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Detroit council told to expect Cobo expansion plans soon

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  • Charles C. Primas
    Detroit council told to expect Cobo expansion plans soon Also, leases at center, Joe Louis Arena discussed September 20, 2007 By ZACHARY GORCHOW FREE PRESS
    Message 1 of 1 , Oct 1, 2007
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      Detroit council told to expect Cobo expansion plans soon


      Also, leases at center, Joe Louis Arena discussed


      September 20, 2007

      By ZACHARY GORCHOW

      FREE PRESS STAFF WRITER

      http://www.freep.com/apps/pbcs.dll/article?AID=/20070920/BUSINESS06/70920045
      /1001/NEWS

      The director of Cobo Center told the Detroit City Council on Thursday that
      he expects to receive a proposal from the Detroit Auto Dealers Association
      for a 30,000-square-foot expansion of the convention center soon.

      Tom Tuskey told the council's Neighborhood and Community Services Committee
      that the association has yet to specify its plans to him.

      A message was left with the auto dealers association seeking comment.

      City officials also discussed with the council the status of the city's
      leases with Olympia Entertainment on Joe Louis Arena, Cobo Arena and the
      parking garage that services both. The contract expires July 1, 2010,
      meaning Olympia has until July 1, 2009, to issue in writing its intention to
      terminate the lease, otherwise the lease is extended for 20 years.

      Initially, because the contract was dated in 1978, there was some question
      whether Olympia would have to decide this year whether to renew, bringing to
      the front burner the question of whether the Ilitch family, which runs
      Olympia and owns the Joe's main tenant, the Detroit Red Wings, needed to
      decide imminently whether it would keep the team at the Joe.

      But a later interpretation by the city's law apartment, the council was
      told, indicated under the contract, because the certificate of occupancy was
      issued on Joe Louis Arena on July 1, 1980, the lease expires July 1, 2010.
      The Red Wings, who at the time were owned by Bruce Norris, began play at the
      Joe during the 1979-80 season that already had ended, but had been given a
      temporary certificate of occupancy.

      Olympia concurs with the city's interpretation of the contract, city
      officials told the council.

      There has been rampant speculation that the Ilitches are considering
      building a new arena on land they own west of the Fox Theater, an area
      dominated by vacant lots and abandoned buildings that would be ripe for
      redevelopment.

      Regards,

      -CP

      http:// <http://cprim72.travelfhtm.com/> cprim72.travelfhtm.com

      http://www.fhtmus.com/Primas



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