  Tetsua Member Username: Tetsua Post Number: 565 Registered: 01-2004 Posted From: 69.246.26.190 |
Got this info off of urbanplanet.org. For Release: April 3, 2006 Media Contact: Sylvia Crawford, 313-224-1398 Jamaine Dickens, 313-224-1066 DETROIT CLEARS WAY FOR DEVELOPMENT, JOB CREATION WITH $40 MILLION HUD LOAN GUARANTEE DETROIT-Today, Mayor Kwame M. Kilpatrick and U.S. Congresswoman Carolyn Cheeks-Kilpatrick announced that the U.S. Department of Housing and Urban Development (HUD) has approved the City of Detroit's application to transform a small portion of Community Development Block Grant (CDBG) funds into federally guaranteed loans, clearing the way to redevelop two vacant downtown hotels into thriving, multi-faceted businesses that will provide jobs for Detroit residents. HUD granted Detroit two Section 108 loan guarantees in the amounts of $18 million and $18.7 million respectively to redevelop the 33-floor historic Book Cadillac Hotel and the 22-story historic Fort Shelby Hotel into mixed-use developments that will create a combined total of nearly 900 jobs for Detroiters. "I am pleased to learn that HUD has approved our application to utilize current and future CDBG allocations to these redevelopment projects," said Mayor Kilpatrick. "Not only are they instrumental to continuing the revitalization of our downtown, but also to our efforts to improve the local economy through the creation of jobs for Detroit residents." "This is a direct result of the confidence that HUD has in Mayor Kilpatrick and in the efforts of business and community leaders to revitalize Detroit," said Congresswoman Kilpatrick. "Despite the economic struggles that are affecting cities throughout the country, Detroit is continuing to build relationships and secure support from developers and agencies such as HUD. This ensures that we can continue to pursue our goals to improve our city and quality of life for its residents." The Ferchill Group, developer for the Book-Cadillac, plans to redevelop the site into a four star Westin Hotel with approximately 455 hotel rooms, 67 market rate condominium housing units, a 31,000 square foot conference center, 119,000 square foot retail and restaurant space, fitness facility and a 550 space parking garage. The project is expected to create as many as 450 full-time jobs. According to MCP, LLC, developer for the Fort Shelby, the existing structure will be redeveloped into a 204-room Doubletree Guest Suites Hotel, 38,000 square foot conference center, 1,200 square foot retail space and 63 residential units. This project is expected to create 374 full-time jobs. Editor's Note: Section 108 funds will be used solely to assist with the hotel component of the projects. | ||
Cellus Member Username: Cellus Post Number: 12 Registered: 02-2006 Posted From: 68.41.245.94 |
that's great to hear!! | ||
Rijobo Member Username: Rijobo Post Number: 13 Registered: 11-2003 Posted From: 67.38.11.40 |
Belated_ April Fools | ||
Tetsua Member Username: Tetsua Post Number: 566 Registered: 01-2004 Posted From: 69.246.26.190 |
When I see people actually working in both of the structures, then I'll be relieved. | ||
Irish_mafia Member Username: Irish_mafia Post Number: 459 Registered: 10-2003 Posted From: 70.228.56.253 |
"This is a direct result of the confidence that HUD has in Mayor Kilpatrick and in the efforts of business and community leaders to revitalize Detroit," said Congresswoman Kilpatrick. ______________________________ _________________ Mom, cut it out! | ||
Mackinaw Member Username: Mackinaw Post Number: 1334 Registered: 02-2005 Posted From: 141.213.173.94 |
900 jobs...two reputable hotel chains in two of downtown's greatest structures...great news. | ||
Lmichigan Member Username: Lmichigan Post Number: 3472 Registered: 10-2003 Posted From: 67.172.95.197 |
Good news. People forget, often, how hard people are working behind the scenes to make these projects work. Every last penny counts, and its good to see creative solutions being found for creative problems and obstacles. | ||
Gistok Member Username: Gistok Post Number: 1948 Registered: 08-2004 Posted From: 4.229.6.197 |
Great news indeed! Wow, 119,000 Sq. ft. of retail/restaurant space in the BC.... that is a lot of space! | ||
Goat Member Username: Goat Post Number: 8319 Registered: 10-2003 Posted From: 67.71.58.27 |
If this does in fact become reality I would like to thank a certain someone who used to come on here. His continous work on this project is what has driven this whole thing so far. If it doesn't happen it was a valiant effort and his work should still be applauded. | ||
