2,500 jobs for Detroit to be announced next week

[DetroitMan]

2,500 jobs for Detroit to be announced next week
Daniel Duggan
Posted 9/14/2009 10:37 AM EDT on crainsdetroit.com
Word has it that a New Hampshire-based extended warranty company, General Warranty Services, is moving to Detroit's Central Business District with the deal to be announced next week.
All summer, real estate brokers have been talking about this company, which has reportedly looked at just about every building in the city with large blocks of space.
The deal will be announced during the Michigan Economic Growth Authority meeting a week from tomorrow, and the company will move into the Chase Tower near Detroit's Campus Martius. Companies getting tax breaks from the state aren't allowed to talk about their deals until they are signed, so they never confirm these deals, nor does the MEGA or it's parent body, the MEDC. My source on the information is close enough to the deal to have knowledge of it, but can't talk on-the-record.

This will be a boon for Detroit, with an immediate move of 450 jobs and the potential for up to 2,500 jobs in the next couple years.
The deal will fill up two 37,000-square-foot floors at Chase Tower. The 598,000-square-foot building is currently 51.2-percent occupied, according to data from Bethesda, MD-based CoStar Group.
If the deal is finally signed, it will end one of the most speculated moves of the last few months.
All summer, brokers have rumored that this company was moving to nearly every building that has vacant space.
Early speculation had them at the Comerica Tower, but then rumors had them at Chase Tower. Then, they were rumored to be looking at the old MGM Grand casino building. Then, they were rumored to be, yet again, at Chase Tower. Last week, a rumor went around that had them at 1001 Woodward, which apparently is not the case, according to a person affiliated with 1001.
So, we never had them looking at 150 West Jefferson or the Renaissance Center, and that's about it for the usual suspects with office space in Detroit.
If this deal is signed, it will be the second-largest deal of the year in Detroit at 70,000 square feet. The new jobs will be call center jobs, not bankers or lawyers, but it's another good sign for the city's CBD coming on the heels of the Quicken infusion of employees at the Compuware Building [[which marked the largest deal of the year.)

[spiritofdetroit]

Good news. glad to see the deal is going through. Didnt realize Chase had vacated that much space in the building though.... Interesting that 1001 didn't work out - I wonder if there are other plans for that building. Seems to me they wouldve been willing to undercut any other building's lease terms just to get SOMETHING into the building.

Aside from the ground floor shops, the 1001 building has about 2 occupied floors.

[French777]

the location of 1001 Woodward is very nice! Close to Book-Cadillac and Campus Martius and not to far from PM or RPTC

[Gistok]

The Chase Tower.. aka former NBD HQ Building... aka "the Cheese Grater"... is located in the SW corner of Campus Martius.

When "NBD" merged to become "First Chicago/NBD" and then merged again to become "BancOne" and then merged again to become "Chase"..... well let's put it this way... they didn't need all those extra headquarters people anymore... so they went from occupying all 14 floors... downt to about 8 floors.

I hope these 2,500 "warranty" jobs aren't those super annoying auto warranty telemarketting folks... if so... yuk!

[Danny]

YAY GRANHOLM!

More jobs coming to Dowtown Detroit.

God bless that Governor.

[Detroitej72]

So, which mayor can claim this as a victory, Kwame, Ken, or Dave?

Just kidding, great news for a distressed economy.

[Rocko]

Interesting. This is from Wednesday's Detroit News:

Business briefs

Warranty firm may locate on Woodward

Detroit -- 1001 Woodward appears to be the front-runner as the future downtown branch of General Warranty Services , according to sources familiar with the negotiations. The potential deal could initially bring 1,000 jobs and up to 2,500 jobs over two to three years. The jobs will mostly be in telemarketing for the Salem, N.H., firm that sells extended vehicle warranties. The board of the Michigan Economic Growth Authority may vote on authorizing tax credits at its meeting next week.

http://www.detroitnews.com/article/20090916/BIZ/909160324/1001/biz

[PQZ]

The Chase Tower.. aka former NBD HQ Building... aka "the Cheese Grater"... is located in the SW corner of Campus Martius.

When "NBD" merged to become "First Chicago/NBD" and then merged again to become "BancOne" and then merged again to become "Chase"..... well let's put it this way... they didn't need all those extra headquarters people anymore... so they went from occupying all 14 floors... downt to about 8 floors.

I hope these 2,500 "warranty" jobs aren't those super annoying auto warranty telemarketting folks... if so... yuk!

Seriously?

The CBD office market is running at over 30% vacancy and the City of Detroit unemployment rate is 29.sumthin%.

And you going to turn you nose up at 2,500 jobs?

And I thought Skulker was arrogant.

[bailey]

Seriously?

The CBD office market is running at over 30% vacancy and the City of Detroit unemployment rate is 29.sumthin%.

And you going to turn you nose up at 2,500 jobs?

And I thought Skulker was arrogant.

well, if it truly is their business...isn't relying on sketchy corporations selling warranties no one wants or needs to fill office space a bit like relying on sketchy mortgage companies to build HQs downtown?

[stinkytofu]

Mark my words - they are moving into 1001 Woodward.

