Post Number: 96
|Posted on Thursday, November 29, 2007 - 2:24 pm: || |
I agree Buster. Not sure if it's feasible, but when the apt. rental mkt seems stronger now, why not take advantage of the 5 yr. tax credits and give the renters an option to buy? Does anyone know if the credits can apply to a portion of a dwelling? Tenants could even apply $100/month rental toward the downpayment. As well, with the young age and fairly high turnover at Quicken, a lot of those employees would want to test a downtown move by renting first. Ideally they could offer both and let the market determine what portion of the building is rental or condo.
Post Number: 1041
|Posted on Thursday, November 29, 2007 - 2:27 pm: || |
Ha. If Quicken builds on the Statler site, think they'll put a People Mover stop in? There is one at the Whitney, but crossing Washington Blvd. is a long way to go for someone who's scared of anything that's not white and suburban.
Post Number: 2892
|Posted on Thursday, November 29, 2007 - 2:29 pm: || |
^actually, they'll probably move the people mover stop from the whitney and incorporate it into the new building's design...
but nice of you to chime in with your usual divisive comments
Post Number: 389
|Posted on Thursday, November 29, 2007 - 2:35 pm: || |
Right, that's not a self-congratulatory stereotype or anything...
Post Number: 2896
|Posted on Thursday, November 29, 2007 - 2:39 pm: || |
Why not keep some for apartments and sell the rest as condos.
It would make financing the condo's near impossible. Fannie mae prohibits any entity from owning more than 10% of the property. It also prohibits loans for condos in complexes that have more than 20% of units as rental. Freddie mac has similar requirements.
Fannie Mae and Freddie Mac both buy conforming mortgages to bundle and resell. It's very hard to resell a mortgage if they don't conform to their rules. Banks don't offer many loans that can't be resold.
The banks want the building to be either Rental or Condo. Not both.
Post Number: 100
|Posted on Thursday, November 29, 2007 - 2:51 pm: || |
"Ha. If Quicken builds on the Statler site, think they'll put a People Mover stop in? There is one at the Whitney, but crossing Washington Blvd. is a long way to go for someone who's scared of anything that's not white and suburban."
I never get this topic. Have people who bring this up actually seen the area in question? If Quicken is built on the Statler site, it would be less than 50 feet, literally, from the current PM stop. You would hit the Quicken stop about 3 seconds after the train started leaving the Whitney station. I'm sure people aren't THAT scared.
[Edit] I guess I should have asked if you were joking...
(Message edited by gotdetroit on November 29, 2007)
Post Number: 5827
|Posted on Thursday, November 29, 2007 - 3:59 pm: || |
Actually if Quicken did demand a PM stop, it "could" be at the SE Corner of the block where the PM track angles across the Statler block (similar to the Millender Center).
That would position it 2 blocks (distance wise) from either the Whitney GCP stop or the Times Sq. stop. I can't see them ripping apart the newly built GCP station (where access is from outside the Whitney Building).
That may be a pipe dream, but the distance from GCP to Times Sq. is one of the longer distances between stations (after Joe Louis to Financial Center Stations).
Post Number: 101
|Posted on Thursday, November 29, 2007 - 4:20 pm: || |
They could build a short (emphasis on "short") enclosed walking bridge from GCP Station over Washington Blvd. connecting to a new building. Why add millions in expense when a 50 foot walkway is all that would be required...and with the exact same amount of convenience?
Post Number: 2895
|Posted on Thursday, November 29, 2007 - 4:25 pm: || |
While the GCP station is new, it's still a standalone station and it might be more convenient and aesthetically pleasing to be able to incorporate a stop into new construction...
Also, given the time frame we're looking at of a Quicken build, the GCP station would still be in use for about another half-a-decade before Quicken even opens its doors
Post Number: 102
|Posted on Friday, November 30, 2007 - 12:19 am: || |
"Actually if Quicken did demand a PM stop, it "could" be at the SE Corner of the block where the PM track angles across the Statler block (similar to the Millender Center).