Lmichigan Member Username: Lmichigan Post Number: 3473 Registered: 10-2003 Posted From: 67.172.95.197 |
That's got to be a typo, or must include the parking garage and fitness center, as well. I can't imagine that much retail space being added to the B.C., but it's certainly possible. The building is something like 715,000 square feet. | ||
Hardhat Member Username: Hardhat Post Number: 116 Registered: 10-2003 Posted From: 69.208.119.218 |
If Goat is referring to Skulker (or not), where'd he go? I don't think he's been around since everybody accused him of hating buildings. | ||
Mike Member Username: Mike Post Number: 587 Registered: 11-2003 Posted From: 66.227.165.194 |
With this conference space along with the new casino conference space... maybe Detroit could start marketing itself to get some conventions and such. I would not mind having some of that business that places like Nashville always have. | ||
Dialh4hipster Member Username: Dialh4hipster Post Number: 1536 Registered: 11-2004 Posted From: 68.61.187.234 |
Mike, I think that's the idea. It'd be nice, huh? As for Skulker, going from what I've heard, I would say he's incredibly busy. | ||
Waynestudent82 Member Username: Waynestudent82 Post Number: 4 Registered: 03-2006 Posted From: 68.40.126.181 |
So how long until they begin renovations????? | ||
Lmichigan Member Username: Lmichigan Post Number: 3476 Registered: 10-2003 Posted From: 67.172.95.197 |
When they know that, they will announce it. I'd much rather them wait until they have all of the parties able to renovate the building locked in before giving another premature press release. | ||
Nellonfury Member Username: Nellonfury Post Number: 129 Registered: 03-2005 Posted From: 68.43.156.135 |
About time!!!! I don't want to hear about delays or April Fools. Let.s get this over with and make this "Next Detroit" happen! | ||
Chitaku Member Username: Chitaku Post Number: 84 Registered: 03-2006 Posted From: 68.43.107.72 |
So who's going to stay in these rooms? | ||
Eric Member Username: Eric Post Number: 398 Registered: 11-2004 Posted From: 35.11.210.161 |
What do you mean who's going to stay in them? (Message edited by eric on April 04, 2006) | ||
Dialh4hipster Member Username: Dialh4hipster Post Number: 1538 Registered: 11-2004 Posted From: 68.61.187.234 |
Eric, don't bother. | ||
Bobj Member Username: Bobj Post Number: 646 Registered: 11-2003 Posted From: 68.40.89.238 |
People will stay in the rooms?? Great news, but I am reserving joy until construction starts | ||
Kathleen Member Username: Kathleen Post Number: 1257 Registered: 10-2003 Posted From: 69.14.122.57 |
From this morning's Freep... "Two downtown Detroit redevelopment projects got a boost Monday as the U.S. Department of Housing and Urban Development approved a total of $36.7 million in federally guaranteed loans. HUD granted Detroit two Section 108 loan guarantees in the amounts of $18 million and $18.7 million, respectively, to redevelop the 33-floor historic Book Cadillac Hotel and the 22-story Ft. Shelby Hotel. Both structures, long vacant, are slated for reopening as mixed-use developments that will offer hotel rooms, condominiums, stores and other uses. ..." http://www.freep.com/apps/pbcs .dll/article?AID=/20060404/BUS INESS04/604040595/1017/BUSINES S | ||
Allman7 Member Username: Allman7 Post Number: 13 Registered: 02-2004 Posted From: 139.76.128.72 |
Guys, I live in Birmingham Alabama and I would drive to Detroit to stay there. I've been to the D many times and drooled over the prospect of staying in that lovely lady once she's restored to her former glory. I know I may be of the fanatic few but I for one will be an out of towner coming to stay there for at least a weekend and catch a few Tigers games. This is great news. | ||
Hagglerock Member Username: Hagglerock Post Number: 214 Registered: 03-2005 Posted From: 12.219.76.215 |
Briminhgam eh? Your not the only out of towner. I'm not too far out of Mobile and my wife and I are driving up to the D for all of next week. Gonna take her family(who is from the Detroit area) to the new Slows BBQ and see how it compares with real southern bbq .  I really hope this falls though (esp. the Book Cadillac) for those of you who have ever stayed in a Westin, the experience is amazing. The beds alone make the stay worth while. | ||
Chris_rohn Member Username: Chris_rohn Post Number: 214 Registered: 04-2005 Posted From: 68.248.43.204 |
priceline gave me a Westin to stay in once. it was the best $80 hotel stay i ever had! | ||
