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Negotiations Move Forward On Dan Gilbert's Proposed Detroit MLS Stadium

Negotiations Move Forward On Dan Gilbert's Proposed Detroit MLS Stadium

A deal between Dan Gilbert's Rock Ventures and Wayne County that would result in the construction of a Major League Soccer stadium in downtown Detroit and a new municipal criminal justice complex is a step closer to reality.

Fail Jail

The downtown site of Wayne County’s “fail jail," where the construction of a new county lockup halted in 2013 and the property has sat dormant ever since, is where Gilbert proposes to build an MLS stadium with Detroit Pistons owner Tom Gores that would be part of an overall $1 billion development.

In return, Gilbert would build a new Wayne County criminal justice complex about 2 miles to the north. The proposed cost of the complex would be $520.3 million, with the county paying $380 million plus the cost of land acquisition.

The county is moving forward with Gilbert’s proposal, Wayne County Executive Warren Evans said Monday, according to the Detroit Free Press.

“While both proposals remain options, I’ve directed my team to dedicate their time and resources toward attempting to reach a contract with Rock Ventures,” Evans said, according to the newspaper, adding that the concept “has more upside, less risk and a smaller financial gap than Walsh Construction’s proposal.”

Issues Still Need To Be Resolved

The proposed deal with Rock Ventures has “many issues to resolve” before it’s signed, Evans said. Gilbert’s proposal sets March 6, 2018 as the start date for construction, with a wrap date of Nov. 5, 2020, according to the Free Press.

Contractor Walsh Construction has offered two bids to Wayne County for completing the downtown jail: A 1,608-bed jail for $269 million or a 2,200-bed jail for $317.6 million.

Related Links:

Detroit Pistons, Flagstar Bank Sign Jersey Sponsorship Deal

CBRE: Downtown Detroit Will See $5.4 Billion Investment Between Now And 2020

Posted-In: Dan Gilbert Detroit MLS Rock Ventures Wayne CountyNews Legal Real Estate Best of Benzinga


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