Dan Gilbert’s new ‘fail jail’ plan would bring a 5-story medical research hub to Detroit

Dan Gilbert’s real estate company is planning a new life sciences building on a large vacant development site on Gratiot Avenue at the eastern edge of downtown Detroit.

This marks the first time building details have been revealed under the current vision for an “innovation district” on the property, colloquially referred to as the “fail jail” site, which has seen development concepts come and go over the last 10-plus years. 

This May, Detroit-based Bedrock LLC sought architectural services for a 211,000-square-foot, five-story building as part of a larger development envisioned for the 14-acre property at Gratiot Avenue and I-375 that used to house the half-built Wayne County Consolidated Jail project, according to a request for proposals obtained by Crain’s.

The RFP, responses to which were due at the end of May, says an unnamed ground-level tenant for the 58,000-square-foot first floor has been identified. The document describes that anchor tenant as “a renowned precision medicine outpatient facility.”

 

In a statement to Crain’s on Monday, Bedrock CEO Kofi Bonner said the property “offers a unique chance to craft a dynamic hub that will appeal to innovative businesses and energize the surrounding neighborhood.” 

“We will persist in seeking opportunities to bring this vision to life and create a thriving destination that drives growth and excitement,” Bonner’s statement continues. 

It’s unclear who the building’s anchor tenant would be, but the project does align with the aspirations of Grand Rapids-based BAMF Health. 

BAMF, a molecular imaging and advanced cancer treatment provider, announced in June it is planning a more than $100 million expansion in Detroit. BAMF Health has been working with Detroit Mayor Mike Duggan’s office and the Detroit Economic Growth Corp. to select a location for a clinic in Detroit, Crain’s reported previously.

BAMF has secured $25 million in state funding to further that goal with hopes of opening a facility by early 2027, COO Chad Bassett told Crain’s Grand Rapids Business in late June.

BAMF declined to comment on Bedrock’s RFP for the project and referred Crain’s to Bedrock for comment.

BAMF’s specialty is prostate cancer treatment. BAMF’s Grand Rapids theranostics center opened nearly two years ago on Michigan State University’s downtown research campus, where it diagnoses and treats patients with stage four prostate cancer and neuroendocrine cancers using advanced high-speed medical scanners, radiopharmaceuticals and artificial intelligence to precisely target tumors and reduce side effects. 

BAMF is also seeking a health care partner in Detroit. In Grand Rapids, BAMF partners with Corewell Health and Michigan State University, the latter of which is developing a $335 million Health Sciences Research Center in Detroit through a partnership with Henry Ford Health.

Corewell Health did not immediately respond to a request for comment on the Detroit plan or whether it is involved. 

The life sciences building proposal

Construction on what the Bedrock RFP refers to as the “Gratiot Life Sciences Building” would tentatively start in the third quarter of next year.

The building would “accommodate a mix of lab and office uses on the upper floors and be anchored by a renowned precision medicine outpatient facility on the ground floor,” according to the 23-page RFP. The design would have 50% wet lab and 50% office space, with flexibility to be converted to 100% wet lab space, the RFP says.

It also says public funding may be sought as part of the project.

The current vision for the site is an “innovation district” with office, science, tech, residential, retail and park space, the RFP says.

Three years ago, Bedrock pivoted on its plans for the property, which had been the original site of what is now referred to as the University of Michigan Center for Innovation.

The $250 million project spearheaded by billionaire developer and Detroit native Stephen Ross moved to an Ilitch family-owned site bounded by Cass and Grand River avenues and West Columbia and Elizabeth streets, where it is now under construction following a December groundbreaking.

And prior to that, Gilbert and Detroit Pistons owner Tom Gores floated a $1 billion development proposal with a 25,000-seat Major League Soccer stadium for the old jail property, flanked by office, residential and hotel high-rises.

But the slew of development proposals was all kick-started by the Wayne County Consolidated Jail boondoggle. The project was halted half-built during the administration of Wayne County Executive Robert Ficano after what had been a $220 million price tag ballooned to an estimated $391 million, becoming a symbol of municipal mismanagement when it was saddled with delays and an exploding budget.

The hulking eyesore was ultimately razed, although there had been debate on whether to finish the project.

In June 2018, Wayne County approved an agreement with Gilbert’s Rock Ventures LLC to build a $533 million criminal justice complex on a different site to replace the existing complex on Gratiot Avenue, paving the way for the demolition of what became known as the “fail jail.” 

A new consolidated criminal justice campus developed by Bedrock was completed at East Warren and I-75; like its predecessor, it also faced delays and cost overruns, the Detroit Free Press reported, although those were primarily absorbed by Bedrock under terms of the 2018 agreement. 

In a statement on Friday, Bedrock CEO Kofi Bonner said demolition on Wayne County’s existing criminal justice buildings just south of the consolidated jail site to begin by the end of the year. Those buildings include the Frank Murphy Hall of Justice; the first and second division jails; and the juvenile detention facility.

“The site on Gratiot provides an opportunity to continue to augment and enhance downtown Detroit,” Bonner’s statement said. “We are now working on business development efforts to develop and animate an area that will provide enhanced opportunities to grow the local economy and attract talent through innovative partnerships and focused investments.”

The Detroit News reported last week that the county anticipates relocating from its current jail facilities after Labor Day. 

Three years ago, Bedrock and the World Economic Forum said the latter was bringing its headquarters for its Global Centre for Urban Transformation to the old jail site.

Last week, Jeff Merritt, head of urban transformation for the World Economic Forum, said in an email to Crain’s that the group “remains actively engaged in Detroit through our partnership with Bedrock.”

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