That would position it 2 blocks (distance wise) from either the Whitney GCP stop or the Times Sq. stop. I can't see them ripping apart the newly built GCP station (where access is from outside the Whitney Building)."
I don't know how I missed this one. From the GCP station, it is ONE block to the corner you are talking about placing a brand new station. And a very short one at that. Probably not even the length of a football field.
And why would they get rid of a station that could serve two buildings? The current GCP station is set up in such a way that is could serve both the Whitney and any new building at the Statler site.
Post Number: 5830
|Posted on Friday, November 30, 2007 - 1:10 am: || |
OK, if you're referring to my post, I said nothing about getting rid of any station (just adding a 14th one).
The distance from the GCP station to the corner of Clifford and Bagley is quite a bit more than a football field in length, probably twice that length. Washington Blvd. is the widest of the streets radiating into GCP, nearly a block wide. And since the corner I'm talking about is the farthest corner of the Statler block, it is about 2 blocks from the Whitney Station to that corner (red line shows where the PM route crosses the SW corner of the Statler block).
I'm not saying this is even feasible, but who knows what Dan Gilbert will demand as a condition to make the Statler block his HQ site. I'm just saying... what if?... nothing more.
I agree that a 200ft. long skywalk from GCP station to the Statler block would be a lot cheaper.
Post Number: 7
|Posted on Sunday, December 02, 2007 - 2:43 pm: || |
What was the topic of this forum again?
Post Number: 419
|Posted on Wednesday, December 05, 2007 - 3:11 pm: || |
Sounds like Higgins is getting sued again!
"Although (plaintiff's) contract was in the amount of $58,075.00, it was only permitted to perform work having a value of $47,541.27 prior to being instructed to cease work on the project....To date, (plaintiff) is owed $29,343.27 on the contract. Broderick Team, without any legal justification, has failed and refused to pay the remaining amount due and owing."
Fudge has the documents.
Post Number: 118
|Posted on Monday, December 10, 2007 - 1:31 pm: || |
"Why not keep some for apartments and sell the rest as condos. I'd grab an apt. in the Broderick in a heartbeat before Merchant's Row or any other places down there, even if it were more money. In the current disastrous housing market, it may make more sense for them to do more of a half-and-half at the moment, then see how things pan out and convert to only one at a later time."
Have you seen the apartments in the Leland Hotel at Cass and Bagley. I would be scared of any apartment Mike Higgins rented out. He is not very good with maitenance. Not saying he would be much better with Condos.
Leland, do you or Fudge know who the plantiff is? It would be interesting to know who the other partners were in the Broderick Team.
Post Number: 746
|Posted on Monday, December 10, 2007 - 9:49 pm: || |
Most lenders won't lend on a mixed use apts./condos.
I highly doubt they will get financing soon because a lender will want at least 50% commitments signed. Tough to get these days.
He owes over 100,000 for taxes for 3 years, the County could it if he doesn't pay pretty soon.
I hope it gets built soon but the clock is ticking.
Post Number: 1607
|Posted on Monday, December 10, 2007 - 10:22 pm: || |
A few years ago, they were getting state and federal money to rebuild the GCP DPM station to make it ADA compliant. I wonder if they are waiting for a decision on the future of the Statler site/Quicken loans to decide what to do with it.
Post Number: 422
|Posted on Monday, December 10, 2007 - 11:07 pm: || |
Sorry, I was alluding to "Hawt" Fudge Detroit but hadn't found a way to elude being censored.
Post Number: 752
|Posted on Tuesday, December 11, 2007 - 11:44 pm: || |
looks like they have a good claim
Post Number: 409
|Posted on Wednesday, December 19, 2007 - 6:22 pm: || |
Seems to me like more windows are opened in that building every single day. Air conditioning? Also, according to the website www.brodericktower.com,
"Ownership has recently transferred to Motown Construction Inc. as part of a plan to re-develop the building."
