NorthPoint Development and LoPatin & Co. have announced plans to redevelop the 44.8-acre site of the former Cadillac Stamping Plant located one-half mile south of the Coleman A. Young International Airport in Detroit.
The project will include the demolition of an abandoned factory (9501 Conner Ave.) and the construction of a new 684,000 square foot Class A industrial building targeted toward automotive suppliers and advanced manufacturing and logistics opportunities.
The project, expected to generate a total private investment of $47.9 million and 450 new full-time jobs, addresses the lack of manufacturing space in the region, which has been a hindrance in attracting large corporate tenants. It will likely open in the next 18 months.
“This abandoned industrial site will be remediated of hazardous materials, the structure will be demolished, and the new building will create hundreds of jobs and tax revenue for the city, county, and state,” says Tim Conder, director of development of NorthPoint in Kansas City. “This redevelopment is a win-win for the city of Detroit and the residents of this community.”
On Tuesday, the City of Detroit Brownfield Redevelopment Authority received Michigan Strategic Fund (MSF) approval of $3.3 million in state tax capture to reimburse for eligible brownfield remediation activities, which makes redevelopment of the site possible.
The property has a history of manufacturing uses dating to 1919, when the Knodell Division of Clayton and Lambert Manufacturing Co. established an automotive stamping and metal working plant to supply various automakers. In 1925, it was sold to Hudson Motor Car Co. (Hudson’s department store fame), which used it for manufacturing cars. It was later sold to Cadillac, which made car body panels at the site.
From there, it was sold in 1993 to Ivan Doverspike, who used the plant to build machine tools, followed by a storage operation. Businessman Bill Hults acquired the property in 1993, and he announced plans to build modular homes inside the facility, but the deal never materialized.
The new owners state they will undertake an extensive cleanup of the soil, asbestos removal, and demolition of the site. The project will also include the improvement of public sidewalks on the property.
“This project will bring an underutilized site back to productivity, creating skilled trades job opportunities in Detroit and supporting business expansion efforts in key industries to bring increased economic prosperity for the region,” says Josh Hundt, chief business development officer and executive vice president on the Michigan Economic Development Corp.
“We are pleased to work with our local partners to support this project to create a runway for economic recovery and growth in the region.”
The city of Detroit is supporting the project with the local portion of the Act 381 Work Plan request valued at $4.7 million and an anticipated 12-year Industrial Facilities Tax Exemption valued at $8.1 million. The developer plans to work with the Detroit at Work career center for hiring with a commitment to give preference to city residents.
NorthPoint Development is one of the country’s largest manufacturing and logistics development companies and was ranked by Real Capital Analytics as the No. 1 industrial developer over the last five years in terms of square feet developed.
Established in 1952, LoPatin & Co., based in Farmington Hills, is a full-service development team providing an integrated approach to real estate development, design and development, financing, marketing, construction, management, and maintenance services.