The Detroit City Council has greenlit a $3 billion development deal that would see Henry Ford Health, Michigan State University and the Detroit Pistons transform the city's New Center district, The Detroit News reported Feb. 27.
Councilmembers voted 6-3 to approve the plan, which included rezoning multiple parcels of land and a new community benefits package.
The developers include Henry Ford, MSU and the Detroit Pistons owner Tom Gores, who will develop the commercial corridor, according to the report. The Gilbert Family Foundation plans to develop a stroke and neurofibromatosis research center on the campus.
The developers project their benefits agreement to total $604 million, including:
- A $310 million uncompensated care fund for under-insured residents within a 3-mile radius.
- $90 million for the research center.
- $10 million for a 1,500-space parking garage.
- $55 million on infrastructure improvements.
- $30 million on rehabbing five acres of greenspace around the hospital.
Over the next 35 years, developers are expected to receive $231.7 million in tax revenue reimbursement, $117 million of which will stem from property tax, according to The Detroit News.
Anchored by Henry Ford's academic healthcare campus, the "Future of Health" project will include a major expansion of Henry Ford Hospital and a medical research facility for Henry Ford Health + Michigan State University Health Sciences, as part of their 30-year partnership.
Residential, affordable housing, commercial and retail components are also included in the project, which builds on the partnership between Henry Ford and Mr. Gores.
"Today's approvals lay the groundwork to execute the reimagination of our shared campus, creating meaningful economic opportunity and redefining what health and well-being means for the City of Detroit," Henry Ford, MSU, Mr. Gores and the Detroit Pistons said in a joint statement shared with Becker's.