Ford Grows As Landlord

20110404-NEWS--0001-NAT-CCI-CD_-- 4/1/2011 6:27 PM Page 1

www.crainsdetroit.com Vol. 27, No. 14 APRIL 4 – 10, 2011 $2 a copy; $59 a year

Page 3 Lawmakers study college credit transfers for savings Ford grows as landlord

Yoga Vacated space drives change in strategy BIG FORD LAND DEALS

Shelter: BY DANIEL DUGGAN Motor Co. ended 2010 leasing Ford Motor Land Development Corp.’s new leases in 2010 to non-Ford companies totaled 431,000 square feet, combined with 346,000 square CRAIN’S DETROIT BUSINESS 777,000 square feet to 39 non-Ford Seeking feet of renewals. The value totaled $18.3 million. companies. a higher On a strategy to position itself Ford Motor Land Development Top leases Land deals as a competitive local landlord, Corp. also sold land to make way state of the real estate subsidiary of Ford Dearborn-based Oakwood Former engineering buildings at 760 for an expansion of Detroit-based Healthcare System: 15500 and and 780 Town Center, Dearborn, are revenue Henry Ford Health System and a 15700 Lundy Parkway, being considered for student housing. CEO Donna possible expansion of Dearborn- Dearborn, 135,000 square feet A 144,000-square-foot office Inch says based Oakwood Healthcare System. Plymouth-based Link building at 5500 Auto Club Road, Ford Motor Another deal in the works may Engineering Co.: 401 Dearborn, was sold to an investor and Inside Land create student housing near the Southfield Road, Dearborn, then partially leased to Henry Ford Development University of Michigan-Dearborn. 114,000 square feet Medical Center as part of a 65,000- Corp. is It’s part of a strategy to think Automotive Components square-foot expansion. Ann Arbor Spark’s new purpose- like a landlord and be aggressive Holdings LLC: 15303 Oakwood Healthcare bought 62 fully president: Retain and build, in local real estate, said Donna Commerce Drive, Dearborn, acres of land in Dearborn but has not growing 57,600 square feet disclosed plans for the site. Page 13 its foot- Inch, chairman and CEO of print in Ford Land. It’s also part neces- Sources: Ford Motor Land Development Corp., CoStar Group, Crain’s research the sity, as Ford Motor Co. vacated regional 1.2 million square feet of space with 25 non-Ford entities, along Can’t depend on Ford anymore Idea: Detroit real in the past two years as part of with 346,000 square feet of re- estate its downsizing. newals with 14 companies in Ford Land brokers historically market. “That amount of space really Ford Land’s 5 million-square-foot filled vacant space by picking up She has puts it into focus for us that we local portfolio. the phone to move a division of a winning have to be competitive,” Inch said. The leases are valued at a total the automaker into the building. During 2010, 431,000 square of $18.3 million over the course of But recently, it’s been the oppo- idea to feet of new leases were signed their terms. See Ford Land, Page 17 improve Detroit. So do 10 others, Page 9

This Just In

Chamber hires economic JEFF JOHNSTON/CDB PHOTO ILLUSTRATION; NATHAN SKID/CDB PHOTO development leaders The Detroit Regional Cham- ber has made two new hires to guide its economic devel- Detroit draws: Reality contest, grocery chain opment programs. Ben Erulkar will serve as the chamber’s senior vice president of economic develop- Job winners to chronicle city life Whole Foods Market ment, overseeing programs BY NANCY KAFFER both founded by Doyle Mosher, like the Detroit Regional Eco- CRAIN’S DETROIT BUSINESS president of the browses in Midtown nomic Partnership (business Birmingham- attraction initiative); Imagine a reality show set in De- based developer BY NATHAN SKID TrankslinkeD (transportation, troit: 30 young professionals from Mosher Dolan. CRAIN’S DETROIT BUSINESS distribution and logistics ini- around the coun- The Collabo- Employers, the city and private foundations tiative); Open Innovation (new try competing for EWISH HUB rative Group business partnerships initia- jobs at some of J zeroing in on Detroit’s Midtown neighborhood meets regularly to lure new residents to the city may have a se- tive); and MICHauto (auto in- the region’s top Moishe House: in an office at New communal cret weapon in their arsenal: Austin, Texas- dustry economic develop- employers, living 735 Forest Ave., ment initiative), said Sandy in the city for a living for young based Whole Foods Market Inc. professionals, which also hous- Baruah, president and CEO of year and docu- Crain’s has learned that the grocery chain, Page 16 es Mosher Dolan known for its organic produce and above-aver- the chamber. menting the ex- and the Forest Mosher A graduate of Harvard and perience though age prices, is shopping for space in Midtown. Grill. The organization hosts speak- Sue Mosey, president of newly created Mid- Johns Hopkins universities social media, blogs and video logs. ers and networking events, all with a law degree from the That’s the idea behind Challenge town Detroit Inc., a nonprofit encompassing the with the idea that bringing multi- former University Cultural Center Association and See This Just In, Page 2 Detroit, a contest designed by mem- generational intellectual and en- bers of The Collaborative Group — New Center Council Inc., confirmed last week: trepreneurial capital together will “There has been some expressed interest by lead to positive outcomes. Like Whole Foods in looking at the possibility of a Challenge Detroit. store in Midtown.” “The only way we could really On Wednesday, Mayor Dave Bing went one see to move the region forward ef- better. At a private lunch meeting of young pro- fectively and efficiently was to NATHAN SKID/CDB fessionals and corporate supporters of talent at- combine a lot of entrepreneurial Whole Foods has no traction efforts in Detroit, Bing said the deal talent,” Mosher said. Detroit store yet but with Whole Foods was getting close. Mosher said he started The Col- sponsors these “It’s not a question of ‘if’ but ‘when,’ ” he told NEWSPAPER banners at Eastern See Challenge, Page 16 Market. See Grocery, Page 18 20110404-NEWS--0002-NAT-CCI-CD_-- 4/1/2011 5:38 PM Page 1

Page 2 CRAIN’S DETROIT BUSINESS April 4, 2011

UM to host clean energy seminar reducing greenhouse gases in BELLE Capital marks first close THIS JUST IN manufacturing; how clean ener- The U.S. Department of Energy gy manufacturing can be Michi- BY CHAD HALCOM to the foundation other than in- ■ From Page 1 will hold a two-day seminar at gan’s opportunity for revitaliz- the University of Michigan on April CRAIN’S DETROIT BUSINESS volvement by some of the same ing its industrial manufacturing; principals. 21-22 called Revitalizing Innova- University of Pennsylvania, Erulkar accelerating commercialization; Grosse Pointe Farms-based “We have a big vision and ab- tion in Michigan for Clean Ener- most recently served as a senior and the role of government. BELLE Capital LP reached a first solutely have the wind in our gy Manufacturing, held in con- adviser at the U.S. Chamber of The seminar is free and open to close last week on investment by sails,” Flanagan said. “The women junction with Ann Arbor Spark, Commerce, where he worked on VC and private equity firms, gov- women to fund startup technology who have joined so far are excited, the Michigan Economic Develop- community engagement pro- ernment officials, university re- companies founded or managed by and for all who already joined we ment Corp., NextEnergy and Au- grams with Fortune 500 compa- searchers, emerging technology women, and it plans to announce hear of more women we intend to tomation Alley. nies, Baruah said. companies and established man- an initial round of portfolio invest- invite. Erulkar also has worked at Panel topics will include ven- ufacturers. Registration is re- ments this week. BELLE also has been complet- the U.S. Department of Commerce, ture capital and other funding quired, at www.eere.energy.gov Thirty women investors have ing due diligence on three prospec- where he served as COO and as sources for companies with (Click on the events link under committed to BELLE, short for tive portfolio companies for the deputy to Baruah, then assistant clean energy technologies; im- the main photo.) Bold Enterprises Leveraging Lead- fund — one apiece in the life sci- secretary of commerce and proving energy efficiencies and — Tom Henderson ership and Experience, since the ences, information technology and leader of the department’s Eco- November formation of its general clean technology industries — and nomic Development Administra- CORRECTIONS partner, BELLE Capital Management expects to close on the initial in- tion. LLC, Managing Directors Carolyn vestments within days. Erulkar is in the process of re- A brief on Page 2 of the March 21 issue should have said that Char- Cassin and Lauren Flanagan told The goal is to develop a full port- locating to the Detroit area, lie Anderson was the first full-time permanent executive Crain’s. folio of 10-15 companies in the mo- director/CEO of Communities in Schools in Detroit, rather than its Baruah said. The directors would not reveal bile/Internet and IT fields, life sci- founding CEO. Barbara Jean Patton, former chief service officer for “We need someone who not the total raised, but said it exceed- ences, advanced manufacturing, Detroit, led the local organization for 18 months before hiring Ander- only knows economic develop- ed an initial escrow target of $2.5 clean technology and service com- son. ment but who can be a diplo- million. The fund partners expect panies using patentable technolo- Crain’s list of Largest Accounting Firms in the Feb. 28 edition mat,” Baruah said. to raise $25 million in investment gy, in Michigan and elsewhere in should have listed complete information for No. 7 UHY Advisors-Michi- The chamber also has hired capital through a rolling close, the Midwest and beyond. gan. It should have listed Anthony Frabotta, managing partner and from a combination of accredited Prospective portfolio companies Bibiana Boerio as special adviser CEO; Thomas Callan, managing partner-Southfield; and Dan women and other institutional in- should have at least one female to the president. Boerio spent 31 Markey, managing partner-Sterling Heights. vestors. founder or C-suite level executive years with Ford Motor Co. During The Q&A with Ann Arbor Spark CEO Paul Krutko on Page 13 of this Flanagan called BELLE Capital or be able to recruit women to its that time she held the titles of edition should have included information about his departure from a hybrid fund that is part venture C-suite and board of directors. managing director of Jaguar Cars his previous job as the chief development officer for the city of San capital, part early-stage angel in- In addition to its general partner and CFO of Ford Credit. After Jose. Krutko told Crain’s he retired last November because he had vestment fund. Cassin is also pres- managers, BELLE also has named leaving Ford, Boerio served as turned 55, qualifying for a pension, and wanted to start a consulting ident and CEO of the nonprofit Marie Klopf as the fund venture chief of staff to former U.S. Rep. firm. According to the San Jose Mercury News, which didn’t name Michigan Women’s Foundation, partner, Leslie Murphy as its in- Joe Sestak, D-Pa. Baruah said any sources, Krutko retired after a breach of a city policy it didn’t ex- which announced in October it vestment committee chairwoman, Boerio would work with the plain and which the city manager refused to discuss. Stephen For- was forming the Women’s Angel and Amy Millman as chairwoman chamber part time, maintaining rest, the vice president of research at the University of Michigan, said Fund to support woman-owned of its business advisory council. her residence in Washington. the issue came up during Krutko’s interview process, and Forrest startups and second-stage compa- Crain’s Detroit Business Publisher — Nancy Kaffer deemed it immaterial. nies in the state; but Flanagan said Mary Kramer is also one of the BELLE Capital has no connection fund’s limited partners.

800-292-3831 indiantrails.com 6WDUW6DYLQJ 7RGD\ZLWK(QHUJ\

ONE HU G ND (IÀFLHQF\,QFHQWLYHV N R I T E A D R Y B E

E A

L R

E S C 100 ITH COLDER TEMPERATURES, now is the Wtime to start saving energy and saving money by boosting the energy efﬁciency of your natural gas heating system. Incentives are available for: • &URNACEANDBoiler tune-ups • Boiler modulating burner control retroﬁts • Steam trap repairs • Programmable thermostats Special programs offered for large and small businesses. For more information related to your business: Comfort and www.consumersenergy.com (877) 607-0737 t$IBSUFST Luxury e-mail: [email protected] t5PVST t4IVUUMFT 00 t$POWFOUJPO4FSWJDFT SAVE $100 OFF t$PSQPSBUF&WFOUT Contact Indian Trails for details. Must use this 5220-C t4DIFEVMFE4FSWJDF promotional code at time of booking: 2011CDB-APR 20110404-NEWS--0003-NAT-CCI-CD_-- 4/1/2011 6:11 PM Page 1

April 4, 2011 CRAIN’S DETROIT BUSINESS Page 3

Inside College credit transfer system examined Eastern Market has plans for growing, Page 4 where they started. Lawmakers to weigh costs, schools’ uniqueness Laurie Kattuah-Snyder, transfer Website’s plan: coordinator for Livonia-based BY DUSTIN WALSH system of transferring credits con- also a huge issue for the students Schoolcraft College, said that unless Choose music CRAIN’S DETROIT BUSINESS fusing and inconsistent, creating and usually translates to more stu- students know which four-year in- for listeners, expensive de- dent loans.” stitutions they want to attend, it’s In higher education, credits are lays for students Transfer students average more difficult for community colleges to Page 18 currency. and higher costs credits than the 120 required for a offer prescribed paths. And how that currency is valued for the state. degree, according to the most re- Credits will often transfer to- among Michigan’s 15 public uni- “We’re very cent data from the National Center ward a student’s general education versities and community colleges concerned about for Education Statistics. requirement, but won’t count to- Company index has become an important debate in this issue,” said Students graduating from a four- ward a major, she said. This leads the state’s future higher education Rep. Joan year institution after transferring to excess credits. These organizations appear in this week’s Crain’s funding. Bauer, D-Lans- from another four-year institution, “Our motto is: Just because it Detroit Business: Language attached to Gov. Rick ing and vice on average, accrue 140 credits. Stu- transfers, doesn’t mean it applies,” 71 Pop ...... 9 Snyder’s proposed budget will be chairwoman of dents transferring from a commu- she said. “I think a lot has to be Amherst Partners ...... 17 Bauer done, and we need to play nice in introduced next week to form a the House Appro- nity college accrue 144 credits on Clean Emission Fluids ...... 12 study committee on credit transfer priations Subcommittee on Higher Ed- average, compared with the 134- the sandbox, to embrace the trans- bottlenecks. ucation. “It’s a financial issue. It’s a credit average from students who Compuware ...... 16 Legislators consider the current cost to the state of Michigan. It’s complete their degree at the college See Credits, Page 18 Cultural Alliance of Southeastern Michigan ...... 9 Detroit Department of Transportation ...... 3 Detroit Lives ...... 11 Detroit Public Schools ...... 10 DTE Energy Co...... 16 A higher Rail plan: Use Eastern Market ...... 4 EPrize ...... 16 Ford Motor Land Development ...... 1 state of fed funds to Great Lakes Legacy Project ...... 10 Greening of Detroit ...... 4 GroopEase.com ...... 18 get fed funds Hamilton Anderson Associates ...... 17 revenue Henry Ford Health System ...... 1 Bond sale to help Henry Ford Learning Institute ...... 10 Yoga Shelter stretches Inspire Michigan ...... 10 raise local match Jewish Federation of Metropolitan Detroit ...... 16 its market reach Our plan Karma Yoga ...... 15 “ BY BILL SHEA Lis Ventures ...... 3 BY CHAD HALCOM CRAIN’S DETROIT BUSINESS M1 Rail ...... 15 CRAIN’S DETROIT BUSINESS is to develop Detroit Mayor Dave Bing’s ad- Macomb Community College ...... 18 The local yoga fitness market a national ministration has crafted a plan to Midtown Detroit ...... 16 may be extended like a seasoned divert some of the city’s annual fed- Neighborhood Noodle ...... 4 practitioner in the warrior pose, eral capital transportation grant Oakwood Healthcare ...... 1 but the owners of Yoga Shelter LLC presence funding to back bonds that will pay Precise Parenting ...... 10 still have found room for growth for Detroit’s share of a $500 million in tapping new communities and in yoga light-rail system on Presidents Council, State Universities of Mich. . . . 18 fresh applications of the craft. Woodward Avenue. ON TRACK Project Green House ...... 9 The Bloomfield Hills-based by growing The deal, which Quicken Loans ...... 16 chain of yoga studios expects to has federal ap- Rail detail: Redspot Management ...... 18 open its fifth Southeast Michigan proval, allows the What’s Schoolcraft College ...... 3 location by late summer in De- through cash-strapped city to happening troit’s Midtown area, where re- arrange required lo- and who’s Signature Associates ...... 17 who, development has made the area Stokas-Bieri Real Estate ...... 18 affiliates. cal-match funding Page 15 an attractive market to reach ” without actually us- Strategic Staffing Solutions ...... 16 young professionals, said CEO Joe DiMauro, ing local money. Team Detroit ...... 16 Joe DiMauro. The plan is to issue up to The Collaborative Group ...... 1 The company also pulled out of a Yoga Shelter $125 million in Capital Grant Re- nearly flat period and grew rev- ceipts Revenue Bonds to reach the The Farbman Group ...... 17 enue about 15 percent last year to 40 percent local funding match The Yoga Studio of Shelby ...... 15 $2.5 million, partly through adding threshold required to trigger fed- University of Michigan-Dearborn ...... 1 BRENDAN ROSS a studio in Studio City, Calif., and Yoga Shelter CEO Joe DiMauro (left) and Hannan Lis, CEO of Yoga Shelter co- eral payment of the remainder of Valassis Communications ...... 16 offering new off-site classes to the the rail project. owner Lis Ventures LLC, want to expand the company into at least two states Wayne State University ...... 12 faculty at Eton Academy in Birming- within two years. The 40 percent will be composed ham and at William Beaumont Hospi- of the proceeds from the bond Whole Foods Market ...... 1 tal in Royal Oak. The company is Rica retreat April 30-May 7, in- Possible new markets for Yoga sale, a $25 million federal grant William Beaumont Hospitals ...... 16 on pace to exceed $2.7 million this cluding some networking for Shelter include Ohio, the greater awarded last year and $100 mil- Yoga Shelter ...... 3 year, DiMauro said. guests who are interested in busi- Chicago area, Florida and other lion assembled by the private sec- YogaMedics ...... 15 The Detroit studio also repre- ness development, and will take California locations. tor and foundations. The 60 per- sents a shift from mainly corpo- part in the Yoga Journal Midwest “It has some compelling cent would be specially rate-owned studios to affiliates Regional Conference July 7-11 in virtues, a great loyalty factor and designated federal transportation owned by an investor or yoga in- Wisconsin. The company, found- was doing something that helps grant funding. Department index structor in which Yoga Shelter ed in 2004 by co-owner Eric people’s lives and gave them a The city has worked out an BANKRUPTCIES ...... 4 has a minority stake and provides Paskel in Bloomfield Hills, hopes sense of connection to each oth- agreement with the Federal Transit BUSINESS DIARY ...... 14 its name, instructor network and to expand into at least two states er,” Lis said of the company, Administration that allows the De- supplies, DiMauro said. through a network of affiliate stu- which he joined as an investor six troit Department of Transportation to CALENDAR ...... 14 “Our plan is to develop a na- dios within 18-24 months, said years ago. “There was an appeal use about 30 percent of the $26 mil- CLASSIFIED ADS ...... 14 tional presence in yoga by grow- Hannan Lis, CEO of Lis Ventures to it, both for a healing and a mo- lion to $28 million it gets annually KEITH CRAIN...... 6 ing through affiliates,” he said. LLC, the investment fund that co- tivational element that helps give from the FTA’s Section 5307 grants LETTERS...... 6 “And we’re doing a good deal of owns Yoga Shelter. Lis also is the consumer a sense of vitality.” to be used instead for debt service MARY KRAMER ...... 7 strategic marketing this year that COO of Weight Watchers Interna- Detroit last year was the sixth- payments on the bonds. The grants OPINION ...... 6 we think will help.” tional franchise The WW Group Inc. largest local market in the coun- normally are for capital purchases RUMBLINGS ...... 19 The company plans a Costa in Farmington Hills. See Yoga, Page 15 See Rail, Page 15 WEEK ON THE WEB ...... 19