Rasputin Member Username: Rasputin Post Number: 3572 Registered: 10-2003 Posted From: 152.163.100.8 |
Operative sentence (and words in BOLD) of the article. Go figure ..... invoking Skipper's Rule. Black-atcha ..... still roflmao and saying "TEAR THAT SCHITT DOWN"; it's a waste of money | ||
E_hemingway Member Username: E_hemingway Post Number: 542 Registered: 11-2004 Posted From: 68.42.176.123 |
Here's the story in The Detroit News Rasputin took that from. www.detnews.com/apps/pbcs.dll/ article?AID=/20060404/BIZ/6040 40419/1001 | ||
Fnemecek Member Username: Fnemecek Post Number: 1542 Registered: 12-2004 Posted From: 70.227.217.189 |
Great news. Big time kudos to everyone who was involved. To respond to two comments:
People with money, just like every other hotel. Oh and Ras - you've been proven wrong so many times that it's not even funny. You're quite possibly the only man on the planet who is even more out of the loop than George W. Bush. Why don't you go find someone else's bowl of Cherrios to piss in? | ||
Rasputin Member Username: Rasputin Post Number: 3574 Registered: 10-2003 Posted From: 152.163.100.8 |
BrokenNeck: You actually wish that I have "been proven wrong so many times that it's not even funny." Damn, you're funny, because you can only lie so much!! Your strawman bullschitt and propaganda doesn't work this time ..... it's all on paper, dumb-ass!! btw: I prefer pissing in YOUR Cherrios, specifically. I don't want you to go into "yellow snow" withdrawal shock!! Other stuff apparently makes your cereal taste bad to you and brings on more of your acne! Oh, and I did secure a spot in a reading class for you too ..... please use it! Black-atcha ..... having an "ad-hominem" morning | ||
_sj_ Member Username: _sj_ Post Number: 1290 Registered: 12-2003 Posted From: 69.220.230.150 |
You may have been proven wrong before, but you are exactly right this time. This is just a grant and it does not really make either project closer to realization. (Message edited by _sj_ on April 04, 2006) | ||
Supersport Member Username: Supersport Post Number: 9972 Registered: 10-2003 Posted From: 64.118.137.226 |
Ras, Where are the gifs? Show some love man! | ||
Rasputin Member Username: Rasputin Post Number: 3579 Registered: 10-2003 Posted From: 152.163.100.8 |
You mean like this, Sport?  Black-atcha .....  | ||
Supersport Member Username: Supersport Post Number: 9973 Registered: 10-2003 Posted From: 64.118.137.226 |
Exactly like that. Nice to see you've garnered up some new ones. Now if you could come up with something silly about white folks I'd have a smile ear to ear. | ||
Hornwrecker Member Username: Hornwrecker Post Number: 1007 Registered: 04-2005 Posted From: 216.203.223.74 |
 | ||
Lmichigan Member Username: Lmichigan Post Number: 3483 Registered: 10-2003 Posted From: 67.172.95.197 |
I found this on the RSC & Asssociates website (they are doing the renovation): http://www.rscrealestate.com/m ixedUse_fort.html What the page says: The Fort Shelby Hotel is a 22-story residential and commercial historic redevelopment in downtown Detroit. The hotel was originally constructed in two phases: the original 10-story building was built in 1916, and the 22-story addition in 1927. The redevelopment will modernize the original structure while retaining its historic quality. The residential portion of the project includes approximately 97,500 gross square feet of building area, approximately 80,400 square feet of which will be rental space. There will be 62 one to three bedroom apartments on floors 11 through 21 and one 2,272 square foot penthouse on the 22nd floor with a private terrace. The hotel portion of the project, to be managed by Doubletree Guest Suites with a suite concept by Hilton Hotels, includes approximately 243,200 gross square feet with 204 guestrooms, plus 2,347 square feet of new space for back of house uses. Redevelopment is set to begin in Spring 2006 The website is also new as of 2006. | ||
River_rat Member Username: River_rat Post Number: 93 Registered: 02-2006 Posted From: 71.126.176.158 |
Spring 2006 is here and we don't see any construction starting. Renovations of these structures will take a lot more than $40 million. When the work starts, I'll believe it. the river rat the doubter. | ||
Lmichigan Member Username: Lmichigan Post Number: 3485 Registered: 10-2003 Posted From: 67.172.95.197 |
