Developer proposes mixed-use project on shuttered Northland property
Five years after purchasing the shuttered Northland Center property, the city of Southfield has secured a developer who is planning residential, retail, office and green space uses on the site.
The City Council approved a purchase agreement for the sale of the majority of the former shopping mall for $11 million to Contour Companies of Bloomfield Hills, according to release from the city.
“Contour Companies have proposed a true dynamic mixed-use redevelopment including apartments at various rental rates, retail and restaurants, office and green space that very closely mirrors the city’s original vision for the Northland redevelopment based upon residents’ collective input,” the release said.
“Following the purchase of Northland in 2015, the city held several ‘Imagine the Possibilities’ public input meetings with the community to share their ideas and input for the future of the former mall site.
“The city held strong to that community vision for four years with little developer interest. Contour not only supports the city’s vision, they actually plan to exceed it!”
Mayor Ken Siver said Contour is interested in reusing some of the existing structures.
“I have felt all along that it would be a wasteful shame to demolish the entire mall. The Hudson’s building and the original portions of the mall were extremely well built and should be saved. We construct buildings for one use, times change and instead of demolition, we should invest in repurposing those structures for new uses.”
Contour plans to save the original five retail pads from the former mall as well as the underground tunnels and Hudson’s building.
Previous purchase offers and other developer interest in the property have all stipulated that demolition occur at city expense; however, this sale is based on Contour assuming the cost of demolishing the JCPenney building, later mall additions and the 1974 enclosure of the free- standing structures.
“The city purchased Northland because we wanted to control the destiny of this very strategic and historic property,” said council President Lloyd Crews. “We turned away factories, light manufacturing, medical marijuana, big box retail, warehouses and logistics centers and held out for development that would grow our tax base and population. This redevelopment will provide our community and residents something that we can all enjoy and be proud of for years to come. I truly believe that this mixed-use redevelopment will also serve as a model for other communities across the country.”
The city purchased the property at Eight Mile Road and the Lodge Freeway, located in the Downtown Development Authority District, from the court- ordered receiver in December 2015 for $2.4 million, with plans to remediate, demolish and sell the property to a qualified developer.
The environmental assessment, asbestos abatement and remediation for most of the mall has already been completed, in addition to the demolition of the former Target and Firestone Tire buildings.
“The redevelopment of Northland will transform the property into a lively new urban center while respecting and reinforcing the history of the site, as well as its unique Mid- Century Modern design,” said Contour Companies CEO David Dedvukaj.
“The project consists of two phases: A 1,339-unit mixed-use apartment community that will provide comfortable and dynamic work-force housing in 14, five-story buildings. Six of these buildings will have a commercial component on the ground floor facing Greenfield Road.
“The massive J.L. Hudson Co. store, once the largest branch department store in the world, will be returned to use as the Hudson City Market, a vibrant food-andspecialty home furnishings marketplace, filled with dining and entertainment options. The marketplace will be developed in the spirit of the highly successful Ponce City Market in Atlanta.
Phase II, located along Northwestern Highway and on J. L. Hudson Drive, will complement and complete the development’s sense of community by incorporating more mixed-use residential buildings, townhomes fronting on a landscaped green space complete with a pond and other amenities. The landmark power plant will become a community clubhouse and the familiar Northland water tower will also remain in place.”
This purchase agreement follows the recent sale of five acres to Ascension Health for an expansion of the Providence Hospital campus.
Contour has now entered a 90- day due diligence period before the sale is finalized which is expected in January. Construction and demolition will follow in the spring.
With the sales to Ascension and Contour, the city expects to be made whole on all of the funds invested in the Northland redevelopment project, according to the release.
“We are extremely pleased to be partnering with Contour Companies on the redevelopment of the former Northland Center, added Mayor Siver. “This is a local company that believes in Southfield and wants to be in Southfield. We are also looking to the state of Michigan for economic development incentives as this major project which covers 97 acres in the center of southeastern Michigan will be a major economic driver for the entire region.”
Northland’s history and impact
When Northland opened in 1954, it was the largest shopping mall in the world and among the first of its kind. In 1974, the mall was enclosed.
Northland led the way for Southfield to become a major commercial, business and residential center in metropolitan Detroit, the release said.
At the time of the original center’s completion, Southfield’s population was only 25,000. Fifteen years later, the population had more than doubled to 69,000, and today the city has about 73,000 residents and a daytime population reaching 175,000.