Posted 18 May 2010 - 10:30 PM
The risk in current-condition Detroit is that 1) any developer, whose bottom line is profit, considers the number 1 rule in real estate: location, location, location. These buildings are on ripe land adjacent to WSU and a heavy-traffic area with lots of potential. The other risk of current-condition Detroit is that many historic buildings aren't in the condition where they are in higher demand, like say the same building in a "Chicago-style" environment. They're traditionally low-rent, high-turnover structures, which ultimately, makes them rather weak when a highly determined developer comes along and recognizes not the building but the land it sits on.
There's going to have to be a greater response to fight this one, as we've seen how well protecting historic buildings on paper is effective. Tell that to the decorative fleur-de-lies' of the Lafayette Building...er, former Lafayette Building downtown.
Could the developer's mission be to gut the interior of these historic buildings and sell them as condos at or slightly above market rate? Probably. Will he? No.