Is Higgins out of the picture, gone forever, being restrained so the project can proceed?
Post Number: 73
|Posted on Wednesday, December 19, 2007 - 7:35 pm: || |
their site says the building was first the "eaton tower". any relation to the eaton corporation of today?
Post Number: 798
|Posted on Wednesday, December 19, 2007 - 7:37 pm: || |
I think Higgins IS Motown Construction.
Post Number: 441
|Posted on Thursday, December 20, 2007 - 1:00 am: || |
Just wait until Spring. Good things will come.
Post Number: 735
|Posted on Thursday, December 20, 2007 - 1:13 am: || |
Spring!? If there is one thing I have learned....it is wait until the first person moves in or at the very least until you see daily construction work. The Broderick Development has been being talked about for a Loooooooooong time now. Besides look around NOTHING is selling anywhere right now I cant imagine much demand for 30+ floors of apartments right now.
Post Number: 1049
|Posted on Thursday, December 20, 2007 - 1:29 am: || |
Right. This thing has been scheduled to happen for the next fall, spring, summer and winter it seems like the last decade.
Post Number: 63
|Posted on Thursday, December 20, 2007 - 8:30 am: || |
This really isn't an update.
Post Number: 397
|Posted on Thursday, December 20, 2007 - 10:03 am: || |
Here we go again with the Higgins apologist. To quote:
Post Number: 441
Posted on Thursday, December 20, 2007 - 1:00 am:
Just wait until Spring. Good things will come."
Now it's spring? Let's see:
Post Number: 389
Posted on Wednesday, September 12, 2007 - 1:23 am:
Gistok, you need to think more logical. Parking is not a problem for Broderick Tower. For those who want details on Broderick Tower, please stay tuned. Renovation has been in the works for about 1-2 years and is in the works."
Post Number: 94
Posted From: 22.214.171.124
Posted on Monday, July 24, 2006 - 1:18 pm:
The article reiterates what has already been known about the buildings and announces the progress that has gone into getting the Broderick project started. This is good news even though the closing was supposed to happen in September. Only about 1 month behind schedule at this point.
With regards to blight in general, it is difficult to keep buildings up when money is not being generated to do this. Also, it is difficult to keep buildings up when people trespass and do not respect other people’s property. What are other building owners doing to maintain their property?"
Post Number: 35
Posted From: 126.96.36.199
Posted on Tuesday, February 07, 2006 - 3:12 pm:
Stay tuned to www.brodericktower.com for information about leasing etc. in the future. The project is still in it's early stages.
JCBeal announced that the project will probably start toward the end of 2006 which is correct."
So far the only progress has been in the incessant excuses for a slumlord who has done not one jot of work on this rotting building. Meanwhile, more windows are opening, more graffiti is appearing and the weather continues to invade the building, damaging it further.
Are you Higgins? If so, sell the building to someone who has the means to fix it. If not, why on earth are you making excuses for someone whose career is dotted with real estate failures that only add to the city's blight?
Post Number: 65
|Posted on Thursday, December 20, 2007 - 10:33 am: || |
Nice post HP.
Post Number: 442
|Posted on Thursday, December 20, 2007 - 10:45 am: || |
Lots of progress has been made on softwork this year. Good things come to those who wait. Glad you are staying engaged.
Post Number: 66
|Posted on Thursday, December 20, 2007 - 10:51 am: || |
It's only been abandoned for about 20 years. What's another 10? I can't wait!
Post Number: 11085
|Posted on Thursday, December 20, 2007 - 10:53 am: || |
Rjlj - I appreciate the input and have a question.
If they are sinking a lot of money into the enginneering/architecture and other soft costs why don't they put up a few dollars to secure the building better?
