Rice Maps for both, you really can't accurately guess. The application has the R-L Map for the proposed site.
One simply needs to tune to 95.9 WLJW (assuming it is broadcasting at full strength) and compare reception to that of WKLT, as the poster above me has already done. The exception to the rule would be one of the nulls of WLJW pattern, which shouldn't prove predictive of WKLT signal strength.
97.5 WKLT will likely see somewhat degraded reception in Traverse City and also Leelanau County, significantly degraded reception along the M-32 corridor, and improved reception in places such as Cadillac and Houghton Lake.
Of course, if the directional antenna is poorly designed or poorly installed, the above predictions could prove inaccurate.
In terms of programming placement by signal, my guess is 92.9's current programming will stay put and 97.5's current programming will stay put. If 97.5's programming were to move to 92.9, I wouldn't put Hot AC on 97.5.
If it were me calling the shots, I would actually move WKLT's programming to 92.9, I'd flip 97.5 to a simulcast of AM 580, and I'd flip 107.5 to either Hot AC or Adult Contemporary.