Midtown Dump?

[SammyS]

Imagine if, say two weeks from now, it was announced that a cure for Covid19 had been discovered. Sure, you could still catch it but after two pills and a night's sleep you would be over it.

Not very likely but, extended over time, that is what will happen--a vaccine will be developed and likely a cure or a partial cures will come too. It happened with the far more fearsome ebola and smallpox; it happened in large degree with tuberculosis and AIDS.

We will again crowd together in stadiums, restaurants, bars and we'll hug again. The only question is the length between now and then, how much economic damage will occur and whether that could cascade into a long-term downturn.

This is a true bulls vs. bears, cup half empty/ half full thread that underlines the challenge to our self confidence. Right now the train is still hurtling off the cliff and we don't know when it will stop. But it will.

Good reasoning Lowell. I should add that many private companies and government organizations, around the world, are pulling all the stops out to create a vaccine as quickly as possible. Some have already started human trials with promising results. Test completion within 8 weeks with release as early as the end of 2020, or sooner. So yes, we'll get over this soon but I doubt life will ever be the same. Maybe better
Michigan, with its manufacturing legacy and technological talent, could be poised for a massive rebuilding. The world, and especially the US, has had just about enough of globalization and ready to decouple from China..... and we all know what that means for us here.
Hang in tight guys. We'll recover soon and emerge much stronger on the other side.

[Metro25]

How about the restaurants? What about the $75 dishes at the local restaurants like Smith & Co. or She Wolf? Do you think they are goners too? I'm thinking the novelty of living here is going to die pretty fast at least for the near future.

You people have been anticipating the supposed novelty of living in urban neighborhoods to die for the last ten years now and you only keep being proven wrong. When are you gonna give up these antiquated ideas?

[Metro25]

I get that you guys are all bored sitting at home, but there is literally no way that this virus will destroy the economy for years to come. People with high paying jobs will still be working, those people will want to go out to eat once they can. If places close, new ones will open. Unless we here about Fortune 500 companies collapsing, which the government won't let happen, service jobs will come and go like the always do. It's not like resturants are just money trees even in a good economy.

Also the city's largest white collar employer is doing record business during this pandemic.

[SammyS]

Also the city's largest white collar employer is doing record business during this pandemic.

Don't bet on that. Although volume is high, closing may still remain an issue since there is now a greater element of risk. Since Quicken is a direct lender, they carry the burden immediately. Even brokers are hesitant to close since they remain on the hook for 6 months after closing. This could explain why lower rates have barely been extended to the street.

[CR75]

Talking with some friends, we were wondering what the early closure of Wayne State, the impending recession and associated job losses will do to the EXTRAORDINARILY high rents in Midtown? Will people start bailing as their paychecks tighten up and realize this isn't as primo living as once imagined?

Wayne State transitioned to online learning on March 23rd. The end of the semester is April 20th, plus a couple of weeks for exams. So you are talking about 'closing' a month earlier than usual. I don't think this factor alone will spell the demise of Cass Corridor.

[DeLemur]

Imagine if, say two weeks from now, it was announced that a cure for Covid19 had been discovered. Sure, you could still catch it but after two pills and a night's sleep you would be over it.

Not very likely but, extended over time, that is what will happen--a vaccine will be developed and likely a cure or a partial cures will come too. It happened with the far more fearsome ebola and smallpox; it happened in large degree with tuberculosis and AIDS.

We will again crowd together in stadiums, restaurants, bars and we'll hug again. The only question is the length between now and then, how much economic damage will occur and whether that could cascade into a long-term downturn.

This is a true bulls vs. bears, cup half empty/ half full thread that underlines the challenge to our self confidence. Right now the train is still hurtling off the cliff and we don't know when it will stop. But it will.

True

[DetBill]

Already do, was needing a haircut before the shit really hit the fan. My barber is a weird old Italian guy, didn’t want him breathing on me.

You do realize he probably said the same thing about you..😷😷😷👍👍

[Metro25]

Don't bet on that. Although volume is high, closing may still remain an issue since there is now a greater element of risk. Since Quicken is a direct lender, they carry the burden immediately. Even brokers are hesitant to close since they remain on the hook for 6 months after closing. This could explain why lower rates have barely been extended to the street.

Quicken is doing a lot of advertising right now on refinancing and low interest rates. Pretty sure they intend to close on all this business at some point at least.

