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Eastland Center demolition plan moves forward with tax credits


The Eastland Center site in Harper Woods is one step closer to a $94 million redevelopment after Michigan Economic Development Corp.’s Michigan Strategic Fund board approved Tuesday tax incentives for the project. 

The $4.7 million in brownfield tax credits were granted to Missouri-based NorthPoint Development, which plans to build three commercial light industrial buildings totaling 1.03 million square feet on the site of the former mall.

The development on Vernier Road is expected to create 550 full-time equivalent jobs, according to the MEDC.

Visible demolition at the site is slated to begin in mid-February, officials said. A completion date for the project was not provided.

NorthPoint Development's project comes as the Metro Detroit area has seen a demand for industrial land. In a briefing memo, MEDC staff pointed out the limited supply of Class A industrial space in Detroit and surrounding areas. 

"This project’s proximity to automotive manufacturers will make the proposed buildings competitive for tenants who are in or support the automotive industry," MEDC staff wrote in the memo. "This development will create a long-term community partnership with potential to foster additional commercial and retail investment in the surrounding areas."

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The project is expected to increase the taxable value of the property, according to the MEDC. There will be three buildings: 535,000 square feet, 295,000 square feet and 207,000 square feet.

In addition to three industrial buildings, the project will include 35,711 square feet of infrastructure improvements, including sidewalk, curb and gutter improvements, and road repair, officials said.

The approval comes as NorthPoint Development will also seek $28.6 million in tax increment financing Tuesday evening from Warren City Council to redevelop the former General Motors Transmission Plant. 

The projects are among NorthPoint's growing portfolio in Michigan, including its interest in redeveloping the long vacant American Motors Headquarters on Detroit's northwest side and its M3 Commerce Center underway at the former Cadillac Stamping plant on Detroit's east side.

cwilliams@detroitnews.com

Twitter: @CWilliams_DN