Post Number: 3857
|Posted on Thursday, December 20, 2007 - 11:06 am: || |
Lots of progress has been made on softwork this year. Good things come to those who wait. Glad you are staying engaged.
Like coming to the realization that the project is nearly twice the cost estimate they have been throwing around in public?
Post Number: 1461
|Posted on Thursday, December 20, 2007 - 11:17 am: || |
Skulker, in your opinion whose interpretation of the Broderick Tower situation is closer to the project's current reality? Is it Hockey Player's version of postponement, postponement, postponement or Rjlj's that progress is just around the corner? Judging by your last comment I'm guessing you're more in line with Hockey Player but I don't want to put words in your keyboard.
Post Number: 398
|Posted on Thursday, December 20, 2007 - 11:20 am: || |
It's not a matter of opinion - it's a matter of standing on Woodward and looking at this abandoned building and comparing that to the steady stream of announcements over the years saying that renovations are "just around the corner."
The reality on the ground does not correlate with the fantasies being issued to the public.
Post Number: 1462
|Posted on Thursday, December 20, 2007 - 11:34 am: || |
I agree. I'm just trying to pick a brain. The track record of this project and the building's owner speak for themselves and they don't speak well. I had a some hope when JCBeal came into the project. That hope seems misplaced now.
Post Number: 982
|Posted on Thursday, December 20, 2007 - 12:52 pm: || |
quote: Project cost estimates for this project have been in the $40-45 million range. The building is about 180K sq. ft. That's well over $200 per sq. ft. What's wrong with that number? Skulker, are you saying that a Broderick renovation will require over $400 sq. ft.? Isn't the Book Cadillac project being done for around $250 sq. ft.? Given the market right now, it's certainly unclear as to whether the Broderick is a feasible project. But, what is wrong with the development team's cost numbers?
Like coming to the realization that the project is nearly twice the cost estimate they have been throwing around in public?
Post Number: 443
|Posted on Thursday, December 20, 2007 - 1:12 pm: || |
As was posted before. Please stay tuned.
"The Broderick Tower Project was converted from an apartment project to a for sale Condo project earlier this year in reaction to the market inquiries we had been receiving. This slowed our progress, but improved our product. The units are fantastic, and will range from smaller 1 bedroom units at about 200k to true penthouse units that will sell for 1.3 Million +. Some units will be bilevel, and all will have the best views in Detroit; in some combination of down into Comerica Park, up Woodward, the Riverfront and Belle Isle, or downtown. Parking will be provided in the Grand Circus Park Garage across the Street, and will be connected by an underground tunnel directly to the building.
As to progress; the construction drawings have been revised as necessary for the condo project, financing is in process, and marketing is organized. We expect to formally launch the sales process in early spring 2008. Construction will start later in 2008 with the first units available in early 2010.
MOTOWN CONSTRUCTION PARTNERS"
Post Number: 11088
|Posted on Thursday, December 20, 2007 - 1:16 pm: || |
Rj - How many units do they need to pre-sell before they can get financing?
Post Number: 3858
|Posted on Thursday, December 20, 2007 - 1:32 pm: || |
Their initial cost estimates were $22-$24 million.
A year later that had migrated up to the $45 million they are estimating now.
Hence my comment that the softwork is realizing how far off the mark they are.
Senior members of the tema that did the Kales took a serious look at the building and pegged the number closer to $55 to $60 million.
Look around town at successful rehabs. Far and away the one with the highest occupancy, quickest buildout and best unit design is the Kales. They schooled everyone on how to do it. I'm guessing their numbers are the closest on target.
Post Number: 11091
|Posted on Thursday, December 20, 2007 - 1:40 pm: || |
Skulker - Are the Kales people eyeing any other buildings downtown or are they actively involved in any other projects.
Post Number: 399
|Posted on Thursday, December 20, 2007 - 1:53 pm: || |
In case the dreamers here are unaware of who we are dealing with, here is a Free Press article detailing Higgins' failures with his properties ... in 1983. As you can see, little has changed. He was, and is, a slumlord who is an obstacle to Detroit's progress.