[SammyS]

Quicken is doing a lot of advertising right now on refinancing and low interest rates. Pretty sure they intend to close on all this business at some point at least.

And I so hope they do. My point was that on one hand you have the Fed lowering rates, which looks attractive, hence the demand. On the other hand, you have uncertainty in the jobs market. Now what lender would offer any refi without the guarantee that you can pay it back? The way the lender mitigates the risk is by raising the rate themselves. Brokers simply shop it around to the prime lenders and see's what comes back. I've heard the loan origination market is very volatile with rates moving by the minute in both directions.
So those who need it the most are the ones who have either lost their job, furloughed or just received a pay cut. Very little chance they'll get a refi. Even those who's jobs are intact will find it difficult. I for one tried to refi two loans. One was originated 5 years ago [[30yr @ 4.25%). No go since it's an investment property. The other originated a few months ago [[15 yr @ 3.125%) is actually better than what they offered me a week ago, if you can believe that.
Again, I sincerely hope homeowners can take advantage of these historically low prime rates but at the same time, banks don't want a repeat of the GFC if they can help it.
If anyone has been successful refinancing, i'd like to hear about it.

[Luke09]

Every country will learn from this and come out of it better, except China.

[Luke09]

Every country will learn from this and come out of it better, except China.

Looks like Japan is taking action. I expect the UK and Italy to be next.
https://www.dailywire.com/news/it-be...ign=benshapiro

[Richard]

Looks like Japan is taking action. I expect the UK and Italy to be next.
https://www.dailywire.com/news/it-be...ign=benshapiro

That will be interesting to see how that plays out,a majority of everything electronic that comes out of China is supplied by Japanese circuit boards.

Remember when the tsunami hit Japan and US automakers went into an electronic shut down,Japan could pretty much shut China down which would create reparations from China.

We need to do the same thing,anything that relates to the safety and security of this country needs to be made in this county.

[Justin SOD]

Wayne State transitioned to online learning on March 23rd. The end of the semester is April 20th, plus a couple of weeks for exams. So you are talking about 'closing' a month earlier than usual. I don't think this factor alone will spell the demise of Cass Corridor.

This may have not been the case when you made this post, but Wayne State recently extended its online learning/closure of campus until Fall semester now [[which I believe begins in September?). I agree with you though - even with WSU's extended closure this will not be the demise of Cass Corridor. Things will change and I would not be surprised to see rents go down for a time, but in the long-run it will still be a highly desirable area.

[Justin SOD]

A lot of restaurants will close. I don't think anyone can dispute that. After social distancing ends people will be reluctant to be in crowds and will have less money to spend. Eventually that will change. It's not only surviving the next 3 months that will be difficult for restaurants it's surviving the slower than normal period after social distancing ends. Being a cheapskate myself, I have no idea how so many high end restaurants operate in a city like Detroit in the best of times. As much as Detroit has had a turnaround, it still has a small downtown/midtown population and a small corporate presence.

Same thoughts. Even before the pandemic began, we already had an oversaturation of restaurants and breweries in Detroit and we were beginning to see the effects of this with several well-known establishments [[such as Gold Cash Gold, Kratwerk, etc) closing their doors.

In addition to people being scared/hesitant to eat at restaurants once things start getting back to normal, I think this situation has forced a lot of people to learn how to cook for themselves [[and those that already knew how will likely have expanded their cooking skills). By the time this is over, many will be in a steady routine of cooking for themselves and feeling the need to eat out much less often.

[Seven&wyo]

Same thoughts. Even before the pandemic began, we already had an oversaturation of restaurants and breweries in Detroit and we were beginning to see the effects of this with several well-known establishments [[such as Gold Cash Gold, Kratwerk, etc) closing their doors.

In addition to people being scared/hesitant to eat at restaurants once things start getting back to normal, I think this situation has forced a lot of people to learn how to cook for themselves [[and those that already knew how will likely have expanded their cooking skills). By the time this is over, many will be in a steady routine of cooking for themselves and feeling the need to eat out much less often.

I know this anicdotal, but from what I've observed from shopping at Meijer and what Americans were eating before hand I don't think our eating habits are going to change. Americans eat high octane garbage and if a pandemic hitting people with underlying health issues that are largely caused by obesity[[ heart and lungs issues) doesn't change people's diets nothing will[[other than forcing them to eat better). There is absolutely no reasons to eat cereal ever, but that shit was clearing off the shelf and its cheaper and nutritionally better for you to make your own pizza, but people cleared that frozen shit out like the apocalypse.

