DEGC Looking for Developer for Foreclosed Lafayette Towers
- Oct 05, 2012
In an effort to balance out the shrinking apartment occupancy rates in Downtown, The Detroit Economic Growth Corporation (DEGC), acting on behalf of the City of Detroit, is requesting creative proposals for the purchase and redevelopment of two iconic buildings in the Lafayette Park Residential District into a market rate property.
The twin Lafayette Towers located at 1301 & 21 Orleans Street were built in 1963 by famed German architect Ludwig Mies van der Rohe and stand at 22 stories height, with a total of 584 apartment units. In 1996 both aluminum and glass towers were added to the National Register of Historic places; 12 years later the buildings were foreclosed
According to an official statement issued by DEGC, the foreclosed buildings are cleared to be purchased by the City from the U.S. Department of Housing and Urban Development (HUD), who will then sell them to a selected entity that has the financial capacity and proven experience to start redeveloping the properties. The City is requiring a minimum bid of $5,849,330 and a $10 million investment in repairs and improvements that HUD requires to be completed within 18 months of purchase date. The winning bidder will also be required to maintain the existing rents for very-low income tenants residing at any of the two properties on the date of sale.
Proposals are accepted until October 24, with a preliminary meeting already set for October 10, and the transaction is scheduled to close on November 16.
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Picture of Lafayette Towers credits to Corine Vermeulen for Design Observer