Renaissance Center developer refines state funding request
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The Renaissance Center. Photo: Jeff Kowalsky/Bloomberg via Getty Images
Dan Gilbert's Bedrock firm plans to resume its Renaissance Center redevelopment pitch to the state Legislature in the coming months, Axios Detroit has learned.
Why it matters: If the state doesn't chip in toward its redevelopment, General Motors, the building's owner, could choose to completely demolish the RenCen.
- The sprawling complex has been a downtown landmark for decades but has grown increasingly obsolete and empty.
Catch up quick: In November, Bedrock and GM unveiled a $1.6 billion overhaul that includes up to $250 million in state funding.
- Legislation to advance the plan was on the table during lame duck, but it stalled.
The latest: Bedrock and GM executives involved in the deal are scheduled to discuss the RenCen redevelopment Thursday morning at the Detroit Policy Conference.
Between the lines: Jared Fleisher, vice president at Gilbert's Rock Family of Companies, tells Axios Detroit that Bedrock realizes the Legislature has other pressing issues to tackle out of the gate — including a roads funding plan and potential changes to minimum wage and paid sick leave laws.
State of play: When Bedrock re-engages with lawmakers, the focus will be on arguing to expand the Transformational Brownfield Program, a state program for assisting the redevelopment of obsolete sites, such as the RenCen, Fleisher says.
- It has provided tax incentives to major developments across the state, including Gilbert's Hudson's project on Woodward and the Ilitch family's District Detroit.
Yes, but: The program's available funding is running out. Lawmakers would have to approve the program's expansion for it to support the RenCen redevelopment and other projects, the Detroit News reported.
Meanwhile, state economic development officials say they haven't yet received detailed funding requests to help redevelop the soon-to-be former GM headquarters.
- The RenCen is "one of those defining symbols" of Detroit and the entire state, Quentin Messer, CEO of the Michigan Economic Development Corporation, told Axios Detroit at the Auto Show last week.
- "If and when we do receive pro formas, we're certainly going to push on it to make sure that we're pushing the private developers, the private market to contribute as much as it can stand and still have a viable project. That we owe the Michigan taxpayer," Messer said.
What they're saying: A General Motors spokesperson declined to comment, saying the project would be discussed at the policy conference.