Food for thought The Daily THIS WEEK @ Check out Nathan Skid's blog, Table Crain's delivers news every weekday to email Talk, every Thursday for juicy nuggets on inboxes. Stay on top of the action by signing up WWW.CRAINSDETROIT.COM the area's food and beverage industry. at crainsdetroit.com/getemail. 20110404-NEWS--0004-NAT-CCI-CD_-- 4/1/2011 4:35 PM Page 1

Page 4 CRAIN’S DETROIT BUSINESS April 4, 2011 Plans put Eastern Market in growing season

INTELLECTUAL PROPERTY ATTORNEYS BY SHERRI WELCH rate the economy is holding us her Neighborhood Noodle startup

CRAIN’S DETROIT BUSINESS back.” with her partners one day a month He hopes to announce a seven- from donated space at Supino Pizze- Eastern Market Corp. is in negoti- figure grant this spring. It would ria in Eastern Market. They are not just “ ations to acquire two nearby build- follow a $200,000 grant made in They could be interested in us- ings and plans to begin renova- mid-March by the Fred A. and Bar- ing the market’s commercial tions on a third market shed this bara M. Erb Family Foundation to es- kitchen for catering and special “patent lawyers, but summer. tablish the community kitchen. events but would be “particularly The nonprofit is trying to raise “The community kitchen will interested if they were able to ex- our trusted advisors. $1 million so it can help develop a pand into a nearby building to pro- begin renovations more robust lo- vide a commissary for mobile food this summer on (Funder) cal food system and vending units,” she said in an JAMES SCAPA, CEO Altair Engineering Shed 5, and it “ in Detroit,” email. could begin ren- interest in said Jodee The market hall, planned for ovations on a Fishman three or four years from now, fourth shed if it local food Raines, vice “might be a good fit depending on raises enough, president of how it’s structured,” Daniel said, YOUNG BASILE. Advisors to the world’s most innovative companies. said President systems is program for given that Neighborhood Noodle Daniel Car- the Erb Foun- provides prepared food in café mody. growing. dation, in an fashion rather than prepackaged When com- ” email. specialty products. ANN ARBOR • TROY • SILICON VALLEY plete, Shed 5 will Daniel Carmody, Helping De- Yet another project planned for include a com- Eastern Market troiters launch this spring in Eastern Market is a WWW.YOUNGBASILE.COM munity kitchen specialty food 2.5-acre model garden at the cor- to help incubate local specialty ventures will create new food-sec- ner of Orleans and Wilkins. Green- food startups while providing a fo- tor jobs and increase access to ing of Detroit plans to use the opera- rum for nutrition education healthy food, she said. tion to showcase the business demonstrations. Jess Daniel, a doctoral student planning and production side of So far, the market has identified in the C.S. Mott Group for Sustain- small-scale specialty production. 50 specialty food startups that able Food Systems at Michigan Sherri Welch: (313) 446-1694, might be interested in preparing State University, has been operating [email protected] and selling pierogis, granola mix, baked goods, pasta and ice cream at the market, said Carmody. “They range … from people who have an idea and don’t know where to go to people who are already selling stuff.” The projects are part of what has grown to a $100 million, decade- long development plan for the market — triple the original $30 million projection from 2008 and double the forecast from two years ago. The increased investment figure is due to revised and rising costs of renovating the five existing sheds, plus the costs of constructing a new market hall with retail space for specialty food startups, a restaurant/bar, educational areas, and a growers’ terminal and dock, as well as acquiring and renovating the new buildings. Eastern Market has raised $14 million and spent about $10 million of that to renovate two other sheds and on streetscape im- provements. Fortunately, said Carmody, “(funder) interest in local food systems is growing at about the same FOR LEASE

WILSHIRE PLAZA NORTH & WEST TROY, MI BANKRUPTCIES The following businesses filed for Chapter 7 or 11 protection in U.S. Bankruptcy Court in Detroit March 25- 31. Under Chapter 11, a company files for reorganization. Chapter 7 involves liquidation. Utech Properties LLC, 210 W. Universi- ty, No. 7, Rochester, voluntary Chap- ter 11. Assets and liabilities not available. WILSHIRE PLAZA NORTH WILSHIRE PLAZA WEST Mid-West Waterproofing Co., 972 Ade- 900 WILSHIRE DR 1050 WILSHIRE DR laide, Wyandotte, voluntary Chapter SUITES FROM 1,387 TO 9,014 SF SUITES FROM 1,341 TO 18,716 SF 7. Assets: $850; liabilities: $378,017. Performance and Reliability Group » Class “A” Ofﬁ ce Buildings FOR MORE INFORMATION PLEASE CONTACT: Inc., 2866 Steamboat Springs Drive, STEVE EISENSHTADT Rochester, voluntary Chapter 7. As- » Located on the Big Beaver Corridor [email protected] sets: $100; liabilities: $113,857. Just East of The Somerset Collection OR F & G Management Enterprises LLC, » On-Site Storage, Cafe and Sundry KEITH GREBINSKI 47133 North Pointe Drive, Canton Shop [email protected] Township, voluntary Chapter 11. As- » Abundant Parking with Multiple 248.324.2000 sets and liabilities not available. Building Entrances Redrye LLC, P.O. Box 346, Trenton, WWW.FRIEDMANREALESTATE.COM » voluntary Chapter 11. Assets: $206,840; Aggressive Market Rates ofﬁ ce eCODE 450 & 451 liabilities: $829,987. INFORMATION IS SUBJECT TO VERIFICATION AND NO LIABILITY FOR ERRORS OR OMISSIONS IS ASSUMED. WE HAVE NO REASON TO DOUBT ITS ACCURACY, BUT WE DO NOT GUARANTEE IT. — Shawn Wright DBpageAD.qxp 3/25/2011 11:54 AM Page 1 20110404-NEWS--0006-NAT-CCI-CD_-- 4/1/2011 5:09 PM Page 1

Page 6 CRAIN’S DETROIT BUSINESS April 4, 2011 OPINION LETTERS Midtown shines amid Link tax cut to created jobs Editor: state should reward those that are that in Michigan? Call Sens. Cole- Crain’s recently outlined the willing partners with the state and man Young II and Hoon-Yung Hop- business tax plan for Michigan provide jobs. good, and House Speaker Jase Bol- brighter area outlook proposed by Gov. Rick Snyder Terry Warns ger to demand that they push for (“Snyder tax break for business: Ortonville an Australian-type supertax on 60%,” March 14). profits from your resources. idtown may just be Detroit’s new sweet spot. There is no doubt that the Jack Parker In a city that needs some wins, consider the sto- Michigan Business Tax may dis- Budget help exists Mining engineer Baltic M ries in this week’s issue alone: courage business and job creation in Michigan’s mines First, Whole Foods, the gastronomic mecca for foodies of in Michigan. However, this plan is Editor: a high-risk proposal. The cost of Gov. Rick Snyder tells us that we Fee schedule proposal all stripes, is considering a Midtown location. (Page 1) the plan is $8 billion over five Second, The Collaborative Group, a network of entrepre- are broke, that we are facing a $2 just a money grab years. billion deficit — and that we must neurial talent based in Birmingham, is about to launch the De- Snyder says this will create jobs make dreadful cuts in spending. Editor: troit Challenge, bringing 30 young professionals around the in Michigan. However, unless he There is, however, a potential The proposed imposition of a country to Midtown to live and work and, presumably, blog or has already brokered a deal with remedy on our doorstep, in that “fee schedule” upon health care employers to add jobs in Michigan, providers, as well as the efforts by tell others through social media about their adventures. (Page 1) the Legislature is giving away sim- this plan does not reward any busi- ilarly valued amounts of our nat- the insurance industry to end the Third, the city of Detroit has found a way to finance the ness for creating jobs. The $8 bil- ural resources — specifically, met- unlimited medical benefits cur- light-rail line along Woodward Avenue, which likely will add lion tax cut is available to Michi- al ores — that could instead be rently protecting Michigan fami- to Midtown’s luster. (Page 3) gan-based businesses whether they applied to the deficit. lies, is nothing more than the cre- create a job or not. They could even ation of a false crisis to justify the Fourth, a national Jewish group, Moishe House, is creating The Eagle Deposit in the Upper move jobs from Michigan to Ohio, insurance industry’s limitless pur- a Motor City version to provide subsidized housing for young Peninsula is to be mined by Rio Indiana, Illinois or China and re- Tinto, a London-based “mining gi- suit of profits. adults in Midtown. (Page 16) ceive the tax cut. ant” corporation. Under the current system, no in- These stories are just the most recent in a slew of an- One method to reduce the risk The value of the metals therein is surer will ever pay more than nouncements regarding confidence in Midtown, including with this plan is to provide tax in- around $4.7 billion, with much $500,000 for medical expenses for a centives only to Michigan busi- catastrophically injured person. Af- how the three major Midtown employers — Detroit Medical more to come. The state has no firm nesses that can demonstrate they plans for taxing the profits on that ter the carrier has paid $500,000 in Center, Henry Ford Health System and Wayne State Universi- brought new jobs to Michigan. income — which will go offshore. benefits, the carrier is reimbursed ty — would offer stipends for employees who buy homes or New businesses can get the best At the Flambeau Mine in Wis- for every dollar spent beyond that rented apartments in Midtown. rate, such as a 60 percent reduction consin, Rio Tinto paid a miserly amount from a fund established by the insurance industry to spread Add to that the predictions made by entrepreneur Josh on MBT. Current businesses that 2.5 percent to the state. hire additional employees can get a Considering the magnitude of the the risk among carriers. This fund Linkner at the Idea: Detroit conference Crain’s sponsored on reduced rate, to 60 percent. Busi- loot and the probability that more is known as the Michigan Cata- March 23 — that the Detroit Venture Partners fund he helped nesses that do not invest in Michi- mines would follow, let it be known strophic Claims Association and to create with fellow investors Dan Gilbert and Brian Her- gan jobs do not get a tax break. that we, the people, want a fair currently has more than $13 billion in assets available to fund the care melin would begin to make deals to bring early-stage technolo- Under this simple modification, share of the income from Michi- if jobs are created, then the cost of catastrophically injured citizens. gy companies to downtown Detroit. gan’s nonrenewable resources. will be less than the $8 billion. If Let us follow the lead of Aus- The fund currently pays out Even regional economic news is looking up, with a drop in no new jobs are created, then tralia, which recently placed stiff about $800 million per year in med- the state’s jobless rate and a huge jump in the Southeast Michi- Michigan will save the $8 billion. taxes (initially 40 percent) on ex- ical expenses and takes in more gan Purchasing Managers Index. That index, compiled by the Only private business can grow cessive income from resources. than $800 million per year in pre- business school at Wayne State University, jumped 8.3 points the economy of Michigan. The Can we get a mining tax like See Letters, Page 7 in March to 71.8 — a post-recession peak. (See full story, crainsdetroit.com.) And just 13 percent of the purchasing managers responding think the economy will get worse in the months ahead. TALK ON THE WEB So the rising tide is lifting all boats. For additional inspira- tion, consider the Big Ideas on Pages 9-12, highlighted at the From www.crainsdetroit.com same Idea: Detroit conference as unconventional ways to tack- Re: The reincarnation of Joe Muer’s Re: Black chamber of commerce le some of the region’s thorniest problems. (Planting mustard Reader responses to stories and This should be interesting, with What are they going to do about blogs that appeared on Crain’s seeds to harvest for biofuel and recycling building materials two accomplished restaurateurs the overbearing taxes in the city? from abandoned homes are just two Big Ideas.) teaming up. Web site. Comments may be disxus edited for length and clarity. Nothing will restore Detroit to 1 million residents Mark Cory Re: ‘Why stay in Detroit?’ overnight. But the future isn’t as dark as some pundits would Re: State needs regional power grid Detroit clearly has its issues, but predict. Our state and local tax burden is is it that Michigan’s business associa- the difference today is that young almost exactly the same as Indi- tions support competition among people are willing to take on the Momentum is building. It’s tangible. ana’s, but the electric rate for fac- schools but oppose competition be- challenges and invest themselves And it’s a new generation of investors and entrepreneurs tories is 25 percent higher. Compe- tween electric companies? in the city. ... I like Detroit’s chances. who will be leading the way. tition can cut that difference. Why David Waymire Yosarian.Heller

