Dive Brief:
- A Wayne County official said a study of Quicken Loans billionaire Dan Gilbert's proposal for a new $225 million to $250 million soccer stadium on the site of a current Detroit jail project will cost $500,000, according to CBS Detroit.
- Gilbert wants to take over the existing jail site and build a $1 billion development with the stadium at its core. In return, he said he would construct a more expensive, $420 million consolidated jail facility and courthouse on a nearby site at no increased expense to the county.
- Wayne County Executive Warren Evans said the $500,000 will go toward the cost of stopping construction currently underway at the $300 million jail site so that existing contractor Walsh Construction can study Gilbert's offer and come up with a county proposal.
Dive Insight:
Walsh was the only firm to respond to the city's call for contractors when it decided to reboot the construction process on the stalled downtown facility. Walbridge was the contractor before the county pulled the plug on the $90-million-in-the red project back in 2013. After that, Gilbert and Detroit Pistons owner Tom Gores offered to buy the property for $ 50 million, but the city rejected the deal.
Back in April, after additional propositions from Gilbert and Gores, Evans said any acceptable offer to buy the property would have to include a plan to deliver a jail to the county at no additional cost to residents, which the most recent proposal contained. If the Gilbert team has its way, in addition to a soccer stadium, they would build a three-tower development that would provide retail, residential, office and entertainment options.
Detroit has seen a development renaissance after wild swings in its economic fortunes brought unemployment and a skyrocketing number of home foreclosures. The new Red Wings arena and its surrounding District Detroit development is revitalizing the downtown, as are new housing and mass transit projects. The area, according to city officials, has already become a magnet for young professionals and artists.
Detroit will also be at the U.S. end of the new $2.1 billion Gordie Howe Bridge, which will create a new trade and travel connection to Canada. Legal challenges from the owner of an existing U.S.-Canada bridge and land purchase delays continue to plague the project. However, President Donald Trump and Canadian Prime Minister Justin Trudeau announced earlier this week that they will make construction of the bridge a priority.
