Garden Block development transforms key Woodward parcel

Four phases of construction are transforming the block of Woodward between Alexandrine and Selden -- called the Garden Theater Block in deference to the C. Howard Crane-designed building located in the middle of it -- into a mixed-use Midtown stronghold. "Ten years ago we had a vision of acquiring the Garden Theater building," says developer George Stewart. "Now, this project is showing some promise, but it didn't happen overnight."

Phase one, a 300-space parking structure, was completed in 2008 and the second phase, the construction of a new commercial building and the renovation of the Blue Moon building, is wrapping up.

The new 24,000-square-foot building replaces two that were torn down. It includes a 3,500-square-foot ground floor space that will be occupied by the University Cultural Center Association (UCCA) beginning in March. The second and third floors are already wholly occupied by Wayne State University Medical School's Department of Family Medicine. Developer George Stewart says interest is high in the remainder of the commercial space, which includes approximately 2,300 square feet of storefront in the new building, as well as both stories of the Blue Moon building. "I am confident Phase Two will be 100 percent leased by the end of the year -- that's my projection," he says. "We have great prospects."

The third phase will consist of the renovation of the theater building and the fourth, the demolition of the building that houses Zakoors Novelty and the construction of a new five-story mixed-use building with 61 units of market-rate apartments. Financing for these two phases is being secured.

The first two phases each cost $9 million and were financed with a Section 108 Loan Guarantee (approved by the City of Detroit and HUD), Federal Historic Tax Credits, New Markets Tax Credits that were purchased by PNC Bank, Single Business Tax Credits and owner equity. "It's been a 10-year journey but it has been interesting, and we're lucky we chose a project that people want to see happen," says Stewart. "Federal and local governments have given us financial vehicles we've been able to use to make this project feasible."

Architects for the Garden Block are Quinn Evan and McIntosh Porris. Monahan Co. is contractor and Zachary and Associates worked as development consultants for the project.

Source: George Stewart
Writer: Kelli B. Kavanaugh