[CrashDummy]

If anyone has been successful refinancing, i'd like to hear about it.

Refinancing with Comerica, 15 years @2.875%. Closing in June.

[casscorridor65]

I see my favorite taco shop is leaving.

https://www.homesnap.com/MI/Detroit/418-W-Willis-Street

I see the price went from $300K to $185K. Must really want to get out of it.

[Pam]

There is absolutely no reasons to eat cereal ever,

Cereal is fine if you avoid the high sugar/low fiber ones.

[casscorridor65]

If WSU continues remote learning until 2021, that will be a HUGE hit for off-campus rentals and local businesses. This neighborhood will dry right up.

https://www.thesouthend.wayne.edu/ar...39cd783ec.html

[CR75]

If WSU continues remote learning until 2021, that will be a HUGE hit for off-campus rentals and local businesses. This neighborhood will dry right up.

https://www.thesouthend.wayne.edu/ar...39cd783ec.html

Yes, we are in agreement on this one. If Wayne goes online in the Fall it will be a total disaster for the school long-term, and for the neighborhood.

Most leases around here are up in August, and many will not be renewed if Wayne goes online in the Fall. The school dorms will be empty as well. I also don't see how Wayne can charge full tuition for the Fall semester if they are only offering online classes. Combined that's 80% of the school revenue. The other 20% is from the State, and that funding is likely to dry up as well in the coming months. Trying to imitate the Harvards and the Stanfords is not sensible, their revenue structure is very different from Wayne's and they can afford to shut down for one semester, or more.

I hope the administrators will take a hard look at the actual data before making a decision with such disastrous long-term consequences. This is not the time for 'gut feelings' reactions. It would be nice if people in power would actually think these decisions through, with all their consequences, instead of just taking the doctor's advice.

[Metro25]

I see my favorite taco shop is leaving.

https://www.homesnap.com/MI/Detroit/418-W-Willis-Street

I see the price went from $300K to $185K. Must really want to get out of it.

Uhh that doesn't mean the taco shop is leaving, it means the landlord wants to sell. They even advertise the restaurant for the sale... You also conveniently leave out that it's been on the market for almost half a year, obviously it was overpriced.

[Richard]

Uhh that doesn't mean the taco shop is leaving, it means the landlord wants to sell. They even advertise the restaurant for the sale... You also conveniently leave out that it's been on the market for almost half a year, obviously it was overpriced.

In the link is clearly reads ... business,fixtures and lease and does not include the real estate.

At the end of the day it’s a dime a dozen taco shop.

Newly renovated space with lots of equipment included in sale. Sale includes Alley Taco business, equipment and lease until July 31st, 2021 with [[2) 5 year options.Within walking distance to Wayne State University, Shinola, Thirdman Records, City and many more retailers. * Real estate not included in sale.

[Metro25]

This is so dumb, why are we analyzing a random commercial listing thats many months old and literally tells us nothing? Why is this being posted at all? What is OP's agenda? I just, dont understand.

[Roxy]

The restaurant industry will be hit hard from COVID-19 and it will take years before a recovery. Small businesses will go out of business for good until there is a vaccine and the economy rebounds, but again, that could take years.

I've heard of people living in cities wanting to leave not just because of the virus but because they are going stir crazy in their tiny and expensive apartments. People will eventually return to the city, but in the meantime, it makes sense to want a backyard and your own personal space to spend outdoors.

Exorbitant city rents and real estate will go down, especially in a city like Detroit where we were only on the road to recovery, nowhere near established enough to survive what will likely be a 2-year pandemic until a vaccine is developed. We can return to work in the next 1-2 months, but people still will not want to go out as much as they used to. That means decreased ticket sales at music and sporting events and empty restaurants and stores. It will be interesting to see how far prices will go down for real estate both in the city and the suburbs the more people realize this isn't ending anytime soon. I didn't think we'd something on par or even worse to the 2008 recession, but here we are.

[gnome]

In contrast to everyone else, I have no idea what is going to happen.

Would i I be surprised to hear about cannibals living in the old Hotel Wayne? Yes, that would surprise me, but then I am always surprised by cannibals.

Funny how that is.