KEITH CRAIN: I hope there is a market for nostalgia Last week, I was very pleased to But it brought to mind Best Buy? Probably not. rants across the country, I hope for paste stopped selling that product. see that Joe Vicari has acquired all just how many Detroit And as much as he the success of Sonic but have my My father was outraged and in- the rights and trademarks for Joe staples might have a was an institution on concerns. It’s still fun to realize censed. When he realized that he Muer’s restaurant. chance at resurrection. television, could Mr. that there is a place for a drive-in, couldn’t buy the company, he went If all goes according to schedule, There was a rumor Belvedere compete in even if the chain is small. out and bought enough tubes of the new Joe Muer’s restaurant will that someone is plan- today’s very competi- And we probably shouldn’t stop toothpaste to last a lifetime. open in the RenCen at the site of ning to reopen the Lon- tive construction and at just businesses. There are plen- I hope for nothing but success the old Seldom Blues. don Chop House, but remodeling business? I ty of products over the years that for Joe Vicari and his new/old I have no doubt that Joe Muer without Lester Gruber, doubt his business died because they simply didn’t venture. It will be great to see Joe will be front and center greeting I am not sure that it would survive today. have enough customers or maybe Muer acting as host, and I am sure everyone who comes through the could make it. I’ve watched with they weren’t good at marketing or it will be a great fish restaurant. door. It will be great to have him — If Highland Appliance great interest as Sonic were simply replaced by better But most businesses die for a and the restaurant — back. A great all of a sudden showed has re-created the dri- and less expensive products. reason. We can mourn them but, name and a great location right on up on the radar, would the stores ve-in restaurant. With thousands I remember when the company for most, not try very hard to res- the waterfront. be able to compete with the likes of of drive-through fast food restau- that manufactured Ipana tooth- urrect them. 20110404-NEWS--0006,0007-NAT-CCI-CD_-- 4/1/2011 12:37 PM Page 2

April 4, 2011 CRAIN’S DETROIT BUSINESS Page 7 MARY KRAMER: It’s time to see Detroit through young eyes A lot of 20-somethings in our re- goals of attracting ties, to name a few. Speeches of honorees Marian, Marian Ilitch even described the gion don’t look at Detroit like their young professionals to Kind of like Face- calculated risks she and her hus- parents do. That’s good news for spend time or live in book, in person. Denise Ilitch worth a read band made, from buying the the city’s future. Detroit. As director of busi- It’s spring, and nearly every “Dead” Wings in 1982 to buying Just a week after census figures Yodit Mesfin John- ness development for night has a recognition event to and renovating the Fox Theater. put the city’s population at just son, an African-Ameri- Ann Arbor-based NEW, support good causes. One worth You can find the full text over 700,000, a racially and ethni- can who attended De- Johnson’s job includes mentioning: The Michigan of their remarks by going to cally diverse group of 20-some- troit Harmonie’s kickoff helping nonprofits to Women’s Foundation’s annual my column on the Crain website things drew about 50 foundation event last fall at the Vir- diversify their govern- dinner marked the first time a at www.crainsdetroit.com/ and corporate executives to a lun- gil Carr Center in Har- ing boards. By partner- mother-daughter combo were hon- section/MaryKramer. cheon last week to present a busi- monie Park, supports ing with Detroit Har- ored with the foundation’s lifetime ness case for a new venture, De- the project. She de- monie, she was able to achievement awards. Mary Kramer is publisher of troit Harmonie. scribed the fall event as promote her own Marian Ilitch and daughter Crain's Detroit Business. Catch her The case they made: Young “like having the United board-recruitment Denise were the honorees, and take on business news at 6:10 a.m. adults don’t have the emotional Nations at the table” with young event a few weeks later and signifi- their remarks were worth hearing Mondays on the Paul W. Smith show baggage their parents have about professionals who represented cantly boosted the number of Oak- because they both spoke to the val- on WJR AM 760 and in her blog at the city’s history and are poised to Asian, Arab, Jewish, African- land County young professionals ues and motivations that led to www.crainsdetroit.com/kramer. help create and support a dynamic American and Hispanic communi- volunteering to serve on boards. success. E-mail her at [email protected]. urban lifestyle that’s welcoming to all races and ethnicities. The tagline for Detroit Harmonie is BROUGHT TO YOU BY “It’s about time.” Created by young Jewish professionals, Detroit Harmonie has caught the ear of established power brokers such as attorney Ira Jaffe and entrepreneur Dan Gilbert. In fact, Jaffe hosted last week’s luncheon that was led by TITLE SPONSOR Jordan Wolfe and Jeffrey Epstein, two young entrepreneurs with for- profit Web-based businesses. Wolfe and Epstein are trying to thank you raise $200,000 to be able to fund Crain’s Detroit Business and Advertising Age thank the three or four small projects that LUNCH SPONSOR support the Detroit Harmonie presenters, sponsors and 425 guests who attended the IDEA: Detroit Conference on Wednesday, March 23. This event highlighted the reinvention and revitalization of LETTERS CONTINUED businesses and organizations led by Detroit entrepreneurs. ■ From Page 6

miums. The fund is cash-flow posi- MAJOR SPONSORS tive, before you even consider the income derived from investments. To put things in perspective, the entire state of Michigan is looking at a $1.8 billion deficit in 2011. The MCCA is sitting on between $11 billion and $13 billion and grows by about $1 billion every year. If a bill is passed, the predicted result will be no reduction in premiums, job losses in the health care industry, a SCHOLARSHIP SPONSORS diminished quality of care for seri- ously injured individuals and huge increased profits for carriers. Moreover, imposing a fee schedule upon doctors, hospitals and therapists is the ideological oppo- site of what should be expected from “free-market Republicans.” Craig S. Romanzi Romanzi Atnip PC Waterford Township NOTEBOOK SPONSOR Nuclear power vital Editor: As callous as it may sound, my first reaction to the Japanese nu- VIP RECEPTION SPONSOR clear crisis was tremendous disap- pointment and fear that America’s expansion of nuclear power will stall. Except for his statement about ships not having an alternative to SUPPORTING SPONSORS fossil fuels, Keith Crain’s March 21 column “We cannot ignore the benefits of nuclear power” was right on. Ships can and do apply nuclear power. A recent Engineering Society of Detroit seminar update on the nuclear industry was enlightening and encouraging. We need a thou- CHARGING STATION SPONSOR PARTNER sand Keith Crains to help portray the positive aspects of nuclear power to the people of the United States. For full conference coverage, visit www.crainsdetroit.com/events Joel G. Bussell Adjunct faculty, University of Phoenix and click on recent events Former technical marketer, Dana Corp. DBpageAD.qxp 3/25/2011 12:05 PM Page 1

8-10 employees

Web site

High- volume Large graphic Wants to e-mail attachments and be home by streaming video 5:30 pm

Basic phone service

WE ALWAYS SIZE UP YOUR BUSINESS NEEDS TO TAILOR THE PERFECT FIT.

%ULJKW+RXVH1HWZRUNV%XVLQHVV6ROXWLRQVRIIHUVFXVWRPL]HGVROXWLRQVWRPHHWWKHXQLTXHFRPPXQLFDWLRQQHHGVRI\RXUEXVLQHVV 0DNLQJVXUHRXU%XVLQHVV3KRQH%URDGEDQG,QWHUQHWDQG%XVLQHVV79VHUYLFHVÀWSHUIHFWO\ZLWKEXQGOHVWKDWXSJUDGH\RXU FDSDELOLWLHVZKLOHFXWWLQJFRVWV$OOZLWKWKHSHUVRQDOORFDOO\EDVHGVHUYLFHDQGVXSSRUW\RXUEXVLQHVVGHVHUYHV

%URDGEDQG,QWHUQHWDQG %XVLQHVV3KRQH6HUYLFH DVORZDV &DOO RUYLVLWXVDWEULJKWKRXVHFRPEXVLQHVV SHUPRQWK

$TKIJV*QWUG0GVYQTMU5GTXKEGCDNGCTGCUQPN[5QOGTGUVTKEVKQPUOC[CRRN[ 2TKEGUGZENWFGVCZGUCPFIQXGTPOGPVHGGU(GCVWTGFTCVGTGSWKTGUC[GCTEQPVTCEV 5GTXKEGURTQXKFGFCVVJGFKUETGVKQPQH$TKIJV*QWUG0GVYQTMU1HHGTGZRKTGU 1HHGTUWDLGEVVQEJCPIGYKVJQWVPQVKEG 20110404-NEWS--0009-NAT-CCI-CD_-- 4/1/2011 11:51 AM Page 1

April 4, 2011 CRAIN’S DETROIT BUSINESS Page 9 Idea: Detroit conference ARTS/CULTURE Idea: Pro-Detroit video contest The recent Su- Finalist per Bowl TV ad by Chrysler inspired Melissa Mengden Bunker, a con- sultant to the Cul- tural Alliance of etroit has problems. Southeastern People have creative Michigan, to won- D ideas to solve them. der what she’d As part of the March 23 Idea: say about the Detroit conference convened by city if she had Crain’s Detroit Business and Melissa two minutes on Advertising Age, we asked read- Mengden Bunker national televi- ers to think of ways to solve “Take Two” sion. thorny issues. That thought More than 160 ideas were sub- sparked her idea for a local video mitted in five categories. Our contest called “Take Two: Change judges (see below) picked five the Conversation by Changing the winners, five finalists and the Channel and the Voice, Two Min- best idea submitted by a univer- utes to Reinvent and Revitalize sity student. Those Big Ideas the City.” are described starting here and JOHN SOBCZAK “I think we need to be reminded continuing through Page 12. In a month or two, Margarita Barry plans to open 71 Pop in this Midtown storefront, hosting works for sale by artists that we do have pride in this com- and entrepreneurs on a rotating basis. The sellers would benefit by not having to sign a long-term lease. Idea: Detroit and this compe- munity … we’re staying here for a tition may inspire funders, in- reason, and we have things to take vestors and institutions to en- advantage of,” Bunker said. gage in helping Big Idea Idea: Short-term brick-and-mortar retail space for creatives She and the Cultural Alliance thinkers take the next step to would invite not only patrons of see their ideas to fruition. An incuba- Once the goal of having 71 sell- ly in her character. She left a de- the local arts but people from all If you or your organization Winner tor or business ers rotate through the space has gree in graphic design and jour- over the region to pull out their wants to connect with one of accelerator been met, she would consider nalism hanging at Bowling Green cell phones and shoot a two- the finalists or winners, email Margarita Barry seems to pop charging fees to keep the busi- State University in Ohio to come minute video on what they think Web editor Gary Anglebrandt at 71 Pop up every other ness going. Ideally, the sellers by back to her native Detroit and get is cool in Detroit. The campaign [email protected]. week these that point would be successful married. would target local audiences. days, but Margarita Barry’s idea enough to support the project. Since then, she has graduated The Cultural Alliance would post brings a twist to that popping Websites such as eBay.com and from Bizdom U’s entrepreneur- those videos on a website, drive AND THE WINNERS ARE ... sound. Etsy.com are existing outlets for ship boot camp and started an traffic to it and take votes on the Arts/Culture Her idea is 71 Pop, a retail creative entrepreneurs, but the ever-changing number of pro- best video, with the winner getting Winner: Margarita Barry, Page 9 space at 71 Garfield in Midtown personal connection is less avail- jects: a chance to hang out with a celebri- where entrepreneurs and artists able in those settings. Barry sur- Detroit Design Lab: Barry’s ty. Depending on the amount of Finalist: Melissa Bunker, Page 9 could sell their wares for short veyed 400 local designers, and “day job.” The lab, which she funding behind the competition, the Environment terms in retail spaces. The space 90 percent of them said they were owns, provides graphic and Web winning video could be distributed Winner: Lindsay Aspegren would fit up to five small shops, dissatisfied with the available design for small businesses. One or circulated beyond that website, and John Langs, Page 9 and the sellers would rotate opportunities to sell their prod- recent project was the redesign of said Bunker, who founded her Finalist: Tony Infante, Page 10 every one to two months. ucts. the website for Cliff Bell’s night- Grosse Pointe-based consultancy Entrepreneurship It’s an idea that Barry has been “People can actually go in club and restaurant. MarketWrite LLC in 1995. Winner: Amanda Johnson, Page 10 trying to get off the ground in there and experience it and then IAmYoungDetroit.com: Barry’s Before that, she served as direc- Finalist: Joe Gough, Page 10 earnest for a year. go back and tell their friends, and site for showcasing young talent tor of marketing for the Music Hall Once up and running, the ben- friends can go back the next day in the city. Center for the Performing Arts in De- Education efit for sellers, Barry said, would or the next week,” she said in her A vintage-inspired fashion troit for about two years and spent Winner: Richard Thibodeau, be experience in a brick-and- video presentation for the Big line: She’s still working on a a decade in real estate as a leasing Page 10 mortar setting without being Ideas competition at the Idea: De- name for her new line of clothing. agent for companies including The Finalist: Deborah Parizek, Page 10 tied to an expensive lease. Barry, troit conference. Expect an announcement soon. Taubman Co. and the former Cordish Population who has signed a lease for the lo- Barry, 26, isn’t waiting for oth- BING Roundtable: Barry is a Embry & Associates, the Baltimore- Winner: ‘Do it in Detroit,’ Page 11 cation, hopes to provide the ers to approve of her idea. She member of Mayor Dave Bing’s based developer for the former Finalist: ‘Rock the Block,’ Page 11 space for free by funding it with has signed a lease and plans to initiative to encourage younger Trapper’s Alley retail develop- an $8,000 Kickstarter.com cam- open 71 Pop in May or June. people’s ideas for the city. ment in Detroit’s Greektown. Student submission paign. Not waiting seems to be entire- — Gary Anglebrandt — Sherri Welch Winner: Marta Hrecznyj, Page 12 OUR JUDGES Diane Durance, executive director, Ann Arbor-based Great ENVIRONMENT Lakes Entrepreneur’s Quest, a nonprofit business competition to support formation of high-growth companies in Michigan. Winner Idea: Tear down Detroit’s abandoned houses and recycle the materials Aaron Dworkin, founder and president, Sphinx Organization, a The biggest challenge facing Project “How can anybody think that is a good lion project and have been working with national arts organization that Green House is taking its idea to build an idea?” he asked. foundations and alternate funding includes a cultural competition for advanced recovery center to recycle ma- Project Green House’s plan is to sepa- sources targeted at fixing the problems classical musicians of color. terial from Detroit’s abandoned homes rate and sort up to 95 percent of the mate- with abandoned houses in Michigan. Rishi Jaitly, co-founder, Michigan and turning it into a reality. rial collected from abandoned homes — “This is an opportunity for Michigan Corps (a Detroit-based nonprofit The city of Detroit is infamously home which it would sell to various industries. to be a leader when it comes to restoring devoted to entrepreneurship and at least 50,000 uninhabited homes, and it For example, it plans to sell the wood value in our urban cities,” Aspegren with an advisory board of successful simply cannot cope with the high cost as fuel for renewable energy, the mason- said. “We can do that by eliminating Michigan expatriates) and Detroit- associated with them. ry as basement backfill and the steel to abandoned housing that detracts from based program director for the John S. and James L. Knight Foundation. Lindsay Aspegren, general partner of industries that use the metal. every single home and structure in the North Coast L.L.C, says traditional demoli- Since Project Greenhouse is a non- city.” Nancy Kaffer, Crain’s Detroit Lindsay Aspegren Business, an award-winning (pictured) tion is slow and costly and results in profit, all proceeds will be funneled back Aspegren said the pair is working to reporter whose beats include and John Langs 100 percent of the material being into the company’s efforts. build relationships with host cities Detroit entrepreneurship and Detroit. Project Green dumped in a landfill an hour’s drive Aspegren and his cohort John Langs and Flint to make the project a reality. House west of Detroit. are looking for financing on the $5 mil- — Nathan Skid 20110404-NEWS--0010,0011-NAT-CCI-CD_-- 4/1/2011 11:08 AM Page 1

Page 10 CRAIN’S DETROIT BUSINESS April 4, 2011 Idea: Detroit co ENVIRONMENT ENTREPRENEURSHIP Idea: Make a television series to show Idea: Develop an at-home virtual call center to help single moms es

