Article from Today's Crain. According to the article, rising construction costs have delayed the project. The developer, Roxbury Group, hopes to close on financing by the end of the year and start construction soon after which is expected to take 18-24 months.
Detroit's Lee Plaza is likely a year behind schedule. Here's why.
https://www.crainsdetroit.com/real-e...d-rising-costsQuote:
David Di Rita stood on a stage inside the decrepit Lee Plaza hotel 13 months ago to share his excitement about the $7 million Detroit City Council earmarked for his planned rehabilitation project of the long-vacant high-rise."It's a preview to coming attractions," Di Rita, a founder and principal of the Roxbury Group, said at the time. He expected construction at the 16-story building at 2240 W. Grand Blvd. in New Center to begin a year later — or, about now.
But Di Rita said this month that rising construction costs have delayed the project, which would turn the 15-story building into 117 units of senior affordable housing, plus some market-rate units. He said he now expects financial closing to come at the end of this year, and for construction to begin after that. Rehabilitation of the 1927 building is expected to take between 18 and 24 months. "We have not begun any physical work on the building yet," he said. "We're still in the pre-development stage." Di Rita said there was still a $10 million financing gap for the project, and he has exhausted "all the usual sources" of financing. But he said he's "increasingly" sure the numbers will work.
"I have a high degree of confidence we'll figure this out," he said. "Lee Plaza, it's all or nothing."
