20151005-NEWS--0019-NAT-CCI-CD_--
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C R A I N ’ S D E T R O I T B U S I N E S S // O C T O B E R 5 , 2 0 1 5
BRIDGES
NATALIE BRODA
The Paradise Valley neighborhood, on Randolph Street beside the Detroit Seafood Market LLC (left) and facing the Harmonie Club. La Casa de La Habana Cigars and Lounge and the Harmonie Park Parking lot sit in the distance (left).
PARADISE FROM PAGE 1
field Township-based Princeton En terprises LLC, which redeveloped the former Milner Hotel into the 61-unit The Ashley apartments on Centre Street in the neighborhood. But some of those uses “would have to be subsidized through a deep-pocketed owner or foundation,” said Eric Larson, founder and president of Bloomfield Hills-based Larson Realty Group LLC and CEO of the Downtown Detroit Partnership. He says the uses that would be easiest to finance are a mix of retail and residential, plus some small-office users. Lester already has plans to submit a proposal to buy all seven properties but would only say of his plans that his company is “trying to create a vision that enhances the entire neighborhood, works with existing neighbors and stakeholders to retain its current charm and historical value and can become a worthwhile real estate venture in today’s highly competitive market.” Competitive, indeed. And interest has been steady, since well before the RFP — responses to which are due Nov. 11 — was issued last week. “I was in the job about two weeks,” said Rodrick Miller, the CEO of the Detroit Economic Growth Corp.,
NATALIE BRODA
The Harmonie Club Building at 311 E. Grand River Ave. is one of seven Paradise Valley Cultural and Entertainment District properties for which the Detroit Downtown Development Authority is seeking a redeveloper. which staffs the DDA and other economic development agencies in the city, of the first time he received a call about redevelopment in Paradise Valley. Larson said Paradise Valley is not without its drawbacks, including a somewhat “disconnected” feeling caused by the design of Gratiot Avenue. But still, the area will “quickly fill in,” given the development in the area, including the arena district a few blocks to the northwest and the proximity of other key destination assets like Comerica Park, Ford Field and the Detroit Athletic Club.
Paradise Valley’s boundaries generally follow those of Beatrice Buck Park : Centre and Randolph streets and Grand River Avenue. In addition to its thriving jazz scene, the 66-square-block former Paradise Valley neighborhood — which was roughly bounded by Adams, Brush, Alexandrine and Hastings streets — was known as a mecca of African-American business ownership and had businesses ranging from drugstores to beauty salons, bowling alleys to theaters, nightclubs to miniature golf courses. 䡲 Kirk Pinho: (313) 446-0412 Twitter: @kirkpinhoCDB
ve yA gle Ba KAREN FREESE
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bridge span alongside Ambassador for over a decade, was dismissed FROM PAGE 3 earlier but is under review at the money to delay the public bridge appeals court in Washington. process,” he said. “But if you took The bridge company claims the amount of money he’s spent the Coast Guard’s permit actions (in court) and compare it with the have served as a delay tactic, amount the bridge makes, then while Michigan and Canada preprobably every year he can delay pare to open the public Howe things it’s still a profitable venture.” bridge about two miles away by The Ambassador Bridge is 2020. Mickey Blashfield, director widely believed to have generated of government relations for the around $60 million in annual rev- bridge company, declined to enue in recent years. The DIBC comment on any of the litigation has said a government bridge last week. could siphon as much as 70 perOnly one claim, that the State cent of its traffic, although a traffic Department entered an internastudy from public bridge support- tional crossing agreement without ers estimates it would take 31.1 congressional action and that percent of Ambassador’s commer- Michigan entered it without legcial truck traffic and 12 percent of islative action, is going forward. auto traffic by 2035. Robert Sedler, a professor of The bridge has historically ac- constitutional law at Wayne State University Law School and counted for more than part of the Moroun bridge one-quarter of all comcompany’s legal team in mercial traffic between the Washington court the U.S. and Canada. Mocase, crafted the legal arroun, a trucking industrigument for that surviving alist who bought the Amcourt claim. He said last bassador in 1979, has week that Gov. Rick Snybeen in litigation through der essentially lacked authe bridge company for thority to unilaterally years over both the public Robert Sedler: enter a bridge crossing span project and his own Guided bridge deal with Canada. proposed private second company’s legal That argument could span to be built alongside argument. get some traction, some the Ambassador. But even as that litigation winds observers said. “None of the argudown, Wayne County Circuit Court ments that got dismissed (by Collymay be about to hear dozens of er) made any sense. The one that eminent domain suits from state didn’t get dismissed makes some Transportation officials against sense, but it’s not a showstopper,” property owners in Detroit’s in- Ackerman said of the Sedler argudustrial Delray neighborhood, ment. “It’s probably a stretch to where the Gordie Howe bridge is think he (Moroun) will win it, but it expected to land. comes close.” Chief Circuit Judge Robert The Coast Guard has rejected Colombo issued a “docket directive” the bridge company’s permit aplast month, ordering any lawsuits plication in part because Moroun MDOT expects to file condemning had not yet obtained all the land property for bridge purposes to be on either side of the river necesinitially assigned to him. sary to build the second span — a The cases will then be randomly feat that Moroun’s attorneys conreassigned to various civil court tend isn’t required for permit purjudges after Colombo handles pre- poses. liminary matters, like transfer of Mullins said governments can title and challenges to the necessi- be limited by their contract agreety of taking land — a protocol that ments, like the kind that a predesuggests the court expects a fairly cessor company to Moroun’s first large MDOT case volume shortly. reached to authorize a toll bridge “There was a time we were told crossing over 80 years ago. But it the bridge authority didn’t want to was unrealistic of Moroun’s legal file in court and could work this team to expect its own agreement out on their own,” said Alan Acker- was enough to constrain both govman, managing partner of Bloom- ernments from developing anothfield Hills-based Ackerman, Acker - er bridge. man & Dynkowski PC and attorney He also said the Coast Guard is for more than 15 property owners likely to prevail on the permit disnear the proposed crossing site. pute as well. “But I don’t think they have in“It’s an argument, and he (Moterest in doing anything else but roun) is welcome to make it,” he going to court, at this point.” said. Collyer dismissed seven out of McLellan contends the Michinine counts in a 2010 Detroit In- gan constitution, in Article 3, ternational Bridge lawsuit against specifically authorizes the state to the U.S. State Department , U.S. “enter into agreements…(to carry Coast Guard , Federal Highway Ad - out) their respective functions” ministration , the government of with the government of Canada, a Canada and several federal cabi- power the state has invoked on net members and department several other occasions as well as heads, in a ruling that said the in the bridge deal last year. bridge company was overstating But Sedler counters that proviits claims under a 1921 franchise sion is “subject to provisions of agreement authorizing the bridge. general law,” or statutes enacted An eighth claim, stemming from by the Legislature. 䡲 Chad Halcom: (313) 446-6796 allegations the Coast Guard held Twitter: @chadhalcom up a requested permit for a second