As a single to keep mortgages or rent paid, poverty and provide parenting ed- the importance of the Great Lakes Winner mother of five lights on … and (dealing with the) ucation. daughters, additional stressors of transporta- The concept also earned John- After attend- viewers connect emotionally and Amanda John- tion.” son a semifinalist slot in the Ac- Finalist ing the Great act responsibly on behalf of the son struggled Johnson, a past community liai- celerate Michigan Innovation Lakes Restora- Great Lakes. The documentary firsthand with son and organizer with Great Start Competition held late last year. tion Project in also will focus on the people most “the economics Collaborative-Wayne County who Under Johnson’s plan, single 2005, Tony In- affected by the lakes, including of it,” both on holds a master’s degree in higher mothers would be provided with a fante was in- anglers, divers and even politi- the time and fi- and post-secondary education, aca- computer, printer, headset and spired to get the cians. nancial fronts. demic affairs and student services paid Internet access to equip them word out about Infante hopes to have the docu- “Parents … from the University of Michigan, to be virtual call center employees the importance mentary completed by 2012 or secure a child’s hopes to turn the connections she’s in their homes. They’d keep the Michigan’s 2013, but a lack of funding is mak- family future — forged and her education to the equipment after six months of em- Great Lakes ing it difficult. Currently, his Amanda Johnson they’re the benefit of other single mothers. ployment. play in the remain goal is to find a major spon- Precise Parenting dream weavers,” Late last year, she founded Pre- They’d also receive training in gion — and the sor. she said. cise Parenting LLC, a Detroit-based call center etiquette and parenting rest of the “But poverty is so paralyzing company that aims to provide at- classes. Tony Infante In addition to highlighting the world. because you’ve got all of these oth- home virtual call center work for Working at home alleviates Great Lakes beauty of the Great Lakes, Infante Legacy Project Infante has er demands on you as well — trying single mothers to pull them out of transportation worries and allows also wants to give attention to the created the fact that the region has one of the Great Lakes Legacy Project, which is a television series that would largest freshwater supplies on showcase the Great Lakes’ natural Earth yet little is understood Finalist Idea: Create an ‘American Idol’-style show for budding en resources. about how to protect and care for “Our goal has been to create it. Using his the business launch process from companies and entrepreneurs to communication on a global audi- “The most immediate tangible background in the selection of the companies to a receive seed funding to get concep- ence,” Infante said. “Michiganders is that we need to address water multimedia pro- final tournament competition. tual innovation into prototype- or are well aware of the power and quality issues, invasive species duction, Joe Judges and the public would vote beta-phase programming. And majesty of the Great Lakes, but a coming in, stormwater systems … Gough decided for the best early-stage company once in a beta or prototype, he lot of people around the country and the economic opportunities to creatively ad- to win a $1 million prize from the said, there are not adequate mar- aren’t.” for the region,” Infante said. “But dress the need sponsoring venture capital compa- keting vehicles to attract first cus- The documentary’s format (the Great Lakes) is a liability if for getting seed ny. tomers and follow-on investors. would feature stories told by jour- the funding and investment isn’t funding into the “When you put it on TV, it “The idea of producing any mul- nalists and filmmakers, Infante made into protecting it.” hands of up-and- changes the paradigm — hundreds timedia programming around an Joe Gough coming entre- of thousands of investors will see entrepreneurial program is that said, with the intention to make — Shawn Wright “Adventure preneurs. it,” Gough said. “And then it gives Michigan investors have a tough Capital” Gough’s “Ad- a chance for first-adopters to see time getting their arms around the venture Capital” is a concept for it, give good feedback and then creative realm,” Gough said. “The an “American Idol”-style reality give good word of mouth.” only folks who have gotten around television series that would follow Gough said it’s difficult for new it are people like Josh Linkner.” ShowShow Them Them What What YouYou StandStand For For EDUCATION Winner Idea: Mobilize older adults to help out in Detroit Public Sc is a commitment BBB Accreditation A lot of plans Thibodeau, 71, envisions a There’s benefit for the senior, to fairness and honesty that lets for Detroit’s fu- group of active older adults volun- too, he said. ture hinge on teering in Detroit Public Schools “So many of our adults are consumers know you are a business young people, classrooms, bringing decades of afraid of our teenagers,” he said. motivated ur- knowledge and expertise to the “There’s a chasm between the they can trust - a business that banites or entre- children who need it the most. ability of adults to dialogue with preneurs pas- “I think there’s a lot of seniors teenagers.” honors its promises and embodies sionate about out there who are at our doughnut Thibodeau is working to bring revitalizing the shops and senior centers who his idea to fruition, reaching out confidence they deserve. city. would be interested to help,” Thi- to DPS and taking an inventory of Richard Thi- bodeau said. senior organizations in the area. Your customers start with Richard bodeau has a But, he said, “The schools have Thibodeau notes that the district Thibodeau bbb.org. different idea. to put the welcome mat out.” currently uses volunteers in men- Seniors in Thibodeau It’s important to understand, toring programs and in the DPS Schools Shouldn’t you? proposes using a Thibodeau said, that his plan calls Reading Corps. different kind of human capital — for the senior to assist the teacher, “Current inventories of service the metro area’s senior population. not usurp the teacher’s authority. clubs, how to contact them, who

Finalist Idea: Incorporate innovation skill-building into middle, hi Deborah ing, gathering feedback and reflec- with a process to be true innova- Parizek, execution. tors and creative thinkers.” tive director Her idea incorporates creativity Since 2007, the program has re- and director of and innovation skill-building into ceived $1.45 million from the Ford education for the curriculum taught at Henry fund, the W.K. Kellogg Foundation, the Henry Ford Ford Academies, which serves mid- Skillman Foundation and the Bill and ® Learning Institute dle and high school students. Melinda Gates Foundation. Start With Trust in Dearborn, Parizek said the idea came Parizek said they initially began had an idea to while talking with Mike Schmidt, talking with Ideo Product Develop- use what’s director of education and commu- ment Inc. in Palo Alto, Calif. From Better Business Bureau dubbed “Design nity development for the Ford Mo- there, she was introduced to David Serving Eastern Michigan and the Upper Peninula Deborah Parizek Thinking” as an tor Co. Fund about what employers Kelley, founder and chairman of Design Thinking approach for need and who they want to work Ideo, who is also head of the Hass Call 248-223-9400 to learn more students and with. Plattner Institute of Design at Stanford or go to bbb.org adults to build understanding, de- “(But) if we say that students University — called the d.school — fine problems and build new ideas. need to be creative problem- which focuses on design thinking. The process includes prototyp- solvers, we need to provide them Parizek said one of the next 20110404-NEWS--0010,0011-NAT-CCI-CD_-- 4/1/2011 11:08 AM Page 2

April 4, 2011 CRAIN’S DETROIT BUSINESS Page 11 oit conference POPULATION ms escape poverty Idea: ‘Do it in Detroit’ outreach

single mothers to care for their children. campaign targeting college students The concept of virtual call cen- Philip Lauri and Travis Wright ters isn’t unique. Companies such got to know each other through as Jet Blue and 1-800-Flowers.com their work at use it, Johnson said. The innova- Winner Detroit Lives, a tion is targeting stay-at-home sin- media-oriented Managing wealth is more than investing. gle mothers. nonprofit that seeks to tell a more Find us at PMFA.com. “To me, the beauty of this idea positive story of the city through is it’s a very low-cost way to get a art, films and clothes. lot of people back to work,” John- Lauri founded and runs Detroit son said. Lives. He sometimes seeks the tal- She’s now refining her business ents of Wright, the arts and cul- Lauri Wright UPCOMING BREAKFAST ROUNDTABLE: plan for Precise Parenting, propos- ture editor at Metro Times. ing to use the Detroit’s north end The idea they are working on is “For the guy who is looking to and Brightmoor neighborhoods as to create a college outreach pro- go to Chicago and work in an of- April 12 pilot areas, and she is seeking gram called “Do it in Detroit.” The fice, Detroit might not provide the The Tax Laws Have Changed: Are You Properly Insured? funding. main feature of which would be right incentive for him,” he said. — Sherri Welch an “achingly hip multimedia pre- He should know. He was that sentation” to reconfigure college guy. Born in Rochester, he gradu- All roundtables will be held from 7:30-8:30 a.m. at students’ opinions about Detroit. ated with a bachelor’s degree in 27400 Northwestern Hwy., Southﬁeld, MI 48034. They plan to start this spring business from Michigan State Uni- ng entrepreneurs or fall by visiting local colleges versity and went on to work in Visit roundtables.pmfa.com to register. Seating is limited. and universities and then gradu- Chicago for a company that Linkner, founder and chairman ally spread outstate. sourced process chemicals for the of Pleasant Ridge-based ePrize Inc., The presentation will include oil industry. is a partner in the Dan Gilbert- examples of others who are “do- “My heart wasn’t in it,” so he launched Detroit Venture Partners ing it in Detroit” already — peo- went to work for a marketing LLC that has expressed serious in- ple who are doing well living and firm in Portland, Ore., handling terest in Gough’s idea. working here. an account for the shoe company The next step for Gough’s “Ad- “We don’t want people to feel Crocs. After being laid off when INVESTMENT MANAGEMENT I *TRUST SERVICES venture Capital” is getting fund- like they’re some sort of pioneer, the recession hit, he came back to *INSURANCE SERVICES I *TAX PLANNING ing for the production costs. that they’re going it alone,” Detroit and started Detroit Lives. ESTATE PLANNING I WEALTH MANAGEMENT Gough has a nonprofit and radio Wright said. Wright is originally from BUSINESS TRANSITION I PHILANTHROPIC PLANNING show called “Inspire Michigan” on Their goal does not have to be northern Ontario, moved to QHHGTGFVJTQWIJCHſNKCVGUQH2/(# WDTK AM-1400. The nonprofit fo- ambitious to be successful, they Southfield when he was 9 and lat- cuses on economic development say. Lauri and Wright estimate, er studied English at Wayne State by supporting innovation and en- according to studies and research University. (He plans to finally take trepreneurship. they’ve read, that attracting only the math test that should allow — Shawn Wright five college graduates to the city him to graduate soon.) He spent every year for five years could three years working at Real De- generate nearly $5 million in tax- troit Weekly and also wrote a mu- able income given average na- sical called “Chai” (meaning tional salaries of $39,000. “life” in Hebrew) that was com- Detroit is particularly suited to missioned by the Jewish Federation “ambitious, self-starter types,” of Greater Detroit. lic Schools classrooms Lauri said. — Gary Anglebrandt the president is, and then, with the help of Pontiac and Detroit public schools, to put the word out and say, ‘Hey, we need you,’ ” he said. Idea: ‘Rock the Block’ TV program about “To challenge Kiwanis, Knights of Columbus (and others) to come on board. drive for more walkable neighborhoods “It’s a win-win. I think it would make seniors’ life more vibrant,” Joe Gough spent his college ca- a walkable city.” he said. “And to turn the economy reer at Wayne State University, liv- But a produc- around in this state, we need to ing for four years on the universi- tion like “Ex- have more kids educated better. If ty’s campus at Forest Avenue and treme we really do a better job of educat- Second Street. Makeover” is ing kids because of involving se- Finalist From that ex- difficult to repli- niors, it will have a tremendous perience, and cate without payoff.” being a part of Detroit ever since, corporate spon- — Nancy Kaffer he noticed that the city needs sorship, Gough more walkable neighborhoods said. While that provide strong public safety Gough “Rock the and aesthetics. Block” might be Gough’s idea is a television pro- relatively easy to do once, as a se- e, high school curricula gram called “Rock the Block,” ries, it can’t work without exter- steps is to work with other schools which is a renovation and com- nal help. in Detroit, and around the coun- munity-pride reality television se- Gough said he is trying to get try. ries. The idea is that it could be corporate sponsors for the show The long-term investment for broadcast on public television and and is talking with businesses the program has come from Ford a website that would feature ef- such as Quicken Loans Inc. Detroit and The Henry Ford, which are forts in Detroit that result in more Public Television has also shown an founding partners of the learning livable, walkable neighborhoods. interest. institute. The idea has been whittled to “We’ve gotten excellent feed- “Henry Ford did it back in the two neighborhoods — West Vil- back from PBS,” Gough said. 1920s. He felt people learned best lage, near Indian Village, and the “What this comes down to is find- through hands-on learning, which Woodbridge neighborhood near ing investors with vision … people is essential for real learning. The Wayne State. who want to get involved with so- Henry Ford Learning Institute is “It would be a true philanthrop- cial entrepreneurship and putting the embodiment of that 1929 strat- ic multimedia program, like ‘Ex- it into a multimedia world.” egy, but with a 21st-century expe- treme Makeover: Home Edition’ Nurturing city support is an- rience.” on steroids,” Gough said. “It gets other important element, he said. — Shawn Wright this idea going that Detroit can be — Shawn Wright 20110404-NEWS--0012-NAT-CCI-CD_-- 4/1/2011 11:07 AM Page 1

Page 12 CRAIN’S DETROIT BUSINESS April 4, 2011

DUSKY N A S Idea: Detroit conference OH IO

I was just voted CFO. STUDENT SUBMISSION fficer) (Chief Fun O Idea: Grow plants on vacant land for biofuel All the credit went to me for planning an incredible Wayne State University student Clean Emission Fluids Inc. outing, even though Cedar Point did most of the Marta Hrecznyj sees fields of yel- “I’ve got a lot of things already work. Thanks to them, our entire group had low and white flowers covering in motion but still need help look- a blast. Cedar Point had something for Detroit’s thousands of acres of va- ing at land leasing and logistics,” everyone: tasty food, sizzling shows, a cant land. she said. “This project is scalable, beach, and of course the best rides While many want vacant land and I’m hoping to show the city filled with community gardens, that this can work.” ISTOCKPHOTO.COM in the universe. Hrecznyj, 23, believes in vegeta- — Dustin Walsh Mustard flowers.

w The friendly staff took care of tion that can produce more than Ne r! eke Se ind just food but a sustainable source W everything; from making sure we got the of fuel — or, biofuel. absolute best deal on tickets, to catering an Hrecznyj, ma- all-you-can-eat meal. The planning went by Winner joring in elec- just as fast as some of the rides. tronic arts at Your Bank’s WSU, partici- Cedar Point also has a discounted ticket pated in WSU’s program that’s good any day! Just visit competitive entrepreneurship Not Lending? cedarpoint.com/groups or call 1-800-448-2428 to get all the details on both programs. summer program, the E2 You’ll have the time best time ever! Challenge, Later, where she re- Linda searched waste grease reuse. Marta Hrecznyj Through the program, she be- WSU gan studying different flora and its use in biofu- els. “The idea comes from my skep- ticism of urban farming, which is- n’t that versatile and is limited (in Detroit) because of contamina- tion,” she said. “After learning about mustard seed, it got me thinking about its potential here.” ©2011 Peanuts Worldwide LLC. Peanuts.com By planting mustard seed in the ours are summer and pennycress in the winter, Detroit’s emptiness can be . rife with beautiful vegetation that Call for a free consultation. can be used to produce biofuel for Loan amounts: $1,000,000.00 and above. use in cars, tractors and manufacturing equipment. s Investment Real Estate s Equipment An acre of mustard seed can s Owner Occupied Real Estate s Turnaround Consulting produce 61 gallons of biofuel and s Lines of Credit s Loan Modiﬁcations is sustainable. s Accounts Receivable s Bank Workouts Hrecznyj plans to launch a pilot project this summer on a parcel of land in the city; she is still identi- fying a site and seeking a lease. She’s applied for an undergradu- ate research grant, worth between $1,300 and $2,300, to move the project forward. 800.509.3552 She’s currently receiving direc- www.eclipsecapitalgroup.com tion from Cynthia Finger, busi- 2207 Orchard Lake Road, Sylvan Lake, MI 48320 ness manager for TechTown startup “Since 1997”

40 UNDER 40 NOMINATIONS Crain’s Detroit Business is seeking nominations for the 2011 class of 40 under 40, which recognizes young achievers based on factors such as financial impact and civic and community leadership. Winners will be profiled in the Oct. 3 issue, and Crain’s will celebrate their achievements at a late October awards event. To be eligible, nominees must be under age 40 as of Oct. 3, 2011. For sponsorship opportunities, please call (313) 446-6052. Nominations must be received by April 8. Visit www.crainsdetroit.com/nominate to fill out the online form. Questions? Contact Jennette Smith, deputy managing editor, at [email protected] or (313) 446- 1622. 20110404-NEWS--0013-NAT-CCI-CD_-- 4/1/2011 11:27 AM Page 1

April 4, 2011 CRAIN’S DETROIT BUSINESS Page 13 New Spark president: Build on assets, hang onto talent

