Gilbert's Latest Purchase

**ismoakrack** · April-07-12, 11:19 PM

http://www.crainsdetroit.com/article...ase-apartments

Anyone know about current occupancy? Senior housing?

**Gistok** · April-08-12, 01:24 AM

Very interesting... I don't care for the buildings architecture... but I'm not sure if "Gilberization" will make it better!

That building is also right across the street from the Statler site...

Something else just came to mind after reading the article... that Gilbert wants to turn the Hudson block into residential/retail. That means that it's not in consideration for a Quicken HQ... which they're still planning on. So that takes us back to the Statler block as a future contender... and may explain why the Ilitch folks have stabilized and mothballed the United Artists Building/Theatre... awaiting a future use across the street from a potential Quicken HQ perhaps??

**BigD** · April-08-12, 07:50 AM

Originally Posted by Gistok

Very interesting... I don't care for the buildings architecture... but I'm not sure if "Gilberization" will make it better!

That building is also right across the street from the Statler site...

Something else just came to mind after reading the article... that Gilbert wants to turn the Hudson block into residential/retail. That means that it's not in consideration for a Quicken HQ... which they're still planning on. So that takes us back to the Statler block as a future contender... and may explain why the Ilitch folks have stabilized and mothballed the United Artists Building/Theatre... awaiting a future use across the street from a potential Quicken HQ perhaps??

There are no plans for a Quicken HQ. Those plans were scrapped long ago in favor of the "campus" approach that you are currently seeing with Quicken employees spread across several buildings in fairly close proximity.

**andrew.w** · April-08-12, 09:33 AM

I not 100% sure, but I think that is a much older building with a modern facade. The thickness of the piers between the windows [[as seen through the windows of Washington in that picture) certainly suggests that it has load-bearing masonry walls.

**Neilr** · April-08-12, 09:45 AM

Originally Posted by andrew.w

I not 100% sure, but I think that is a much older building with a modern facade.

You are correct.

My opinion, not based on any direct knowledge - clearly just an opinion, is that it was a building where downtown businessmen used to keep their mistresses.

**jcole** · April-08-12, 11:25 AM

That is one of the worst examples of mid century modern that I've seen.

**artds** · April-08-12, 11:32 AM

"Gilbert's stated philosophy on real estate has been to "buy low" and profit when things appreciate in value"

lol...seriously?

**DetroiterOnTheWestCoast** · April-08-12, 11:52 AM

Originally Posted by andrew.w

I not 100% sure, but I think that is a much older building with a modern facade. The thickness of the piers between the windows [[as seen through the windows of Washington in that picture) certainly suggests that it has load-bearing masonry walls.

The article states that the building was built in 1950.

**Scottathew** · April-08-12, 11:57 AM

I'm excited about this, but what if the tenants paint the walls with colors we don't like?

**DetroiterOnTheWestCoast** · April-08-12, 03:46 PM

Here is a link to the listing, which states that its only 50% occupied. Given the reports of a lack of vacant rentals downtown, that's interesting if accurate.

http://www.loopnet.com/xNet/MainSite...x?LID=17455602

**DetroiterOnTheWestCoast** · April-08-12, 03:49 PM

Originally Posted by jcole

That is one of the worst examples of mid century modern that I've seen.

I'd be interested to see what some of the posters with architectural backgrounds think of the exterior. What could be done to spruce up the facade and yet retain a mid-century feel? That gold color reminds me of Harvest Gold appliances.

**WickedILL** · April-08-12, 03:58 PM

Originally Posted by DetroiterOnTheWestCoast

Here is a link to the listing, which states that its only 50% occupied. Given the reports of a lack of vacant rentals downtown, that's interesting if accurate.

http://www.loopnet.com/xNet/MainSite...x?LID=17455602

Doesn't surprise me they're only 50% occupied, there's no demand to live there. They are very old/out of date low income apartments from what I understand.

**corktownyuppie** · April-08-12, 04:10 PM

These are pretty low-budget units, for sure. And, unfortunately, the gradual and inevitable development of Washington and Capitol Park mean that these residents will almost surely be priced out of the market. I mean, seriously...the whole building cost $600,000. I just worked on a 44-unit student rental on campus in Ann Arbor with total project cost over $3MM.

I'm excited to see this street improving and I hope that another developer can pick up a building not to far away and work with Gilbert to transition the residents to another property in an organized and fair way.

**davewindsor** · April-08-12, 04:34 PM

Originally Posted by corktownyuppie

These are pretty low-budget units, for sure. And, unfortunately, the gradual and inevitable development of Washington and Capitol Park mean that these residents will almost surely be priced out of the market. I mean, seriously...the whole building cost $600,000. I just worked on a 44-unit student rental on campus in Ann Arbor with total project cost over $3MM.

I'm excited to see this street improving and I hope that another developer can pick up a building not to far away and work with Gilbert to transition the residents to another property in an organized and fair way.

