Montgomery Ward site project in Dearborn wins $9.5 million brownfield grant

Thursday, August 21, 2008 | Source: metromode

More ducks are lining up in a row for the redevelopment of the old Montgomery Ward building in Dearborn's east downtown.

The Michigan Economic Development Corporation has passed a $9.6 million brownfield grant for the project, which is set to break ground later this year. That money is part of a $14.2 million capture from state and local tax incentives that make the $68 million project possible.

City leaders and the developer, Southfield-based Redico, are working out final details for the development at the corner of Michigan Avenue and Schaefer Road. Wrecking balls are expected to start razing the historic 1937 building by the end of the summer so the site can be turned over to the developer in November.

Once Redico has control of the site, it plans to build a 125,000-square-foot, mixed-use building in its place. The city determined it must raze the old Montgomery Ward building last year because the structure, originally planned to be saved, couldn't accommodate the new $45 million home for Oakwood Healthcare and Midwest Health Services.

The project is expected to create hundreds of new jobs, thousands of square feet of new retail space and dozens of new homes in the city's core.

Montgomery Ward occupied the 93,000 square feet until it went belly up in 2001. It has been vacant ever since. The new 3-story, brick-and-stone façade structure will go up in its place. Murray expects to save the old building's clock and some ornamentation so they can be incorporated into the new building.

About 22,000 square feet of ground floor retail space will also be added to the corner and along Schaefer. A 500 to 625 space parking deck will be built behind the new building as well as 100 to 120 units of senior citizen apartments, which will be constructed to blend in with the surrounding neighborhood of single-family homes. Work on the main structure is expected to wrap up by the end of 2009. The senior-citizen housing is expected to be done by June of 2010.

Source: Michigan Economic Development Corporation
Writer: Jon Zemke