The bids, unadjusted for any contingencies and associated costs, included Grand Sakwa of Farmington Hills, MI, $68.5 million; Pulte Homes of Royal Oak, MI, $70 million; and REI of Bloomfield Hills, MI, $67 million.New bids for the property have been solicited and will be due June 25. The department still expects to complete the sale by the end of this fiscal year, said department officials.
A volunteer "executive on loan" to DMB, Freman Hendrix, disclosed that he had discovered that he maintains an unrelated, outside business relationship with a consultant to Grand Sakwa Properties. Hendrix and David Katz are co-owners of Mulligan's driving range in Auburn Hills.
While this business relationship is not material to the Northville sale or to any other state business, it could have created the appearance of a potential conflict of interest, the officials said. Because the appearance of a conflict could have jeopardized the state's ability to complete this sale by Sept. 30, DMB will re-bid the sale.The Department will return earnest money to the companies that submitted bids during the original process and will encourage their participation in the re-bid.
The invitation to bid package is available at www.michigan.gov/dmb.
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