BY TOM HENDERSON ment to spinning off tech- ternational Economic Development I’m divorced and had my kids from live in the U.S. to a very affordable CRAIN’S DETROIT BUSINESS nology is very important. Council, which is based in Wash- that marriage young. They’re place with all the amenities. The key thing is talent ington, D.C. JoAnn Crary, who is a grown. My daughter, Erin, is a And my folks are in their 70s Paul Krutko has been in attraction and retention. board member of the council and Ph.D. and college professor. My and still live in Cleveland, so that’s economic development Research shows that the president of Saginaw Future, which older son, Stephen, is a career mil- very compelling, too. for 31 years, the last nine talent that C-level man- is an organization similar to itary man, a captain in the Army I was heading into my first in- in Silicon Valley, first as agement hires is incredi- Spark, sent me a text in January, who just got back from Iraq, and terview at Spark and I saw the chief development officer bly mobile. They can be the day before Spark was ending my younger son, Benjamin, is a re- Google logo on the building where with the city of San Jose, recruited. The trick is to its recruiting, and told me I ought cent college graduate and living in I’m going to be working. That tells Calif., then as president hang on to the talent to look at this job in Ann Arbor. I Cleveland. you even companies in Silicon Val- and CEO of Peloton Devel- graduating from the uni- got online and sent in my informa- My second wife died and I’ve got ley go where they find opportuni- opment LLC, his own con- versities. Statistics tell tion. I’ve since been there three her two children to look after, a ties. sulting firm. you they’re prone to head times. stepdaughter in Portland and a I’m already telling my contacts On Tuesday, Ann Arbor to places like Chicago, I became more and more inter- stepson in Los Angeles. What I told in Silicon Valley, as you’re consid- Spark announced it had and we need to change ested during the interview the people at Spark was, “What I’m ering expanding, think of Ann Ar- Paul Krutko, process. hired Krutko, 55, as presi- Ann Arbor Spark that. really looking for right now is a bor. dent and CEO effective About three weeks ago, I got a great airport.” And I think Detroit Even when a company has only April 18 to replace Mike Spark is a major econom- call from Stephen Forrest telling has one. 10 employees, the entrepreneur is Finney, who joined Rick Snyder’s ic development engine. Any tweaks or me I’d been selected as their No. 1 thinking, “How am I going to de- team in Lansing as president of the changes in mind? candidate. It wasn’t a very difficult What’s your partner’s reaction to ploy my product and my people Michigan Economic Development Coming there from so far away, decision for me at all, and we very moving to Michigan? globally?” He may keep his 10 em- Corp. it would be presumptuous for me easily worked out the terms of my We both really liked Ann Arbor. ployees in Silicon Valley, and he To friends and colleagues in to say already that I’m going to employment. It felt like a combination of Palo might hire 10 people to write code California, the move must have change this or that. Alto and Berkeley. We liked the in Estonia. seemed counterintuitive, at the Spark currently has a strategic As Forrest, the Spark chairman and way downtown feels. The vibe is We’ll have a compelling story least. Krutko was leaving Silicon plan. After meeting with stake- vice president of research at the Uni- very compelling. why they should have 10 people in Valley, the center of all that is holders in the business communi- versity of Michigan, and other Spark Ann Arbor has a very affordable Ann Arbor, too. grand, high-tech and entrepre- ty and the staff, I’ll be in a better board members were doing their due cost of living. We’re moving from Tom Henderson: (313) 446-0337, neurial? For Michigan? Michi- position to give them some insight. diligence on you, you were obviously one of the most expensive places to [email protected] gan? When opportunities present them- doing due diligence on Michigan and Krutko, a Midwest native who selves, I’ll be ready. I’m a deal-clos- on Spark. What did you like? earlier in his career held a succes- er. The main thing is that a very It may seem odd to my fellow sion of posts in Ohio, including good foundation has been set Californians, but when you grow staff planner for the Cuyahoga there. They are on up in the Midwest, County regional planning com- the right path, clear- you have an affinity mission, assistant director of ly. I’m already for the Midwest. community development for the My impression of “ You’re a Midwest- city of Parma and finance manag- Spark and the telling my erner. And what bet- er for Cleveland, spoke from Cali- Spark board is they ter place for me to go fornia with Crain’s last week are right where contacts in in the U.S. than Ann about why Michigan and why they need to be, in Arbor and Spark to now. partnership across Silicon Valley, do what I know how the region. They re- to do? That’s really I imagine you’re getting a lot of ally have been at as you’re what motivated me. “What! Michigan? Are you crazy?” the cutting edge. This is a place I The hubris in this place is in- They understand considering can go and build on credible. There’s an arrogance and economic garden- what I know. It’s a disdain for other parts of the ing and the need to expanding, perfect for someone country, if they haven’t got out of incubate compa- think of Ann who believes in re- that bubble except to fly over some nies, as opposed to gional economic de- place. The reaction is: “You’re go- trying to lure them Arbor. velopment. And it ing there? It’s cold. And it’s crum- with tax breaks. ” helped that Gov. Snyder had been the bling.” Paul Krutko, There are many, many places in You just formed Ann Arbor Spark chairman at Spark. I the world that are competing to get Peloton last Novem- don’t have to edu- a share of the vitality Silicon Val- ber. First, I assume you’re a fan of bi- cate him. That’s a real driver. ley has cornered. Who would have cycling. Second, why would you take Today, California is eating its thought Austin, Texas, would be the job at Spark so soon after found- seed corn. At the state level in Cali- such a competitor to Silicon Val- ing your own consulting company? fornia, you can’t identify the per- ley? Or that the Research Triangle I have a passion for road cy- son who is in charge of economic in North Carolina would be so suc- cling. One thing I’m really proud development. You really can’t. The cessful? of is that a bunch of us in cities governor (Jerry Brown) said Cali- around the state organized the fornia can’t afford to be in the eco- The economic climate here doesn’t Tour of California. It’s now in its nomic development business any- scare you? We were in a one-state re- seventh year. It will be held in more. For the leader of the cession well before the rest of the May, and professionals from seventh-largest economy in the states caught up, and we’re the only around the world come to ride it. world to say that … . So, I’m look- state with a net population loss over Cycling is the new golf out here. ing forward to coming to Michi- the past 10 years. As for Peloton Development, one gan. I’m happy coming to a place I took the San Jose job at the bot- of the things I’m pretty good at is that gets it. tom of the dot.com bust. In one putting together high-performance year, Santa Clara County lost economic teams. … I got myself or- Will you be bringing any colleagues 250,000 jobs. Just like that. And it ganized and got the LLC estab- from California with you as part of your came back. lished. I had a couple of small rela- team-building? Cleveland and Detroit in 1946 tionships in place. The strategy Mike Finney took some key peo- were the next economy. The future was going to be a “lemonade-out- ple with him, so there are a num- was limitless. We’ve all visited of-lemons” strategy. ber of key positions to fill. They’ve places in the world that at one California is going through a had some interviews by the cur- point were the centers of the substantial municipal employee rent staff, and I want to review world. There are communities that budget cut. Huge. So, I was going that. I don’t want to reinvent the are trying to reinvent themselves to help municipalities strategize wheel. that will be successful. about how to outsource economic I don’t have any plans to bring development. But it’s nothing I anyone with me, but I have a good You’ve had a little bit of time to couldn’t unwind. It’s something handle on talent around the na- think about what you’ll be doing after I’ll put on the shelf and maybe re- tion, so I may broaden the pool the you start the job in April. visit later. staff at Spark has considered. You build on the assets you have. That the University of How did you hear about the Spark Do you have a family coming with Michigan has such a large re- job? Were you recruited? you? search budget and has a commit- I’m secretary-treasurer of the In- I’m in a committed relationship. 20110404-NEWS--0014-NAT-CCI-CD_-- 4/1/2011 11:04 AM Page 1

Page 14 CRAIN’S DETROIT BUSINESS April 4, 2011 CAREER MOVES CALENDAR TUESDAY [email protected]; web- MANAGEMENT NON-PROFIT EE IT UP FOR USINESS site: www.detroitchamber.com. APRIL 5 T B WARREN DDA/TIFA DIRECTOR Business Development Specialist - Michigan ESD Membership Open House Net- WITH INFORUM THURSDAY Detroit Economic Club. 8-9:45 a.m. April 11. With U.S. Sen. Debbie The City of Warren Downtown Development First Children’s Finance (FCF) is seeking a working Event. 5-7 p.m. Engineering Inforum and the Executive Authority seeks a regionally-minded professional to Business Development Specialist to work with the Society of Detroit. ESD, Southfield. Stabenow, D-Mich. Westin Southfield. Women’s Golf Association Metro $45 DEC members, $55 guests of mem- perform as Executive Director of both the Michigan and Corporate staff to ensure the Free. Contact: (248) 353-0735 ext. 120; Downtown Development Authority (DDA) and Tax effectiveness of FCF’s services in Michigan, Detroit Chapter present Tee it up bers, $75 nonmembers. Contact: (313) email: [email protected]; website: Increment Finance Authority (TIFA). The ideal including (1) loans to child care providers; (2) for Business, 5:30-8 p.m. 963-8547; email: [email protected]; candidate will be an ambitious manager and management assistance and business planning to ww2.esd.org/home.htm. Thursday, at the Detroit Golf Club, strategic thinker who develops policy and leads child care providers; and (3) private sector website: www.econclub.org. multiple projects. Warren is Michigan’s third-largest engagement. 17911 Hamilton Road, Detroit. city, and the combined annual budget of its DDA Spring Membership Reception. 5:30-8 This guide to help women break and TIFA is approximately $6 million. Salary and benefits competitive with nonprofit Women Mean Business. 6-9 p.m. April business development specialist salaries for p.m. Detroit Regional Chamber. Con- the “grass ceiling” will include 14. Mercy High School; Children’s Hos- A full job description and qualification comparable organizations in Michigan. nect with top business professionals. discussions on the business pital of Michigan. With Denise Ilitch, are available at Blue Care Network of Michigan, www.cityofwarren.org/c.e.d.development. Please visit www.FirstChildrensFinance.org for advantages of learning to golf, president, Ilitch Enterprises; Faye Nel- On-line cover letter and resumes only. Send to a complete job description. Southfield. Free for chamber mem- what skills are needed for golf and son, CEO, Detroit Riverfront Conser- [email protected]. Competitive Interested applicants should submit a cover letter bers. Contact: (313) 596-0343; email: business, and the seven keys to vancy; others. Mercy High School, salary and benefit package DOQ. The deadline detailing how their experience meets the [email protected]; web- successfully using golf for for submission is Friday, April 15, 2011. Farmington Hills. $20. Proceeds to the requirements of the position with a resume to the site: www.detroitchamber.com. business. Mercy High School Scholarship Fund. The City of Warren and the Downtown attention of: Development Authority are EEOC Compliant. Carol Zapfel Panelists Website: www.mhsmi.org. [email protected] include Todd www.FirstChildrensFinance.org Crain’s Classifieds Gets Results WEDNESDAY Flood, How to Become a Government Con- APRIL 6 managing tractor. 9 a.m.-noon. April 14. Procure- partner, Flood ment Technical Assistance Center of How Domino’s is Using Technology to Lanctot Connor Schoolcraft. Learn to sell your goods Reinvent its Business. 11:30 a.m.-1:30 Stablein PLLC; and services to the federal govern- p.m. Adcraft and dmaDetroit. With Jackie Vaughn, ment and the state of Michigan. MARKET PLACE Dennis Maloney, vice president, multi- Washtenaw Community College, Ann president and media marketing, Domino’s Pizza. CEO, The Arbor. $40, advance registration re- Westin Hotel, Southfield. $30 dmaDe- White House quired. Contact: (734) 462-4438; email: ANNOUNCEMENTS & BUSINESS & troit and Adcraft members, $40 non- Services; [email protected]; website: SERVICES INVESTMENTS members. Contact: (248) 495-6565; Flood Nancy Clavel www.schoolcraft.edu/cepd. email: [email protected]; Forte, account executive, BUSINESS SERVICES BUSINESSES FOR SALE website: www.dmad.org. TradeFirst.com; Terri Ryan, PGA Changing the Perception of Our Re- teaching professional; and Jennifer gion. 5-8 p.m. April 19. Women in De- Having Delivery Problems with your fense Michigan Chapter; National De- Japanese metal stamper lately? Then buy Litomisky, executive director, your own, right here in Detroit. Heavy gauge THURSDAY Ronald McDonald House Charities- fense Industrial Association; others. specialist. 50 presses up to 500 tons, APRIL 7 Southeastern Michigan. With Tammy Carnrike, COO, Detroit in-house die-making. 734.547.5481 Tickets are $20 for Inforum and Regional Chamber. Sterling Inn, Ster- Club Cocktails. 4:30-6:30 p.m. Detroit EWGA members and $25 for ling Heights. $35 WID/NDIA mem- EQUIPMENT & Regional Chamber. Hard Rock Cafe, guests. For information, call (248) bers, $45 nonmembers, $10 more at the door. Contact: (248) 643-6590; email: MERCHANDISE Detroit. Free and open exclusively 932-5450 or visit to members Business Builder and [email protected]; www.inforummichigan.org. website: www.wid-mi.org. TELECOMMUNICATIONS above. Contact: (313) 596-0403; email: LEGAL SERVICES [email protected]; web- AVAYA . . . NORTEL . . . IP OFFICE . . . BCM site: www.detroitchamber.com/ Government Forecast Luncheon. 11:30 Antone, Casagrande & Adwers, P.C. PARTNER . . . NORSTAR smallbusinessclub. COMING EVENTS a.m.-1:30 p.m. April 21. Birmingham Wire and Install Services . . . Systems/Parts Bloomfield Chamber of Commerce. AV-rated Immigration Law Firm [email protected] (800) 342-5666 Maverick Marketing Monday. 11:30 With , founder, The Center Dedicated to business, employment and Phil Power Michigan Energy Forum. 5-7 p.m. Ann a.m.-1:30 p.m. April 11. Detroit Region- for Michigan; L. Brooks Patterson, family immigration matters. Advertise your Arbor Spark. With Nicholas Cucinelli, al Chamber. With Dave Balter, BzzA- Oakland County executive. Townsend Farmington Hills, MI 48334 Products and Services in senior business formation specialist, gent. Detroit Zoo-Ford Education Hotel, Birmingham. $50 chamber Phone (248) 406-4100, www.antone.com Crain’s Detroit Business UM Office of Technology Transfer; Building, Royal Oak. $20 Chamber members, $60 others, corporate table others. Spark Central, Ann Arbor. members Business Builder and above, $370. Contact: (248) 644-1700 ext. 24; Free. Contact: (734) 761-9317; website: $30 basic members, $40 nonmembers. email: [email protected]; website: www.annarborusa.org. Contact: (313) 596-0479; email: www.bbcc.com/events/chamber. REAL ESTATE BUSINESS DIARY COMMERCIAL PROPERTIES INDUSTRIAL PROPERTY ACQUISITIONS guidance and manage the medical, life Troy, to execute its media relations New Center Area------Tech Town and disability coverage for the organi- and event promotion efforts. Industrial Building Cielo MedSolutions, Ann Arbor, has Four Buildings For Sale zation’s employees. 40,000 sf warehouse • $2.50 sq ft. • 30 ft been acquired by The Advisory Board New Motor Advisors LLC, Novi, has 70,000 Square Foot Cluster eave height • 6 loading docks • one drive- Co., Washington, D.C. Valassis Communications Inc., Livo- been contracted by AMP Holding Inc., nia, a media and marketing services Blue Ash, Ohio, to assist in automo- • 30,000 Sq. Ft. • 22,500 Sq.Ft. in door. Excellent condition. 1-mile from Phillips Service Industries Inc., Livo- • 10,000 Sq. Ft. • 7,500 Sq. Ft. company, and News America Market- tive product development strategy nia, a manufacturing and service sup- Metro Airport. Class A Rd. Taylor, MI ing, a division of News Corp., New and execution planning. Priced to Go ~ $22-35 Per Square Foot plier to aerospace, defense, automo- York, N.Y., a provider of coupons, con- 313-215-3893 Call Sabadash 313.608.6904 tive and other industries, acquired BorgWarner, Auburn Hills, has been sumer promotions and advertising Skytronics Inc., El Segundo, Calif. chosen by Subaru of America Inc., services, entered into a cross-publish- Cherry Hill, N.J., to supply its latest MISCELLANEOUS Amerigon Inc., Northville, entered ing deal to expand the digital offers on advancements in cam torque actuated Pontiac Warehouse for Lease into a purchase agreement with share- Best Deal in Town! Valassis’ www.redplum.com and variable cam timing technology for holders representing 75.6 percent of 83 acres R1 zoning Macomb Twp. $700K News America Marketing’s Subaru’s new boxer engines. Subdivision - Fenton Twp. the voting shares of W.E.T. Automotive www.smartsource.com coupon and 100 lots. ERT Systems LLC, Ann Arbor, has Systems, Odelzhausen, Germany, to savings websites. Water, sewer, roads. Ready to build. purchase all of the shares held by such been selected by four fire departments $950K OBO. Owner wants it sold! shareholders. The U.S. Advanced Battery Consor- in Pulaski County, Ark., to implement Veterinarian Business - 25 years in tium LLC, Southfield, awarded an OnSite ERT tracking systems. Severstal North America, Dearborn, a $8.4 million development contract to business. With real estate. $330K land • Warehousing, Machine/Die Storage, First Place Service Group LLC, subsidiary of OAO Severstal, Siauliai, Orion Township-based Cobasys LLC to contract available. Located in Northern Manufacturing Northville, a service provider specializ- Lithuania, signed a contract with The develop high-energy lithium-ion bat- Detroit. • M/59, Widetrack, and Woodward Area ing in all health care non-clinical ser- Renco Group Inc., New York, N.Y., to teries for use in electric vehicles. • 5,000 to 200,000 Sq. Ft Available vices, signed a contract with the Uni- Bill McMachen 586-915-4441 sell Severstal’s operations at Warren, with Offices, Short or Long Term Ohio; Wheeling, W.Va.; and Sparrows DTE Energy Co., Detroit, has selected versity of Toledo Medical Center to [email protected] Leases Point, Md. SPX Service Solutions, Warren, as the provide management for its valet and • 8 Interior Truck Wells, 16 Ft. Ceiling exclusive provider of turnkey electric parking services at its Toledo campus. Heights, Sprinklers, Heated, Buss Duct, InStar Services Group LP, Troy, com- vehicle home charging installation Call Us For Personalized and Air Lines. 248-496-3405 pleted the acquisition of a majority of services for residential customers the stock of Oakwood Construction and EXPANSIONS Service: (313) 446-6068 participating in the utility’s electric Restoration Services Inc., Brea, Calif. vehicle rate program. DTE also signed SRG Global Inc., Warren, a subsidiary OFFICE SPACE CLOSING TIMES: Monday 3 p.m., an agreement of understanding with of Guardian Industries Corp., Auburn one week prior to publication date. CONTRACTS Monroe County Community College, Hills, began construction of a manu- Please call us for holiday closing times. Flint Township Office Building Franco Public Relations Group, De- Monroe, authorizing the two organi- facturing plant in Irapuato, Mexico. FAX: (313) 446-1757 troit, added the following new clients: zations to jointly participate in the Nu- Website: www.srgglobal.com. E-MAIL: [email protected] The Haartz Corp., Acton, Mass.; Hard clear Energy Institute’s Nuclear Uni- Plasan Carbon Composites Inc., Ben- INTERNET: Rock Café, Detroit; and Lamassu Pro- form Curriculum Program to develop nington, Vt., has chosen the Wixom www.crainsdetroit.com/section/classifieds ductions, Farmington Hills. future employees for the U.S. nuclear Business Center for a new sales, mar- Confidential Reply Boxes Available Tera Networks, a division of power industry. keting and research development fa- • Class A Office Building DataFactZ, Northville, was contracted Hobbs+Black Associates, Ann Arbor, cility. Website: www.plasancarbon. PAYMENT: All classified ads must be • I-69 / I-75 / US23 near Bishop Airport prepaid. Checks, money order or by Metro-West Appraisal Co. LLC, has been contracted by the Tucson com. • Up to 20,000 Sq. Ft. Available - 300 car parking Crain’s credit approval accepted. Northville, to provide IT services. Medical Center for its West Hospital Guardian Industries Corp., Auburn Credit cards accepted. • Fully Furnished with 100 pre-wired workstations • 800 kw backup generator McGraw Wentworth, Troy, a group project in Tucson, Arizona. Hills, announced plans to build a float See • General Offices, Call Center, Data Center or benefit consulting and brokerage The National Defense Industrial Associ- glass manufacturing plant in Krasny Crainsdetroit.com/Section/Classifieds Medical Offices firm, has been chosen by Dawn Foods, ation Michigan Chapter, Warren, has Sulin, Russia. Website: www. for more classified advertisements 248-496-3405 Jackson, to provide strategic benefits chosen Bianchi Public Relations Inc., guardian.com. 20110404-NEWS--0015-NAT-CCI-CD_-- 4/1/2011 4:33 PM Page 1