Spring 2006 has just arrived, but I do agree with you. As I've said all along, for me, it is enough that we have people steadily working towards getting these dinosaurs renovated, at all, be the construction start in Spring of 2006 or 2010. Renovation talks are much different than they used to be back in the 90's where projects would be announced, and we never heard about them, again. At least, now we see that there are people in the public sector, in particular (something you'd have never saw before), working behind the scenes to continue to shore up funds to make these redevelopment projects more attractive to the private sector developers/investors. It's all right to be skeptical. In fact, it is smart to be skeptical. I'd just hate to see it turn into chronic pessimism, which can really kill momentum. If the general public (or at least those interested in downtown development) doesn't believe in the possibility or likehood of a project, it just makes it that much tougher for city government to believe in it. When you have the public believing in something, it puts more pressure on the public and private to make these things work. (Message edited by lmichigan on April 04, 2006) | ||
Danny Member Username: Danny Post Number: 3916 Registered: 02-2004 Posted From: 141.217.174.235 |
I don't see NO Contruction crew over the Book Cadillac Building Yet! | ||
Sabio007 Member Username: Sabio007 Post Number: 4 Registered: 01-2006 Posted From: 216.106.93.62 |
Chill out man. The loans were just approved. No company in the world works that fast. Get a grip man. | ||
Rustic Member Username: Rustic Post Number: 2290 Registered: 10-2003 Posted From: 130.132.177.245 |
Re the BC: these loans were apparently not the cause of the most recent reported delay in Jan 06 (or click here for the DY thread discussing it). The most recent delay was due to the CC deciding to not risk what had been anticipated to be a primary source of funding (EZ bonds) by subordinating them to these HUD loans (as they would have to be). This forced the developers to find a different source of funding which would be willing to be subordinated to this HUD $$. There has been no report that this source of funding has been found. Til then THAT delay remains. (This HUD $$ I understand was pretty much a given.) Re subordination, note that the amount of $$ of the Hud BC loan is 18M$. Unfortunately, this likely represents much of (if not more than) the value of the property in it's current state (what did GM pay for the RenCen?!?, what are the Penobscot or Guardian buildings worth?!? Those should be worth many many many times what an empty shell of a pre-war hotel is worth), so, unless the developer brings additional assets to the table, any borrowed $$ subordinate to this loan (as it will have to be to get this HUD loan) is in a far riskier positon should a developer go belly up (at least early on in the redevelopment project). In a fair free capital market (unlike say with EZ bonds) riskier $$ is costlier $$ ... Ultimately IMO this is all noise in the general signal of this potential development project. There has been delay after delay after delay with a huge amount of tire kicking by at least two named developers (and likely many others). Rasputin's invocation of Skipper's rule is most appropriate. IMO this project will sit on the back burner as long as the city is willing to burn money on the project. The moment the city stops doing this the building will be Statlered as fast as you can say Madison-Lenox. The question is: will any developer (say Ferchill for now) do what it takes to take the plunge before the city either stops spending $ (or runs outta $ to spend)? ... if not ... Detroit has some tough decisons to make ... probably soon ... | ||
Merchantgander Member Username: Merchantgander Post Number: 1714 Registered: 01-2005 Posted From: 150.198.150.244 |
Wayne County to grant $1 million to Book Cadillac Hotel rehab effort http://www.crainsdetroit.com/c gi-bin/news.pl?newsId=8325 "Brian Holdwick, DEGC vice president for business development, said Wednesday that a closing on the agreement with Ferchill could come by the end of April." | ||
Easydoesit Member Username: Easydoesit Post Number: 21 Registered: 02-2006 Posted From: 69.246.122.172 |
"Brian Holdwick, DEGC vice president for business development, said Wednesday that a closing on the agreement with Ferchill could come by the end of April." Im proud to say that I'm best briends with his daughter (well, step daughter to be exact). Maybe I can get in on a little of the action and let you guys know something. | ||
Adamjab19 Member Username: Adamjab19 Post Number: 646 Registered: 11-2003 Posted From: 24.192.148.148 |
Easydoesit- Action with the duaghter or about the hotel? Just to make sure we are on the same page. | ||