Boy wonder of Detroit real estate is aging fast as complaints abound
HELEN FOGEL and DOROTHY WEDDELL,
Free Press Staff Writers
January 23, 1983
Detroit's redheaded boy wonder, Michael Higgins, flashed onto the downtown real-estate scene a dozen years ago, sparking cheerful citywide gossip about his business savvy and his tender 21 years and hopeful speculation that he was the vanguard of a new economic boom.
His professed specialty -- buying up proud, prime old Detroit buildings and renovating them for living space for young artists, musicians and professionals -- looked then like the wave of future chic and a lively route to downtown rebirth. An optimistic city cheered Higgins on -- predicting -- half in pride, half in envy -- that he would be a millionaire by the time he was 30.
Now in the cold, gray light of a winter of depression, Higgins' ingenuous charm, boyish enthusiasm and good intentions have worn thin on many of his tenants, his creditors and even some city officials.
It's time, they say, for the boy wonder to grow up, take care of maintenance and security for his tenants and see to it that his taxes and other bills get paid.
Higgins, they claim, is underfinanced, overextended and stretched thin. Some even predict his tottering empire is about to fold -- a contention Higgins denies.
Now 34 , no longer such a boy and maybe not quite as wondrous either, Higgins holds fast to his dream of a Higgins-style urban renewal alive with stylish action -- people living, working, shopping and playing downtown.
THE PUBLIC RECORD shows that Higgins has some serious problems:
* Title to the Woodward Tower, at 10 Witherell, passed to the state of Michigan in May 1981 for non-payment of taxes, but Higgins hopes to reclaim it. Some tenants complain that heat, water, security and other basic services are uncertain at best. (On Saturday tenants went to their offices in the Woodward Tower and found water pouring down through the building, apparently from pipes that had broken and/or frozen from the lack of heat in the building.)
* The U.S. Department of Housing and Urban Development has threatened to foreclose on the Detroiter Residence, an apartment building for the elderly and nursing home at 2560 Woodward, which Higgins leases from an associate. Detroit Edison has threatened to turn off the heat for non-payment of bills.
* Because of alleged irregularities with patient money, state nursing home authorities have threatened to pull Higgins' license to operate the Detroiter.
* The once gracious Colony Apartments in the 9000 block of E. Jefferson, empty since October, are a windowless hulk, awaiting renovation by yet another entrepreneur. Higgins has been accused of neglecting the apartments.
* The Farwell Building, 1249 Griswold, the jewel of downtown Detroit's historic redevelopment, is also empty. Its future is uncertain. Higgins is hoping for HUD approval for subsidized housing for the elderly. But in the meantime it remains an unused property.
* Tenants at a former Higgins property at 14515 E. Vernor organized to save their electricity and other utilities after the building passed to the state for non-payment of taxes.
* Higgins has sold five or six of his other properties and says he manages or has an ownership interest in only 20 buildings.
AND THERE are Higgins' critics : some present and former tenants; businesses that have sued to collect debts; historic preservationists who contend that he has neglected landmark properties; government officials such as City Councilman David Eberhard, and several organizations representing tenants in Higgins' apartments and his residence for the elderly.
They're saying that he is close to financial collapse and that many of his problems are of his making -- the product of the very speed with which he and colleagues acquired property.
Kevin Fobbs, a spokesman for the United Tenants' Organization, called in last year to help elderly tenants in the disintegrating Colony apartments and those who had lost their heat at the Vernor location, described Higgins as "the worst landlord in the city -- without exception."
BUT WHAT Higgins feels is the unkindest cut of all is that some of his former fans -- the same Detroiters who touted and applauded his decade of growth -- now suggest that he may have been a detriment to urban redevelopment.