April 4, 2011 CRAIN’S DETROIT BUSINESS Page 15 Yoga: Bloomfield Hills business stretches its market reach ■ From Page 3 try and the largest market east of for her studio. A proliferation of dard rates. market study commissioned for 2012. the Rocky Mountains for total new studios and promotional cam- The company also uses a “street Yoga Journal magazine — up Lis said Yoga Shelter about 18 adults who participated in yoga in paigns nearby caused her to start team” of marketers who visit other 87 percent from 2004, when Yoga months ago also started offering the past 12 months, according to a making introductory offers of her businesses in their communities Shelter was founded. But DiMauro Registered Yoga Teacher certifica- 2010 market study by GfK Media- own; as a result, she with Yoga Shel- said the market was largely flat tion, a program created by the na- mark Research & Intelligence LLC in has seen the aver- ter promotional the following year and only began tional Yoga Alliance education New York. But competitors said age revenue per materials, said to grow again in 2010. and trade support organization, the local market has seen a prolif- student per session When the DiMauro and Katherine Austin, president and and Lemmer said teacher training eration of new studios and lower decline “ general manag- owner of Karma Yoga Inc. in Bloom- has accelerated since then. prices on classes, brought on in from economy er Nicole Lem- field Hills, estimates her business DiMauro estimates that classes part by stronger marketing and about $10 recovers, there mer. is now up 10 percent to 20 percent and teacher training account for promotions. three “Yoga Shelter since the start of the national reces- around 90 percent of revenue, with “The worse the economy got, the years ago is (new) are marketing sion, built up mainly on referrals. the rest coming from off-site in- more people actually were coming to around masters and gu- “You have to be open long struction. The company has corpo- in to practice yoga because people $8. interest (in rus of that as- enough to have built a reputation. rate studios in Bloomfield Hills, were looking for more organic Yoga pect of (the busi- There’s definitely that tipping Birmingham, Royal Oak and Cali- forms of stress reduction,” said Shelter yoga) in the ness),” Tokarz point. Slow growth from the day I fornia and an affiliate in Grosse Lisa Tokarz, president and found- also saw a said. “I try for a opened, but in the last year (2010) Pointe. ing director of The Yoga Studio of recent in- community. different philos- it really just jumped.” “Based on (past research), I’ve Shelby in Shelby Township. flux of nearly 8,400 ” ophy, where we Lis said he and Paskel in 2008 found during the economic hard- “But one thing that has changed new customers Nicole Lemmer, Yoga Shelter don’t like as also founded and co-own Farming- ship people were willing to give up is the supply-demand factor. Until through a January much to have ton Hills-based YogaMedics LLC their gym club membership but if five or six months ago, we never of- discount offer via Groupon, at $24 20-30 people in one session, and with President Sarah Fink, to fo- at all possible were holding onto fered free yoga — we never had to. for 24 sessions — nearly a $300 dis- our participants in this area might cus on applications of yoga in their yoga instruction because it But there are five studios within 10 count. More than 2,000 have al- be (older or) have different reasons physical therapy and rehabilita- was a place to belong,” Lemmer miles or so, and marketing strate- ready redeemed the discount, but to study yoga.” tive health care. YogaMedics saw said. “And when the economy re- gies have changed.” because the Groupon sessions run Americans spent a combined more than 50 percent revenue covers, there is (new) interest in But even with a modest bump in over several months it is too early $5.7 billion on yoga classes, equip- growth in its third year, Lis said, the community again.” customers, Tokarz said, revenue to tell how many will continue to ment, clothing, vacations and me- and could start expanding through Chad Halcom: (313) 446-6796, held steady at just under $100,000 patronize Yoga Shelter at its stan- dia products in 2008, according to a new affiliate centers as early as [email protected]

Rail: Bonds to help raise grant match Mission Grand Slam! ■ From Page 3 such as buses. The bond sale is on the City DDOT has other funding in WOODWARD RAIL TRAIL Council’s agenda for 2:30 p.m. place for capital purchases, so ear- Thursday. The sale requires coun- Developments and drivers: marking some of the 5307 program cil approval, but it’s not clear Ⅲ On Aug. 2, U.S. Transportation Does your law firm score when it counts? money for the rail bonds won’t in- Secretary Ray LaHood announced when a formal vote will happen. It could happen. terfere with other needs, said that the Woodward project has Because the city doesn’t have Norm White, the city’s CFO and been approved to begin the the financial capacity to pay for The attorneys at McDonald Hopkins are on a mission lead on the rail environmental study required for the rail project, backers have been to help our clients hit a Grand Slam. project. eventual federal funding. seeking alternative financing ® The city won’t Ⅲ New York City-based engineering methods. Attorneys on a Mission know how much firm Parsons Brinckerhoff has “Our strategy was not to place a Your mission is our mission. We never lose sight of it. the debt service been hired to manage the burden on the city at all,” White payments will environmental impact study for the said. city. The firm has a Detroit office. be until the To that end, the project last year bonds are sold, Ⅲ San Francisco-based became a joint effort by the city engineering firm URS Corp., which A business advisory and advocacy law firm® but the estimate also has a Detroit office, has been and the private investor consor- now is $9 mil- contracted by the city to handle tium M1 Rail, which has assembled 39533 Woodward Avenue, Suite 318, Bloomfield Hills, MI 48304 • 248.646.5070 lion to $10 mil- $100 million in cash and tax credits Carl J. Grassi Stephen M. Gross White preliminary engineering for the rail lion annually. line and to prepare the funding for the project. A deal worked out President Detroit Managing Member White said they could be 15-year or application for federal transit last year in Congress allows DDOT Chicago • Cleveland • Columbus • Detroit • West Palm Beach money. 20-year bonds. to use the private money as local www.mcdonaldhopkins.com Federal backing of the bonds is Ⅲ M1 Rail’s backers include match funding. expected to make them more at- Penske Corp. founder Roger The line is a 9.3-mile loop that tractive. Penske, who is chairman of the will run from Hart Plaza to Eight project; Peter Karmanos Jr., “Once we get into the market, founder of Detroit-based software Mile Road. Construction could be- we’ll understand the interest,” company Compuware Corp.; Mike gin this year or early 2012, and the White said. “It’s very minimal Ilitch, owner of the Detroit Tigers line would be completely opera- Professional Jet Management risk, so we assume we’ll get a low- and Detroit Red Wings and co- tional by 2016. er rate.” founder of Little Caesar “We could The federal government allows Enterprises Inc.; and Quicken have a ground- municipalities to use some federal Loans/Rock Financial founder breaking this funding as local match money for Dan Gilbert, who is the project’s year, but more co-chairman. transportation projects. of the ceremoni- Ⅲ Also contributing M1 funds are “In order to pay for a project like al type,” said the Troy-based Kresge Foundation this, it requires a 20 percent local ($35 million) and Detroit’s Matt Cullen, M1 pure match. The remaining 20 per- Downtown Development Authority Rail’s CEO, with cent can be other funding except ($9 million) as well as companies serious con- New Starts funding,” he said. and institutions that bought struction begin- Experience the difference. “Any other federal sources can be advertising rights to the line’s ning once Cullen used for that 20 percent.” stations at $3 million each. Some weather allows All inclusive management at an affordable ﬁ xed cost. New Starts is the FTA’s funding level of bank financing also will be early next year. sought. program aimed at new surface A federally required Final Envi- •Forming partnerships now transportation projects, such as ronmental Impact Statement is ex- commuter and light rail, and is ex- nibalize funding for other parts of pected by the end of the month, •Small, midsize and large cabin jets pected to be the primary source of the local transportation depart- and preliminary engineering and •Reduce your total operating cost federal funding for the non-local ment. design will begin after that. •Maximize your aircraft efﬁ ciency match. FTA staff has been working in It’s unclear how much the while enhancing your aircraft New Starts funding requires a Woodward line’s operational costs Detroit on the rail project to expe- www.skywayavjets.comwww skywayavjets com 20-year plan from the city that will be or how they will be funded. dite the environmental study appearance, performance & value outlines not only how it will fund White said he intends to discuss process, White said. the rail line but how it will ensure operational funding with the city Bill Shea: (313) 446-1626, Call today for more information, Geoff Sherman 1.248.568.0979 that the system’s costs don’t can- council. [email protected] 20110404-NEWS--0016-NAT-CCI-CD_-- 4/1/2011 4:34 PM Page 1

