The 10-building development within the District Detroit that was supposed to break ground last year is now pushed back another year. Officials have changed the timeline and priorities for the $1.5 billion development.
Due to the changing office landscape, one of the first projects set to break ground, a new 17-story office tower, will be pushed back. This developers, Olympia Development and Related Companies, are still negotiating with Wayne County for the land, which sits in front of Comerica Park. A residential tower on these sites (in the rendering above) would also be on hold.
The developers have said that the interest rates and lending environments for office buildings has made financing difficult for this project.
Instead, they'd move forward sooner with an 18-story residential tower near the University of Michigan Center for Innovation, which broke ground late last year. The tower would have 261 units, with 20% set aside as affordable. The timing could work out so the units would be open as the UMCI opens.
Also, one of the two new hotels planned - a new build next to Little Caesars Arena or the redevelopment of the offices above the Fox Theatre - will be prioritized with an earlier start date.
Developers must break ground before March 2025 in order to receive the largest of the tax incentives approved for the project - the Transformational Brownfield at $615 million tax capture over 35 years.
The rehab of six apartment buildings at Cass and Henry is still planned for later this year.
More: Detroit Free Press, Crain's Detroit Business, Bridge Detroit