You think these are low budget units? Seriously? It's 51 units [[45 apartments, 6 retail units) with over 60,000 square feet. In the listing, it's says they are large apartments averaging 1,074 square feet. Do you know how large a 1,074 square foot apartment is? Just by the sheer size of the apartments, you can tell these were luxury units at some point and they were probably asking a premium for rents at one point. These are definitely not low budget units and student housing doesn't even come close to this. Gilbert is getting a real steal if he can get a building with luxury units this cheap. But, the listing also says it's an REO and 600,000 is the opening bid. I don't think he's gonna get it that cheap.

**Neilr** · April-08-12, 04:38 PM

The midcentury modern look of Claridge House is a curtain wall exterior that was done, most likely in the 50s, to a much older building. Emporis gives its original completion date as 1906.
http://www.emporis.com/building/the-...detroit-mi-usa

If you venture into the alley you can see the bricked in tall arched windows of the first floor. The building, then as now, had shops on the first floor; but the building's lobby was on Clifford before the renovation that transformed it into the current Claridge House Apartments.

**Gistok** · April-08-12, 04:44 PM

Ewwww.... they "Boulevard Building'ed" it.... likely a classic exterior was torn off and gutted to put on a "modern" veneer.

**davewindsor** · April-08-12, 04:46 PM

Originally Posted by DetroiterOnTheWestCoast

http://www.loopnet.com/xNet/MainSite...x?LID=17455602

Wow, I just downloaded the pdf file attached to the listing and it had a picture of clean white and wallpapered hallways with shiny granite floors, real high ceilings, artwork and furniture in the hallways. The hallway ceilings look they are 10' high. It doesn't look dated. Definitely a high end building.

**Gistok** · April-08-12, 04:48 PM

The "30 Clifford" thread has a lot of images of this building from the side and the rear...

**downtownguy** · April-08-12, 04:50 PM

Don't be so quick to look down your nose at this building, Yuppie. I knew someone who used to live in the penthouse unit you can see in the map link below. It was a fantastic unit with a large outdoor terrace. Now, granted that was 20 years ago and a lot may have changed, but the building has great potential even if it's outside appearance isn't the greatest.

And don't forget, location, location, location.

Bird's eye view of the building and penthouse terrace.

**corktownyuppie** · April-08-12, 05:06 PM

I stand corrected. I incorrectly gathered the low asking price was a result of a low cap rate. Anyone know what the place rents for these days?

**corktownyuppie** · April-08-12, 05:33 PM

Originally Posted by davewindsor

These are definitely not low budget units and student housing doesn't even come close to this. Gilbert is getting a real steal if he can get a building with luxury units this cheap. But, the listing also says it's an REO and 600,000 is the opening bid. I don't think he's gonna get it that cheap.

I can see that these were luxury units at one point, but I'm curious as to what they are now. A 1,000 square foot apartment is large but par for the course at most of the new development and re-developments in midtown/downtown.

Maybe we have different understanding of low budget...I mean low budget in the current environment. 60,000 sq ft = $720,000 per year in rent at that rate. And if they can collect it, the bank is stupid to unload it at 600,000. Hell, they could hold on to it and collect that much every year.

**WickedILL** · April-08-12, 08:26 PM

Hmm, I didn't know they were luxury at all, ever. All I know is when I've walked past there & looked in all I've seen is a small hallway with a security guard at a crappy looking wooden desk. Guess I shouldn't judge a book by its cover.

Anyway I hope Gilbert buys more properties off of Washington blvd [[Book Tower!!).

**ismoakrack** · April-08-12, 09:59 PM

No way these are luxury units now. Maybe in the 20's they were. I lived downtown for years [[recently) and know many, many people who live there, and never even knew the name of this building until now. Which is why I thought it may be senior housing, since so many other buildings on that block are.

**detroitbob** · April-09-12, 08:52 PM

The building was marketed as high end when it reopened as the Claridge House. I had friends who lived in the building for a couple of years in the mid 1970's and it was well maintained, modern and of downtown professionals and since the management didn't mind two men living together a few gay couples including the guys who I knew worked in corporate buying and advertising at J L Hudson's, favored the building I seem to remember the original facade being dark red brick/sandstone/sooty which I'm sure is behind the horrid panels that cover the place.

Remember, in those days of old, the Hilton had been remodeled as had the Book Cadillac, the Michigan Theatre was reopened and under Nick George was doing good business before the conversion in the nightclub, and the diasterous tinker toy concrete mess had not been built and they plans for the trolley barn and the antique trolley cars were in the works. Washington Blvd still had some restaurants and a few of the old line stores, Scholnicks and Capper and Capper, a small branch of Best and Co. for women in the Whitney Bldg were still doing well. The airlines still had city ticket offices on the main floor of the Book Bldg and Tower.

Downtown was still busy...not like the 50's but still busy...and the movement toward business moving to Renaissance Center did not start until 1978-1979.