news
Wayne State University's South End (February 6, 2008):
"Loft Builder turns failed housing project into Office space" -
Lauren Cavanagh The Mid-Med Lofts were originally marketed as homes, but they were not selling. The developer has now decided to
turn the lofts into much needed office space. Bill Vogel, principal for Fairway Realty and leasing agent for the lofts,
doesn't think the failure of the lofts as homes had anything to do with the project itself. "It was the function of the residential real estate market as a whole," Vogel said. "It wasn't isolated to Midtown,
it wasn't isolated to the city, and unfortunately, it wasn't even isolated to the state. "The residential market dropped off and there were several macroeconomic issues that led to that. We had a certain
amount pre-sold, but before we took that next step to close on some of those sales, we thought 'Well, is this really the
best use for the building?'" Vogel feels good about making the transition before it was too late. He said that turning the space into offices is
good for Midtown. "We think that we are very fortunate compared to other developers of residential projects in the area because we caught
on with what was happening in the market before we chose to close on any of these sales," Vogel said. "The location is just
perfectly placed between the two main entities that drive Midtown." Located on E. Canfield between Woodward and John R street, the lofts are right in the middle of campus and the Detroit
Medical Center. Vogel said that the offices could be perfect for employees of both institutions. "We spoke with some people within departments at WSU that just need more office space," Vogel said. "They are bursting
at the seams." Vogel also said there may be people interested in buying who are affiliated with the DMC. "Maybe they are suburban doctors that come to do rounds at the DMC two or three times a week and want to have an office
close by," Vogel said. "We saw a real potential for office space." There are other potential buyers out there who aren't
working with the DMC or WSU, but like the thought of having an office in Midtown. Douglas Marsh, a WSU graduate, is the business manager for Macro Connect, a local technology consulting firm that supports
small and medium-sized businesses, nonprofit organizations and schools. The business is based in Detroit, and an office in
Midtown is something the company is very interested in. "Many of our clients are in Detroit and [Midtown] is a central location for our office employees and field staff to work
out of," Marsh said. "We love the energy and excitement that is associated with being in the city." Marsh thinks that Midtown is good for any business because of all it has to offer, including the culture, and the fact
that traffic and parking are less of an issue there than in the Central Business District. Marsh and Macro Connect hope to
be settled in Midtown before the end of March. The Mid-Med lofts have been listed as offices for six weeks now, and Vogel is very pleased with the reaction. "We're averaging one to two calls a day," Vogel said. "We've had close to a dozen showings, including a very large group
that wanted to take a whole floor, and we have some smaller tenants moving in over the next couple of weeks. We're very happy
with the response we've had so far." Vogel thinks that Midtown is growing and has a lot to offer. "I would argue that Midtown is the second most viable space in all of Detroit," Vogel said. "With all the developments
going on [in Midtown], there is just so much happening. It is the second greatest rebirth in the city short of the Central
Business District."