Matt_the_deuce Member Username: Matt_the_deuce Post Number: 624 Registered: 10-2003 Posted From: 69.14.248.252 |
Easydoesit - Don't blow the deal. | ||
Dalangdon Member Username: Dalangdon Post Number: 8 Registered: 03-2006 Posted From: 66.54.213.11 |
In my experience (twenty years in the hotel biz, several of them with Westin and later Starwood, who bought Westin) if a company - particularly Starwood - signs onto the deal, they have every confidence that it's going to go through, and that they are going to make money. It will be both interesting and Ironic to see the Cadillac as a Starwood property. Ironic because (as I think I've mentioned before) Starwood also owns Sheraton, who ran the Cadillac for many years. Interesting because Starwood is a lean operation: They prefer that all of their food & beverage operations (except catering, which is the cash cow) be leased out to third parties. While you will never see the variety of bars and restaurants that the Cadillac originally had operating under Starwood or any other brand (people just don't go to hotels to dine anymore) it would be nice to see one of the original dining areas restored to serve as the restaurant. One thing you can be sure of: The lobbies and conference areas will be handsomely appointed and true to historical detail when feasible. While it's probably too much to ask for a restored Italian Garden, the Ballrooms will be authentic to the original design. And the place will be pricey. | ||
Irish_mafia Member Username: Irish_mafia Post Number: 463 Registered: 10-2003 Posted From: 70.237.10.39 |
Easydoesit - Don't Blow the Deal! Dalangdon - Great insights. Thanks! | ||
Easydoesit Member Username: Easydoesit Post Number: 22 Registered: 02-2006 Posted From: 69.246.122.172 |
just so i wont provoke any interferance, i think i should just keep my mouth shut, and whenever he talks about it to his wife (her mom) or when he's on the phone i can tune in... (im over their house alot and we often have "family-like" conversations). I'll keep my mouth shut unless you guys want me to get some action.. | ||
Apbest Member Username: Apbest Post Number: 4 Registered: 03-2006 Posted From: 68.42.220.61 |
BC gets another million from Wayne County http://www.crainsdetroit.com/c gi-bin/news.pl?newsId=8325 Wayne County to grant $1 million to Book Cadillac Hotel rehab effort By Robert Ankeny April 05, 2006 3:52 PM The Detroit Downtown Development Authority has worked out a deal with Wayne County for a $1 million grant to help rehabilitate the Book Cadillac Hotel. Wayne County has agreed to make the grant to reimburse the DDA for improvements made on Washington Boulevard, the street where the hotel is located. The DDA plans to add the money to the funding package for reviving the 80-year-old hotel, which has been closed since 1984. The DDA board Wednesday authorized its staff to execute a grant agreement with the county corporation counsel to be presented to the Wayne County Commission for final approval. Under the agreement, Wayne County will fund the grant after Nov. 1, 2006. Terms call for the DDA to show evidence that $1 million has been spent for Washington Boulevard improvements, have a development agreement in place, and have closed with the developer. Cleveland-based developer Ferchill Group plans a Westin-branded hotel and condominium development to be complete in 2008. It would include 450 hotel rooms and some 50 to 70 condominiums. Detroit Economic Growth Corp. President George Jackson Jr. told Crain’s last month that final details to move the $176 million project forward are almost in place. The DEGC staffs the DDA. “We’re pretty much done with the governmental side of things. Banks are basically working out the details. ... There’s 17 layers of financing,” he said. Brian Holdwick, DEGC vice president for business development, said Wednesday that a closing on the agreement with Ferchill could come by the end of April. | ||
Livedog2 Member Username: Livedog2 Post Number: 71 Registered: 03-2006 Posted From: 24.223.133.177 |
Hey Easydoesit, how's Bill? ^j^ Livedog2 | ||
Easydoesit Member Username: Easydoesit Post Number: 24 Registered: 02-2006 Posted From: 69.246.122.172 |
haha... i think u mean Brian... but he's good. Haven't spoken to him lately because I havent been over there since like wednesday so... yeah... but i might be over there sometime next week, depending on my work schedule. im goin overe there later on today, so is there any particular thing you all might want me to try and get a scoop on?.... because otherwise I'm gonna keep my mouth shut and my ears open... |