Citing properties such as the vacant Colony Apartments, such critics as Eberhard argue that Higgins took on the renovation of buildings without enough financing, resulting in further urban decay. One city preservation official, who asked not to be named, said this kind of management has set back the cause of historic preservation in the city.
As a Higgins acquaintance observed last week, "It does appear that Michael has fallen on perilous times."
His glamor and prominence -- the media stardom that he contends he never solicited -- are now part of his problem. "It would be just great to be anonymous," he said in an interview Thursday. "I really covet that.
"I ask you, how many people know who owns Alden Park Manor (an east side apartment complex)? How many know who owns the Buhl Building? How many people you know care? Everyone knows which buildings I own."
A merry clip
Higgins, who grew up comfortably in Grosse Pointe and attended Eastern Michigan University for three years, started his climb to real-estate magnate in 1970 with the purchase of a 13-unit apartment building on Chalmers financed by stock left him in his father's will. He sold it last year. During the next 10 years, the youthful entrepreneur, with a variety of limited partners, bought substantial old apartment buildings at a merry clip.
Putting little money down and signing land contracts, Higgins typically held renovation costs to the minimum and charged moderate rents. For administering the properties, Higgins Management Corp. took seven percent of rents.
Headlines heralded each new purchase -- from the Parkhurst, the Parkstone and the Kean apartment buildings to downtown buildings such as the Leland, at Bagley and Cass, and the Park City Club, the old Women's City Club at 2110 Park.
As his empire grew, so did the spiral of angry tenant complaints charging that Higgins failed to maintain buildings, permitted lax security and failed to live up to his promises to make repairs or provide service to tenants. And then came the lawsuits -- by tenants and by an elevator-repair firm, a plumbing contractor, a washing-machine repair company and others who claim their bills had not been paid.
AS HIGGINS talked Thursday about his problems, his broad, open countenance clouded with hurt. "Everybody you know hates the landlord," he said, and for Higgins , that is a problem he has not quite learned to live with.
Higgins is an open, candid man who wants to be liked and who apparently sometimes overextends himself in his effort to win people over.
Susan Rourke of Citizens for Better Care, a Woodward Tower tenant without heat all winter, described Higgins as likeable and well-intentioned, even as she produced a handful of written complaints about maintenance and safety in the building.
Others agree that, in the pursuit of approval, he sometimes makes promises he can't keep and undertakes jobs he simply can't pay for or finish.
Gerald Radke, buyer of the Colony apartments, described Higgins as being "stretched thin" and unable to get work done. He complained that a security guard hired to watch the buildings, vacant since October , hadn't prevented the theft of heavy security doors and plumbing and the shattering of windows. "I told him he should sue the security company," Radke said.
Putting house in order
Some of the problems Higgins faces now are very serious indeed, but Thursday -- leaning forward across the neat desk in his east side office, framed by Police Athletic League plaques recognizing his generous donations - - Higgins contended that he is getting caught up on his bills and getting his remaining houses in order.
By far, his most serious problems now are at the Woodward Tower and the Detroiter Residence
At Woodward Tower, the old David Broderick Tower overlooking Grand Circus Park, Higgins has been converting the heat from steam to gas space heaters. In the lengthy process, some tenants have been without heat during sub-freezing weather.
County tax records show that, because of a default on taxes, title to the building passed from Higgins to the state in May 1981. Under the law requiring the state to take title to any building confiscated for non-payment of local property taxes, Higgins still has several months left to reclaim the building. He said last week that he has made arrangements to get the taxes paid.
Although many tenants -- including such solid non-profit organizations as the Michigan Housing Coalition, Citizens for Better Care and the American Civil Liberties Union -- have moved from the building or are making plans to move, Higgins contends that the Woodward Tower will someday be a choice office location.
SOME TENANTS agree. Jon Strand, an artist with a studio in a sunlit three-room space on the 33d floor, said, "Without sounding Pollyannaish, I have to say I think he's been a positive force in downtown. I know the guy is full of good intentions. I love my space here -- I guess I'm what you'd call a bohemian."
