Packard Plant's owner - project moving forward despite loss of $80 million in finance
Some set back news here but Palazuelo is defiantly undeterred. Fears of global slowdown was behind the fund pull. Chinese?
Quote:
Fernando Palazuelo has had to make a course correction on the financing of his Packard Plant redevelopment project after a collapse in a key financing agreement.
Palazuelo, who owns the sprawling plant at I-94 and East Grand Boulevard and plans a hodgepodge of uses there, says a large but undisclosed Peruvian private equity firm has backed out of an agreement to provide $80 million in financing for the Packard project.
But Palazuelo says he's still following his original business plan, with no need to scale back on the 3.5 million-square-foot Packard, the redevelopment of which is expected to take hundreds of millions of dollars over the next seven to 15 years.
Invariably, Palazuelo and his team are undeterred.
"It's not going to affect the Packard," Palazuelo said while waiting for a bowl of soup along with the project manager, Kari Smith, at the Seva vegetarian restaurant on Forest Avenue in Midtown. He even said another large Detroit industrial property project is in the works [[see related story).
"It's business as usual," Smith said in agreement, a salad on the way.
http://www.crainsdetroit.com/article...ite-loss-of-80