ROMEO, MI-A 56-acre parcel of land near Romeo, lined with dilapidated buildings, will be developed into an industrial park. The project slated for 32 Mile and Powell roads will take advantage of the state’s brownfield development law to pay for environmental cleanup and to secure tax breaks of up to $1 million for the developer.

Under the plan, the eight buildings on the site will eventually be replaced by 26 buildings providing a combined 851,000 sf of industrial space.

“I don’t think we would have tackled that piece of property without the brownfields designation,” says Tom Kemp, president of Kemp-Peyerk Sterling, the Madison Heights company planning the development. “Without it, it would be a lot easier and cheaper for us to go buy farmland, virgin land.”

The state Department of Environmental Quality has yet to give its approval for the company’s $272,000 plan to clean up chemicals that have contaminated the soil, including quantities of arsenic. Kemp says the demolition and cleanup could begin in February and construction of the project, the Powell Road Industrial Park, would be launched in the spring.

The first structure, a 30,000-sf multi-tenant building could be ready for occupancy next fall. The industrial park would be built in phases over approximately 10 years.

Kemp-Peyerk is a partnership between Kemp, president of a development company, and Chris Peyerk, owner of one of Michigan’s largest contractors, Dan’s Excavating of Shelby Township. Beyond the costadvantages of developing a brownfield site, the company saw Romeo as a good location because of the recently completed M-53 freeway extension and its position on the suburban fringe.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?


NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

 

GlobeSt Net Lease Spring 2024Event

This conference brings together the industry's most influential & knowledgeable real estate executives from the net lease sector.

Get More Information
 

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2024 ALM Global, LLC. All Rights Reserved.