Strand and others cite Higgins' willingness to stay and promote downtown when other, hardier businesses have left.
Dale Otto, owner of Crispy Corn, a candy company in the building for 30 years, says that recent negative newspaper reports about Higgins and particularly about Woodward Towers have been bad for business downtown and that Woodward Tower has improved since Higgins bought it. "This building has been going downhill for years," he said. "Michael doesn't have a ton of money to put into it, but he's doing a better job than the previous owners."
Higgins' biggest headache, the venerable Detroiter Residence for the elderly and nursing home, technically belongs to William Turnbull, a Higgins associate. But Higgins acknowledged that his friend bought the property because Higgins would lease and operate the home.
In August, a state licensing official charged that $168,000 belonging to elderly residents and patients had been mixed into nursing home money -- to meet the payroll -- and that as much as $150,000 appeared to be missing. Under state regulation, nursing homes must keep such patient money in separate, bonded accounts to prevent the money from being used for nursing home business.
The state served notice that it intended to deny Higgins a license to operate the Detroiter as a residence for the elderly. That case is still pending.
In addition, earlier inspectors found building, dietary and sanitary violations that had to be eliminated before the home was licensed.
SINCE THEN, Higgins said, he has hired a new administrator and spent almost $100,000 to bring the building up to state code. He also said the problem with patients' money will be resolved soon.
Although the charge is a serious one that could result in the loss of the nursing home license, a spokesman for Citizens for Better Care, the patient-advocate organization, described Higgins' patient-account problems as relatively common in shoestring nursing home operations and said Higgins' hiring of a competent new staff shows that he intends to solve the Detroiter Residence's problems.
HIGGINS CONTENDS that the unfairest charges were those aired by Eberhard after a recent City Council session -- that he has neglected the dignified old Colony Apartments on E. Jefferson until they have become a doorless , windowless hulk, an eyesore and danger to neighbors.
Over several years, Higgins said, he has been negotiating sales of the three-building cluster to first one then another developer for subsidized housing for the elderly.
Because he was selling the building, and because his tenants would have to leave, he stopped making repairs, Higgins said. But his first buyer was unable to finance the purchase , and government red tape stalled the second deal, he said.
Radke, who has since purchased the Colony for developers Jay- Ryan Inc., confirmed that the project has now been approved. He said his company , which specializes in renovating old apartments for subsidized housing, expects the $3.4 million renovation to be completed within the next 14 months.
Not all Higgins' properties are depressed.
The Leland is beginning to look like a success, and the Park City Club continues to be a lively night spot. Within the next two weeks, Higgins' newest project, the City Club Cafe, a lunch and after-theater spot, will open at 2110 Park.
It was an uncharacteristically morose Higgins who conceded Thursday that he feels a little sorry for himself. He has struggled, he said, to keep rents moderate so that people could afford to live happily, if modestly, in his substantial old buildings.
"I sometimes think they expect too much," he complained, wincing at the suggestion that some people might view him as an upscale slumlord. "I don't take anything out of these buildings for myself," he said bitterly. "I live in downtown Detroit myself because I love downtown."
Most apartment dwellers, he argued, don't realize how much it costs to heat and light their homes. "Sometimes, I feel like I am the victim and my tenants are the oppressors. Some days," Higgins said sadly, "it would be nice to just be invisible."
THE HIGGINS EMPIRE -- PAST AND PRESENT
Properties owned or managed by Michael Higgins and their current status:
Apartments and restaurant, 8650 Agnes and 9235 Agnes, sold.
The Leland , 400 Bagley, owned and managed by Higgins and partners.
Apartments, 1135 Chalmers, sold.
Apartments, 1330 Crane, owned and managed.
Apartments, 9360 Genessee, sold.