[PQZ]

well, if it truly is their business...isn't relying on sketchy corporations selling warranties no one wants or needs to fill office space a bit like relying on sketchy mortgage companies to build HQs downtown?

http://generalwarrantyservices.com/

It appears they do not do telemarketing but sell after market auo warranties through other means. As people hold on to their cars longer and longer, there is a greater need for these kinds of services - i.e. its a growth market right now. Its only fitting that they set up shop in Detroit and try to re-employ those hurt by declining new car sales.

I'm sure Ephs and Good Girls Go to Paris have a very different take on the potential of adding 2,500 people to their customer base.

And again, Detroit is at nearly 30% unemployment. Screw any nimrod that wants to turn their nose up at a legitimate company that will provide 2,500 jobs.

[Johnnny5]

Looks like this has been in the works for a while. All the information I could find online leads me to believe that "General Warranty Services" is not the type of business I want to see relocate to Detroit.


http://www.employmentspectator.com/2...l-center-jobs/

"General Warranty May Create 1,000 Call Center Jobs

Mon, May 11, 2009



Salem, New Hampshire’s General Warranty Services, which sells extended auto warranties, is considering a new call center in downtown Detroit. As many as 1,000 new jobs could be created within a year.
The company is negotiating with both Illinois and Michigan, to get the best possible incentives.
Thirty percent of offices in downtown Detroit are vacant.
The Better Business Bureau gives General Warranty Services its lowest grade of “F” due to consumer complaints about unwanted sales calls and other issues."

[Johnnny5]

And again, Detroit is at nearly 30% unemployment. Screw any nimrod that wants to turn their nose up at a legitimate company that will provide 2,500 jobs.

"Legitimate" being the key word.

[Gistok]

Salem, New Hampshire’s General Warranty Services, which sells extended auto warranties, is considering a new call center in downtown Detroit. As many as 1,000 new jobs could be created within a year.
The company is negotiating with both Illinois and Michigan, to get the best possible incentives.
Thirty percent of offices in downtown Detroit are vacant.
The Better Business Bureau gives General Warranty Services its lowest grade of “F” due to consumer complaints about unwanted sales calls and other issues."

Thanks Johnny5 for the details.

I've only based my experience with these people on the fact that whenever they call, and you want to tell them to be taken off their call list... they'll hang up on you instead.

They especially prey on the elderly. My 87 year old mother was worried about her car's warranty after being scared into action by one of these "future Detroit jobs of the 21st century" people.

But then again... maybe they'll prey mostly on folks from Podunk NC, and not more savvy Michigan folks.

I don't mind having an extra 2,500 jobs here in Detroit... even if it's these folks who are hiring locals.

But if GM can't keep Seldom Blues [[in their own HQ) out of Bankrupcy, then I hardly think that these low wage earners are going to be spending much of their small paychecks on downtown eateries, which may be a bit pricey for them anyway.

And with Michigan vying for these jobs against Illinois... I'd be curious to see what the eventual "price per job" will end up costing Michigan and Detroit. It'll probably make the Michigan film industry incentives seem like peanuts...

[iheartthed]

I wonder if this is the same company that was calling me about buying an extended car warranty for 2 years after I sold the car? At least I know exactly where to go now the next time I get one of those calls...

[Tourist]

So I guess that probably means that Skulker was not only arrogant, but a fool as well....

Love the double standard for name calling on this site.

[Detwa]

I'm sorry but I put General Warranty in the same category as the company that sells knives, Cutco? Or the ones that call and try to get you to come in for family portraits. They're telemarketers, and bad ones at that. I got sucked into a car warranty with them TWICE and each time they weasled out of paying for my repairs. They made the process so frustrating that I had fantasies of showing up and waiting for one of them at their cars - that's how excrutiatingly and deliberately rude and unhelpful they are. They spun me for two years combined, until I just let them have the money they owed me, not that they were going to give it to me anyway. I hate those people. I guess a job with them will help someone pay a couple of bills, but I don't see longevity for anyone, they suck as a company, I predict a high turnover.

[Patrick]

Will employees have to pay for parking and where will they be able to park?

[Gistok]

Will employees have to pay for parking and where will they be able to park?

Patrick, if it's 1001 Woodward, then they have a dedicated parking structure just north of the building. If it's the Chase Tower.... I don't know.

[crawford]

These are horrible, low-wage no-benefit jobs, and will eventually be moved to India or somewhere cheaper, but it's much better than empty office space, so I think it's good news.

Oh, and I really doubt the forthcoming minimum wage workers will be partaking in crepes from Good Girls go to Paris. They will be brownbagging it if they have any intelligence.

[PQZ]

Tourist... since this is your first post... let me fill you in.... Skulker was a "former" poster on this forum who used to use such name calling on this forum as calling people "Fucktards" and other such niceties, when they didn't agree with his ideas. Since he couldn't display common civility in his posts... he was "evicted".

See, my take on Skulker's attitude was that people who can't display common sense don't deserve to be mollycoddled like Special Olympics participants.

Life's hard. Wear a helmet.

[downtownguy]

It's been more than 3 weeks since the "official" announcement on this was to be made. Has anybody heard what's going on?