Page 16 CRAIN’S DETROIT BUSINESS April 4, 2011

THE MILLER LAW FIRM Challenge: Winners to showcase city a professional corporation ■ From Page 1 laborative Group with the idea of building support for an initiative like the contest, which he expects Jewish Federation, Moishe House to launch late this year. “I think not only does Challenge Detroit have possibility of happening, it’s to open communal house in Midtown going to be amazing,” he said. “This group has a history of get- The Jewish Federation of Metro- from 30 percent to 70 percent of ting things done, and Challenge politan Detroit and California- the $3,300 monthly rent, depend- Detroit is happening only because based Moishe House have estab- ing on how many community of the collaborative.” lished a communal house with programs the residents host at The contest has received $1.2 mil- rent subsidies for six young Jew- the Ferry Street house. Our firm specializes in litigation: lion in support so far, including ish professionals in Detroit’s If the residents of the house commitments from more than 30 Midtown area. host three to four programs, • Complex Commercial and Business employers to provide $30,000-a-year The house will be the 34th es- they’ll get a 30 percent subsidy; • Shareholder and Partnership jobs for contest winners. Compa- tablished by Moishe House global- five to six programs, a 50 percent • Automotive Supplier nies include Quicken Loans Inc., ly and serve as a hub for the Jew- rent subsidy; seven or more pro- ish Federation’s CommunityNext grams, a 70 percent subsidy. • Class Actions Beaumont Hospitals, Valassis Commu- nications Inc., Compuware Corp., programming aimed at keeping The programs can range from • Employment ePrize LLC, Strategic Staffing Solutions young talent in the region. weekly communal dinners to ed- • Family Law and Probate Litigation Inc., Team Detroit and DTE Energy Co. “There’s always been a strug- ucational forums and speakers, (248) 841-2200 Participants will work 32 hours gle engaging club meetings and social events 950 West University Drive, Suite 300 per week, allowing for time to par- college gradu- for Jewish people and others millerlawpc.com Rochester, Michigan 48307 ticipate in challenges centering on ates in commu- from all different races, religions the area’s needs and wants. In addi- nity,” said Jor- and cultures, Wolfe said. tion to online accounts, the group dan Wolfe, The Jewish Federation and will promote the contest with live director of Moishe House hope to have ten- presentations to interested groups Communi- ants in the 5,000-square-foot, sev- and, organizers hope, through sto- tyNext. en-bedroom house by the begin- ries in local and national media. The Moishe ning of May. The Collaborative Group is mar- house is engag- The Jewish Federation will keting Challenge Detroit to col- ing Jewish Wolfe provide the bulk of the subsidy lege-educated 21- to 34-year-olds people in their funding, with Moishe House in- and will use social media and out- mid- and late 20s in doing more vesting $10,000 to $15,000 in the reach at college campuses to at- for their communities, on their rent subsidies. tract applicants. own terms, he said. “This is a “We believe in the city of De- Detroit + = Contestants will go through a way for them to drive how com- troit (and) think there’s a lot of three-phase application process, munal programs are being run exciting things actually happen- said Deirdre Greene Groves, exec- and letting them take ownership ing there,” said Moishe House utive director of The Collaborative of those and be involved. CEO David Cygielman. Group. “Hopefully, we can use (the “We also follow demand. “It starts with a written applica- Moishe House) as a catalyst to en- Where there are young, excited growing with a strong (& fun!) tion to be submitted to Challenge courage other individuals to move and energetic Jewish adults who Detroit and reviewed by our down to Detroit to create a density want to invest their time and en- MI based company! team,” she said. of young individuals.” ergy into Moishe House, we want Those who make it past the first The two organizations are pro- to support that.” round will submit video resumes viding rent subsidies ranging — Sherri Welch record sales growth! explaining why they’re passionate about Detroit and what they’d do must grow. New Center Council Inc., but it could to move the region forward. “Detroit needs young, talented face trouble in securing housing. “Those will be posted on the web- leaders to help move our compa- “It’s all about timing and mon- waking up every morning! site (www.challengedetroit.com) nies and our city forward and make ey,” she said. “It’s not a hard pro- for the community at large to cast our downtown a vibrant, safe, ject if money is committed, but if votes, to narrow (the field) down to clean, economically viable commu- money isn’t committed, it would BIGGBY COFFEE Franchise Info 120,” Greene Groves said. nity,” she said. “We have tremen- be challenging.” Finalists will be brought to De- dous young people in the city al- Still, she said, “there are other www.biggby.com troit for interviews with the 30 em- ready, who are committed to these ways you could cut back to be a ployers, who will make the final goals, and we need more. Challenge value-added piece if you can’t raise decision along with the board Detroit will attract and retain those money for subsidizing the housing overseeing Challenge Detroit. Par- talented individuals. I’m pleased portion.” ticipants could be housed in such some of them will work at S3.” Mosey said occupancy rates in areas as Corktown and downtown, Attracting young residents is Midtown are at 93 percent but that but with a focus on Midtown, key to the region’s revival, said the area’s development pipeline Greene Groves said. Stephanie Bergeron, president of leads to new buildings regularly WIXOM Mosher said the group is still Walsh College and a member of The becoming available. MICHIGAN working to secure housing for par- Collaborative Group who worked “I think it’s a great idea, and I ticipants, but he expects swift re- on developing Challenge Detroit. I-96 at think it’s very doable,” she said. sults. “We’re not going to give up until Betty Chu, president of the med- BECK RD “I really don’t think we’re going we think of a way to bring talented ical staff at Beaumont Hospital in people to Detroit,” Bergeron said. to have a problem with any of the Troy and a Collaborative member, It’s a problem that hasn’t be- components from the standpoint of said Beaumont is participating in donations, whether it’s housing, come less pressing because it’s Enterprise the contest because the economic transportation, furnishings. I well known, said Kerry Doman, development potential of health don’t think it’s going to have many founder and CEO of After5 LLC, and care in the region can’t be fulfilled Business Park problems. The reason I say that is, a Collaborative member. if young people won’t come to De- to this point Challenge Detroit and “Obviously we’re talking about a troit. The Collaborative have been un- demographic we know as a region Great Image & Location RIGHT PRICE Join Industry der the radar screen, and look at we need to retain, and know they “We’re finding there are great Leaders what we’ve accomplished with just make decisions based on job oppor- people we’re training here … but From 4,000 to 28,000 Sq Ft RIGHT SIZE a few individuals,” he said, point- tunities and lifestyles,” she said. “In it’s difficult to maintain residents Konica Minolta to stay here and live,” she said. New Construction WILL FINISH TO SUIT ing specifically to the $1.2 million my background with After5, that’s Business Solutions in support and job commitments what we have to trade on, that’s “They’re looking for an urban environment, a more exciting envi- Combine Office, Warehouse & Hi-Tech Henry Schein already received. what we try to showcase. We’re ronment. You can’t talk about de- Dental Centers “With the companies on board, if proud to be involved in this and Ground Monument & Building Signage they’re willing to commit, I think glad to showcase the job opportuni- veloping health care fully as an Smith & Nephew the community at large will follow ties, lifestyle and overall opportuni- industry if you don’t look at the Grade Level Doors & Loading Docks Orthopedics very much in their footsteps.” ties of living in the Detroit area.” problem of people staying here.” Cynthia Pasky, president and It’s a worthwhile effort, said Sue Chu said she hopes to attract a Midtown Detroit resident doctor to Beaumont For Leasing Information ... Call: CEO of Detroit-based Strategic Mosey, president of Staffing Solutions, said that there Inc., the newly formed nonprofit through Challenge Detroit.

John Fricke 248-948-9000 THE TEAM No Signature. No Results. are great young professionals liv- encompassing the former Universi- Nancy Kaffer: (313) 446-0412, ing in Detroit, but that number ty Cultural Center Association and [email protected] 20110404-NEWS--0017-NAT-CCI-CD_-- 4/1/2011 5:55 PM Page 1

April 4, 2011 CRAIN’S DETROIT BUSINESS Page 17

High-tech suppliers toughest to replace after quake www.crainsdetroit.com EDITOR-IN-CHIEF Keith E. Crain PUBLISHER Mary Kramer, (313) 446-0399 or BY DAVID SEDGWICK based consulting firm, said Ford controllers, lost 40 percent of its Although the daily blackouts [email protected] AND HANS GREIMEL and GM are especially worried production capacity to the quake, usually last about three hours, fac- EXECUTIVE EDITOR Cindy Goodaker, (313) 446- CRAIN NEWS SERVICE about second- and third-tier sup- according to IHS ISuppli Inc., an in- tories often are forced to halt pro- 0460 or [email protected] pliers. dustry research firm. duction for an entire shift. DEPUTY MANAGING EDITOR Jennette Smith, Automakers and major suppli- (313) 446-1622 or [email protected] “Their main concern is up- Rivals such as Freescale Semicon- According to the Nikkan Kogyo SENIOR EDITOR Bob Allen, (313) 446-0344 or ers, desperate for parts supplies to stream suppli- ductor Inc. could pick up new cus- business daily, Robert Bosch [email protected] return to normal, are starting to ers that make a tomers, but “it is not something GmbH is renting generators to WEST MICHIGAN EDITOR Matt Gryczan, (616) 916- replace some suppliers devastated 8158 or [email protected] specialized part which can be done in a couple of some of its suppliers in the Kanto COPY DESK CHIEF Gary Piatek, (313) 446-0357 or by Japan’s earthquake and tsuna- or a proprietary days,” warned Matteo Fini, a prin- region near Tokyo. [email protected] mi. technology,” cipal analyst with IHS. Nikkan Kogyo also described ASSISTANT NEWS EDITOR Jeff Johnston, (313) 446-1608 or [email protected] But finding new sources, espe- Stone said. “It’s That’s because automakers re- measures that Nisshinbo Brake Inc. DATA EDITOR Anne Marks, (313) 446-0418 or cially of high-tech electronics com- not commodi- quire integrated circuits designed and Akebono Brake Industry Co. are [email protected] ponents, is daunting. Computer ties like steel specifically for their vehicles. Re- taking to deal with the blackouts. WEB DEVELOPER Steve Williams, (313) 446- chips, a key component of engine that could throw designing and testing such compo- Nisshinbo may shift production 6059, [email protected] WEB EDITOR Gary Anglebrandt, (313) 446-1621, control units, antilock brakes, a wrench into nents are laborious and lengthy from its plant in Ibaraki to facto- [email protected] airbags and many other systems, production.” endeavors. ries in the United States, China EDITORIAL SUPPORT Robertta Reiff (313) 446- Stone 0419, YahNica Crawford, (313) 446-0329 are in especially short supply. In response, Automakers develop close ties and Thailand. Nisshinbo has a de- NEWSROOM (313) 446-0329, FAX (313) 446- The search for new suppliers Ford spokesman Todd Nissen said to suppliers who can make such velopment center in Sterling 1687 TIP LINE (313) 446-6766 clearly is in full swing. For exam- the company isn’t singling out tier- specialized components. A case in Heights. And Akebono is operat- REPORTERS ple, Nissan Motor Co. says 40 of its two and -three suppliers for spe- point is Keihin Corp., a major sup- ing one of its disc brake plants on Daniel Duggan: Covers retail, real estate and suppliers still are not fully recov- hospitality. (313) 446-0414 or cial attention. “We are watching plier to Honda Motor Co. of intake weekends, when power consump- [email protected] ered from the quake. Is Nissan the whole supply chain,” he said. manifolds, engine control units, tion is lower. Jay Greene, senior reporter: Covers health care, looking for replacements? “Every- insurance and the environment. (313) 446-0325 or In a March 17 interview, Bernd fuel injectors and other compo- Despite all the headaches, some [email protected]. body is,” replied spokesman Si- Bohr, chairman of the automotive nents. Keihin has a unit in Capac. tier-one suppliers are ready to re- Chad Halcom: Covers law, non-automotive mon Sproule. “From Day 1 we manufacturing, defense contracting and Oakland technology business sector of Meanwhile, Honda announced sume production but can’t because and Macomb counties. (313) 446-6796 or were looking.” Robert Bosch GmbH, said it had last week that it would cut North their customers still are shut [email protected]. Tom Henderson: Covers banking, finance, While Japanese automakers looked as if electronics shortages American vehicle production in down. technology and biotechnology. (313) 446-0337 or have been hit hardest by the dis- would ease in the second quarter. half through April 15. For example, Magna International [email protected]. Nancy Kaffer: Covers small business, the city of ruption to suppliers, U.S. au- That has changed. Says Bohr: “We More bad news: Even after Kei- Inc. said it has reopened two Detroit, Wayne County government. (313) 446- tomakers are not immune. Ford 0412 or [email protected]. had been out of the rough, but now hin and other hard-hit Japanese Japanese factories and four sales Bill Shea, enterprise editor: Covers media, Motor Co. and Chrysler Group have we need to assess the situation.” suppliers resume production, it and engineering centers. But the advertising and marketing, the business of sports, had paint shortages, and General and transportation. (313) 446-1626 or One key choke point will be could be months before they reach plants, which make convertible [email protected]. Motors Co. briefly shut down its semiconductors and electronic de- full capacity. roofs, were waiting last week for Nathan Skid: Multimedia reporter. Also covers the food industry and entertainment. (313) 446-1654, pickup plant in Shreveport, La. vices that use them. That’s because Japan is likely to customers to resume vehicle pro- [email protected]. Sheldon Stone, a partner at Renesas Electronics Corp., the suffer chronic rolling power black- duction. Sherri Welch: Covers nonprofits and services. Amherst Partners, a Birmingham- (313) 446-1694 or [email protected] world’s leading supplier of micro- outs for months. From Automotive News Dustin Walsh: Covers auto suppliers, steel, higher education and Livingston and Washtenaw counties. (313) 446-6042 or [email protected] LANSING BUREAU Amy Lane: Covers business issues at the Capitol, telecommunications and utilities. (517) 371-5355, FAX (517) 371-2492, [email protected]. or 115 W. Ford Land: Vacated space drives strategy change Allegan, Suite 220, Lansing 48933. ADVERTISING ■ From Page 1 ADVERTISING DIRECTOR Marla Downs, (313) 446-6032 or [email protected] site. The automaker vacated own real estate in Dearborn, said viability of the complex rather student housing development, ac- SALES INQUIRIES: (313) 446-6052; FAX (313) 393-0997 500,000 square feet in 2009 and Andy Farbman, president and than the immediate impact of any cording to comments made by ADVERTISING SALES Christine Galasso, Matthew 700,000 in 2010 through consolida- CEO of the Southfield-based in- deal.” Dearborn Mayor Jack O’Reilly J. Langan, Lori Tournay Liggett, Tamara Rokowski, Cheryl Rothe, Dale Smolinski tion. vestment and brokerage firm The during a recent speech to the CLASSIFIED SALES (313)-446-0351 Leasing space to non-Ford com- Farbman Group. League of Women Voters. MARKETING MANAGER Irma Clark panies had to increase. In 2008, 55 “If you need a large block of Adapting to do deals A 144,000-square-foot office EVENTS MANAGER Nicole LaPointe percent of the space leased went to space, for the most part, it’s Ford Rob Cory, director of sales, leas- building at 5500 Auto Club Road MARKETING ARTIST Sylvia Kolaski SALES SUPPORT Suzanne Janik, YahNica Crawford companies other than Ford. It Land that controls it in Dearborn,” ing and development for Ford was sold to an investor and then CIRCULATION Candice Yopp, Manager. climbed to 62 percent in 2009 and to he said. “But they’ve been consis- Land, said the group is now going partially leased to Henry Ford Med- MARKETING COORDINATOR Kim Winkler 92 percent in 2010. tent, and realistic, on where the after smaller tenants that it might ical Center as part of a 65,000- PRODUCTION MANAGER Wendy Kobylarz The increase has come from market is. And they’ve done a not have courted in the past. square-foot expansion, according PRODUCTION SUPERVISOR Larry Williams Ford Land’s efforts to evaluate its great job of communicating with The typically large office spaces to a Henry Ford press release. CUSTOMER SERVICE

properties and its strategies. the brokers.” are being built out to handle ten- Cory would not identify the in- MAIN NUMBER: Call (877) 824-9374 or write That means keeping asking But Ford Land isn’t the only en- ants needing 600-2,900 square feet. vestor or the purchase price. [email protected] SUBSCRIPTIONS $59 one year, $98 two years. prices in line with similar build- tity rushing to fill space lost by The spaces are being marketed Oakwood bought 62 acres of Out of state, $79 one year, $138 for two years. ings in the area and offering the shrinking automakers. to startup companies and entre- land, though has not yet disclosed Outside U.S.A., add $48 per year to out-of-state rate for surface mail. Call (313) 446-0450 or smaller office spaces that many At the nearly 5-million-square- preneurs. It’s a lot of work for the its plans. Laney Cavazos of the (877) 824-9374. tenants are looking for. foot Renaissance Center, the build- company, Cory said, because walls Farbman Group represented Oak- SINGLE COPIES: (877) 824-9374. Inch said the company also has ing’s leasing group has had similar have to be constructed and the wood. REPRINTS: (800) 290-5460, ext. 125; (717) 505- 9701, ext. 125; or ashley.zander@theygsgroup been aggressive in reaching out to issues as General Motors Co. consol- space has to be subdivided. Land owned by Ford Land is .com. local commercial real estate bro- idated space. In 2009 and 2010, its “And when you’re dealing with set to be part of a new train station TO FIND A DATE A STORY WAS PUBLISHED: (313) 446-0367 or e-mail [email protected]. kers. consolidation resulted in 10 fewer the size of spaces that we have, you in Dearborn, though the deal is not For example, Ford Land recent- floors being occupied, roughly need to do a lot of small deals to final. CRAIN’S DETROIT BUSINESS IS PUBLISHED BY CRAIN COMMUNICATIONS INC. ly hosted a presentation on its best 175,000 square feet. move the needle at all,” he said. A building at 800 Republic CHAIRMAN Keith E. Crain practices for CoreNet Global Michi- GM, through its leasing compa- In 2010, Ford Land did 18 leases Drive is set to be leased to a Menlo, PRESIDENT Rance Crain gan Chapter, a real estate profes- ny, Houston-based Hines Interests to companies needing less than Calif., organization called SECRETARY Merrilee Crain TREASURER Mary Kay Crain sional development group. LP, was able to fill nearly all of the 15,000 square feet each. The total TechShop Inc. The company offers Executive Vice President/Operations Later this year, Ford Land will vacated space, plus the otherwise space was 52,400 square feet. memberships for small-business William A. Morrow Group Vice President/Technology, be sponsoring events with the bro- vacant space, during the course of But thinking long-term, small owners to use high-end industrial Manufacturing, Circulation ker advocacy group Commercial 2010. companies grow into large compa- machinery to create prototypes. Robert C. Adams Vice President/Production & Manufacturing Board of Realtors. One event will of- The Renaissance Center did nies. And that gives the landlord a According to the group’s website, Dave Kamis fer classes for brokers to satisfy 750,000 square feet of leasing in chance to expand lease deals along it has a letter of intent to lease Chief Information Officer Paul Dalpiaz the continuing education require- 2010 and early 2011, said Mark Wal- the way. space in a former Ford training fa- Corporate Circulation/Audience Development ments needed to renew their real lace, leasing director for the build- Some of the deals done in 2010 cility. Director Kathy Henry estate licenses. ing, which now reports 93 percent were inspired by studies Ford Inch said the land sales have G.D. Crain Jr. Founder (1885-1973) “They’re doing a great job of occupancy. Much of that space in- Land commissioned from the De- been limited to unique situations Mrs. G.D. Crain Jr. Chairman (1911-1996) repositioning the portfolio, and cludes a big Detroit expansion by troit-based architecture firm and will never be sold at “fire-sale” EDITORIAL & BUSINESS OFFICES: 1155 Gratiot Ave., Detroit MI 48207-2732; (313) they’re doing a great job of com- Blue Cross Blue Shield of Michigan Hamilton Anderson Associates. prices. She said Ford Land will 446-6000 municating that to the market,” and several key renewals. The architects were sent to look continue to compete for local deals Cable address: TWX 248-221-5122 AUTNEW DET CRAIN’S DETROIT BUSINESS ISSN # 0882-1992 said Mark Woods, managing direc- Wallace said that representing a at other large landlords and build- but also think long-term about is published weekly, except for a special issue the third week of January, a special issue the fourth tor of Southfield-based Signature landlord like GM has a benefit in ings across the country to come up Dearborn. week of August, and no issue the third week of Associates, who worked for Ford the real estate world, especially with unique ways to reuse build- “Even in tough times, we’re December by Crain Communications Inc. at 1155 Gratiot Ave., Detroit MI 48207-2732. Periodicals Land from 1992 to 2003. when it comes to showing a poten- ings. sticking with our original ideas,” postage paid at Detroit, MI and additional mailing offices. POSTMASTER: Send address changes to tial tenant that the ownership is Some of the recent Ford Land said Inch. “But we’ve also contin- CRAIN’S DETROIT BUSINESS, Circulation stable. deals involve buildings being com- ued to take our game up a few Department, P.O. Box 07925, Detroit, MI 48207- Dearborn heavy 9732. GST # 136760444. Printed in U.S.A. “They have a long-term commit- pletely repurposed: notches over the last few years and Entire contents copyright 2011 by Crain Ford Land is competitive with ment to Detroit and to this build- The former engineering build- compete.” Communications Inc. All rights reserved. Reproduction or use of editorial content in any local landlords, but only within ing,” he said. “The real estate ings at 760 and 780 Town Center Daniel Duggan: (313) 446-0414, manner without permission is strictly prohibited. the small group of investors who group is looking at the long-term Drive are being considered for a [email protected] 20110404-NEWS--0018-NAT-CCI-CD_-- 4/1/2011 5:55 PM Page 1