Apartments, 340 and 885 E. Grand Blvd., sold.
The Farwell Building, 1249 Griswold, owned but empty.
Apartments, 1152 Holcomb, managed only.
The Hibbard, 8905 E. Jefferson, owned and managed.
The Kean, 8925 E. Jefferson, owned and managed.
Office Building, 9149 E. Jefferson, owned and managed.
The Colony Apartments, 9303-9373 E. Jefferson, sold.
The Chateau Frontenac, 10410 E. Jefferson, sold
Jefferson Manor, 10525 E. Jefferson, managed.
The Park Avenue City Club, 2110 Park, owned and managed.
The Parkhurst, 1130 Parker, and the Parkstone, 1415 Parker, owned and managed.
Van Dyke Manor, 1000 Van Dyke, owned by Higgins and partners, managed by others.
Apartments, 14515 E. Vernor, in state control pending tax sale.
The Woodward Tower, 10 Witherell, title passed to state for unpaid taxes.
The Madison Theater Building, 22 Witherell, leased by Higgins and partners by Higgins. HUD threatening foreclosure.
Post Number: 222
|Posted on Thursday, December 20, 2007 - 2:35 pm: || |
interesting article. Thanks HP
Post Number: 45
|Posted on Thursday, December 20, 2007 - 5:38 pm: || |
Post Number: 1888
|Posted on Thursday, December 20, 2007 - 8:22 pm: || |
My question is, can a feasible project be done in the 45-55 million range? How many units are there now? What's the cost and size per unit?
Post Number: 806
|Posted on Thursday, December 20, 2007 - 9:50 pm: || |
^ see V
The developers hope so....
45 Mill should be easily done if they do it right.
Personally, I don't see too many people paying 200K for a 1 bedroom unit, unless its on the top floors, even then. Taxes would be about 8K a year. So in theory cost would be P&I $1,265 (o down) Taxes $660.00 HO dues(guess) $250.00 + other $100. so $2,275 total house payment, for a 1 or two bedroom. I don't if there are enough people to support that now, 2010 will be better for sure. The Book sucked some of the condo wind out of the other projects around. I hope it succeeds.
I'm am sure though that there will be a lot of people WANTING to get in there. I would love a high unit facing Comerica Park where I could check out ballgames.
Post Number: 2254
|Posted on Thursday, December 20, 2007 - 9:55 pm: || |
Taxes almost certainly won't be $8,000 per year. This will almost certainly be an NEZ project, resulting in taxes much, much lower than that.
Post Number: 171
|Posted on Thursday, December 20, 2007 - 10:07 pm: || |
The NEZ deals remind me a little of the subprime mortgages. Get into something more than you can really afford and worry about the increase later. 12 years goes by awfully fast when you buy a new home. I guess if you paid an accelerated mortgage payment and then lowered it when your taxes go up you would be okay, but not everybody uses common sense, as we know.
Post Number: 811
|Posted on Thursday, December 20, 2007 - 10:44 pm: || |
So Detroit is a Sub Prime Tax Levyer. Interesting thought.
Post Number: 654
|Posted on Thursday, December 20, 2007 - 11:39 pm: || |
All I've heard on this board about Higgins are bad things. With no first hand knowledge, Ill ask you guys/girls. Does Higgins have any successful projects/properties or anything other than blemishes on his record?
Post Number: 5973
|Posted on Friday, December 21, 2007 - 6:13 pm: || |
Hey Hockey_player, thanks for the "inform"ative post!
I had no clue that he owned so many buildings that long ago. We knew that Chuck Forbes also purchased a lot of buildings... but Chuck had better acumen for maintaining or mothballing.
Post Number: 193
|Posted on Thursday, December 27, 2007 - 3:51 pm: || |
The 1983 article says he started buying up properties a dozen years before. So in 35 years he went fron Boy Wonder to never was/has been/biggest, most hated slumlord in Detroit. What a waste.