Page 18 CRAIN’S DETROIT BUSINESS April 4, 2011 Grocery: Site shopping Local investors bet on website ■ From Page 1 an attendee in a side conversation. ed flour in its dough. A Midtown location would seem Whole Foods is already building to meet some, but not all, of the cri- its brand in Detroit by providing a teria Whole Foods sets for its stores. sponsorship of more than $20,000 to that chooses music for listeners According to its website, the com- help pay for pole banners promot- pany looks to build 25,000-50,000- ing Eastern Market that are visible BY GARY ANGLEBRANDT cause it makes deals with the fea- Emory and The Loving Touch), said it square-foot stores in high-traffic lo- along Russell Street and Gratiot CRAIN’S DETROIT BUSINESS tured acts to share revenue. While doesn’t sound like there’s much cations with a large number of and Mack avenues, said Daniel Car- one song in each email is provided risk in launching such a website, college-educated residents, at least mody, president of Eastern Market Once upon a time, finding out for free to but the potential 200,000 people within a 20-minute Corp. The banners promote the year- about new music was as simple members, the is limited. drive, easy access and plenty of round market and include the as talking to friends. Now, people full album is The “It’s hard to parking. Whole Foods logo. (See Eastern can search the Internet for new available as “ sell music online. According to a 2010 Social Com- Market story on Page 4.) music, and music they will find. premium new-music A lot of people pact study funded by the Detroit Eco- “They have an interest in the Too much music. downloads for will find a free nomic Growth Corp., Midtown has the metropolitan area’s food system GroopEase.com, an Orange, a fee. discovery way to get it,” city’s highest rate of resident in- and are always looking to improve Calif.-based site with financial Firlik said Johnston said. come per acre at $231,961. Social connections between local growers backers in Southeast Michigan, is album prices process is Any band Compact is a Washington, D.C.- and specialty food processors,” Car- betting it can make money by ad- will be 40 per- looking to make based nonprofit that measures com- mody said. dressing this conundrum for mu- cent to 80 per- very a living from munity economic indicators to spur Jim Bieri, president and CEO of sic fans. Using a network of “ad- cent lower than those music ought to urban investment. Detroit-based Stokas-Bieri Real Es- vocates” who tap into their at Amazon.com or Ap- convoluted. look beyond al- The study, which was updated in tate, said Midtown is the most at- musical passions to judge new ple’s iTunes store. (A ” bum sales for 2009 from a previous one in 2006, tractive area in Detroit for a major music, the website does the job of typical iTunes album Matthew Firlik, GroopEase.com revenue, he shows Midtown also as having the grocery chain like Whole Foods, but filtering down the oceans of new costs $10.) said. highest average household income it falls short when compared to oth- music to the best acts, with a The site contains design ele- “These days it’s going to be live of new homebuyers at $113,788, fol- er major urban areas. heavy tilt toward “indie” rock. ments familiar to users of shows, merchandise and song lowed by the Central Business Dis- “I think one of the strongest ele- A few times a week, the site Groupon.com, he said, and is placement,” but bands, especially trict at $111,509 and Indian Village ments for Whole Foods coming into will send an email highlighting aimed at “post-hipster-age people newer ones, need to take advan- with an average new homeowner Detroit is that someone high up in one musical act — and one musi- who are living their lives now tage of every outlet available, income of $111,200. the company has the desire to do cal act only. and don’t have time” to listen to Johnston said. Whole Foods would not confirm it,” Bieri said. “I think there has to GroopEase Inc. CEO Matthew hours of downloaded music. “Every little bit counts.” any interest in Detroit, but Kate be a plan to make a statement in Firlik and COO Andrew Bratt are Firlik said the site has a few Davis said he does not know Klotz, Midwest Region public rela- terms of it being a part of the renais- both originally from West Bloom- thousand subscribers now and much about technology or the in- tions manager, said the company sance of the neighborhood.” field Township. Firlik and Bratt hopes to see at least 100,000 by 2012. die music scene but trusts that has deviated from its criteria in the Wayne State University Provost Ron are two of three co-founders, Other services for finding new Firlik can do a good job. Firlik past. One notable exception was a Brown said he heard the grocery along with President Damien music typically offer many per was a major part of developing store in the Lincoln Park neighbor- chain is looking at a potential site Amey, who is from San Diego. day, still too much to be practical, the technology for Outside Hub, hood of Chicago that the company on Woodward Avenue. The plan was given a big push Firlik said. Farbman’s advertising company now considers a Midwest flagship. “I don’t know if it’s official or not, by a trio of seed investors from “The new-music discovery working in the niche of outdoor “When we built the Lincoln Park but I hope it’s true,” Brown said. “If the Detroit area: Peter Davis, process is very convoluted and enthusiast websites. store, it was an empty lot with not people see recognizable stores and president and CEO of Southfield- very difficult for someone who “It’s an opportunity to do some- much around it,” Klotz said. “But if outlets, they would feel more com- based Impact Management Services just wants to hear something thing with a young entrepreneur we reviewed that site today, it fortable about moving to Midtown.” LLC; David Farbman, CEO of new,” he said. with a lot of drive and a proven would be a slam dunk.” Mosey said having a recognizable Southfield-based Outside Hub Hold- The advocates are college stu- track record,” Davis said. Whole Foods has five stores in brand like Whole Foods move into ings LLC; and Jason Kavanaugh, dents or recent grads being culled The investors took a 25 percent Southeast Michigan, all in more af- Midtown would give other compa- president and CEO of Concorde from campuses throughout the stake in the new business, Ka- fluent areas: Rochester Hills, Troy, nies more confidence to invest. Holdings Inc. in Troy. country. GroopEase has about 12 vanaugh said. Kavanaugh and West Bloomfield and two stores in “Whether you like or don’t like a The Detroit connection could now, Firlik said. Davis are board members of the Ann Arbor. place like Starbucks, having a busi- get stronger once the business About 20 bands have signed up new business. Besides produce, Whole Foods is ness like that gives confidence to has put some successful time be- for deals so far, he said. Future “Obviously, it’s a huge risk be- known for its branded ready-to- other investors. It doesn’t mean hind it. Firlik said he and his revenue could also come from ing the first ones to the table,” he serve products made with organic they are more valuable than the in- partners already have talked ticket and merchandise sales. said. “But it’s a scalable, recur- ingredients. It also carries many va- dependents, but there is a role for about one day moving the compa- Chris Johnston, who runs a ring business model ... well-posi- rieties of high-end wines and larger national brands in a devel- ny to the Detroit area. Ferndale-based band management tioned to take advantage of the cheeses and has an in-house bakery oping neighborhood.” GroopEase was scheduled to business called Redspot Manage- music industry.” that uses cage-free eggs, natural Nathan Skid: (313) 446-1654, send its first email today. The com- ment (and owns Ferndale business- Gary Anglebrandt: (313) 446- butter and unbleached, unbromat- [email protected] pany calls its emails “deals” be- es Woodward Avenue Brewers, The 1621, [email protected] Credits: State lawmakers examine college transfer system ■ From Page 3 fer student.” further simplifying the process. Wayne State University’s engineer- to adopt associate degrees that credits than before the legislation, Michigan does have a website to More than two-thirds of U.S. ing program are equivalent to the would make students eligible for according to a 2007 study. help streamline the process for states already have passed laws University of Michigan’s. admission in the California State Rep. Bob Genetski, R-Saugatuck students called the Michigan Trans- intended to simplify the process “Faculty often says, ‘this course University system as juniors in that and chairman of the House Appro- fer Network. Through the site, stu- of credit transfers, said Sara Lip- isn’t really up to our standards’ or discipline. The bill does not re- priations Subcommittee on Higher dents can check which courses ka, staff reporter for the Washing- ‘this will be watering down our de- quire common course numbering. Education, and Rep. Ken Goike, R- transfer from one community col- ton D.C.-based Chronicle for High- gree,’ ” Lipka said. “When you start “I don’t think the system is bro- Ray Township and chairman of lege or university to another uni- er Education. talking autonomy, that’s something ken, nor do I feel we need legisla- the House Appropriations Subcommit- versity in the state. The most faculty members fiercely guard as tion to make classes uniform,” tee on Community Colleges, plan to A quick search revealed that Bi- common tactic their institution’s reputation.” Boulus said. “It wouldn’t be fair to introduce the language for the ology 101 taken at Macomb Commu- is for states to The uniqueness of programs at our 15 institutions that have their budget bill in front of the two sub- nity College transfers to 10 out of create a univer- each state university would be in own missions.” committees on April 14 and 15, Michigan’s 15 public universities. sal course num- jeopardy, Boulus said. “The one The streamlined transfer system said Kyle Kaminski, legislative di- The site articulates 300 degree bering system size fits all doesn’t work,” he said. in California will save the state rector for Goike. programs that transfer between with common “What makes us unique is our $160 million if it can reduce excess Boulus and Kattuah-Snyder op- community colleges and state uni- themes within depth and breadth of programs.” credits by 10 per student, accord- pose any mandates to the transfer versities, said Michael Boulus, ex- the course — Credits transferring have even ing to a cost analysis done by the system but believe a study com- ecutive director of the Presidents English 201 at been a problem for states with far two higher education systems. mittee is a step in the right direc- Council, State Universities of Michigan. Boulus University A is less autonomous universities than By reducing excess credits, stu- tion to simplifying the process. “There’s no excuse for anyone not also English 201 at University B. Michigan, like California. Califor- dents will graduate sooner, freeing “I’m not sure mandating is the to know what transfers and what This would likely cause issues nia operates two four-year systems up 13,860 student spaces a year. right answer, but it’s started a con- doesn’t,” Boulus said. “We work between what one university’s fac- and one community college system Arizona passed legislation in versation we can’t ignore any very hard, and will continue to ulty views as an equivalent to a with more than 200 campuses. 1996 that mandated credit trans- longer,” Kattuah-Snyder said. work very hard, to make sure this as course, Lipka said. An articulation In September, California passed fers from community colleges to “There is a need right now to make easy as possible for the student.” agreement for courses across the legislation — the Student Transfer state universities. The legislation this easier for every student.” However, Boulus still supports state would spark debate — for ex- Achievement Reform Act — re- resulted in students graduating Dustin Walsh: (313) 446-6042, the idea of the study committee on ample, whether courses within quiring every community college with an average of 12 fewer excess [email protected] 20110404-NEWS--0019-NAT-CCI-CD_-- 4/1/2011 6:10 PM Page 1

April 4, 2011 CRAIN’S DETROIT BUSINESS Page 19 RUMBLINGS WEEK ON THE WEB FROM WWW.CRAINSDETROIT.COM, WEEK OF MARCH 26-APRIL 1

having jacked up his fees back an equity stake from production of “Untitled over the years based on his Index signals former parent General Motors Doug Liman Project” else- bogus results. Co. for $3.8 billion to simpli- where after its attempt to High-profile There was just one prob- fy its capital structure, get a $22.9 million film tax lem with that proposed economic Bloomberg News reported. credit was denied, Para- change: Managers of ven- Delphi also is acquiring the mount said in a Detroit ture capital funds generally Pension Benefit Guaranty News article. Gov. Rick Sny- restaurateur use 2 percent of a fund to expansion Corp.’s ownership stake for der has proposed eliminat- cover operating costs and $594 million. Delphi will use ing the film tax-incentive take 20 percent of any prof- he Southeast Michigan cash and a portion of a cred- program and ordering a its when the accounting is Purchasing Managers it line to fund the purchases. $25 million cap on credits done after portfolio compa- T Index jumped 8.3 Chrysler Group LLC is starting this year. eyes Detroit nies are sold. points in March to a post- seeking a preliminary court Separately, the Michigan “The original OFIR order recession peak of 71.8. The injunction to stop Pure De- Film Office approved a more erry Kleiner, one of the the air next season. literally index has been above 50 for troit and its owners from us- than $5 million incentive most high-profile While the ABC drama had the po- 14 consecutive months — ing the automaker’s “Im- for a comedy titled “Five- J restaurateurs in Chica- “Detroit 1-8-7” won’t know the threshold for indicating tential to ported from Detroit” Year Engagement,” expect- go, has been spotted looking its fate until May, cable net- an economic expansion. shut down commercial tagline or any ed to shoot mostly in Ann for space in metro Detroit. work FX has picked up a The index has risen 16.3 the venture “confusingly similar imita- Arbor. Universal Pictures ex- Kleiner said he was in third season of modern points, or 29.4 percent, capital tions.” This follows pect to spend $12.5 million town to take the pulse of the Western crime show “Justi- since January. community Chrysler’s March 15 lawsuit region and visited both the fied” that’s based on a cou- Production, new orders in the state for the project. in Michi- against Moda Group LLC, Gov. Rick Snyder said city and the suburbs — but ple of novels by prolific and employment were all which operates Pure De- gan. It the search he was drawn to downtown best-selling author and up by more than 10 points, troit’s three stores. would have process is Detroit. Birmingham resident El- Rizik said Nitin Paranjpe, an econ- Internet2, the Ann Ar- been a dis- still under “I like the industrial feel more Leonard. omist and supply-chain fac- bor-based consortium that aster,” said Chris Rizik, man- way “both of the city,” Kleiner said. He’s the show’s executive ulty member at Wayne State is designing the next genera- “To be honest, the suburbs producer. It airs at 10 p.m. ager of the Renaissance Ven- University’s business school, locally and ture Capital Fund, a tion of the Internet, said Fri- are the suburbs no matter Wednesdays. which compiles the index. day that Stephen Wolff has nationally” where you go.” The new deal calls for 13 fund-of-funds that invests in for a re- other VC funds. joined it as chief technology Kleiner said he is eying episodes. Six more remain officer and interim vice placement several major cities for a this season. The VC firms and their ON THE MOVE for outgo- attorneys howled. OFIR re- president. Wolff is consid- concept under development “Justified” stars Timothy The U.S. Army Tacom Life ered one of the founders of ing Detroit called Carnivale Express, a Olyphant as U.S. marshal alized it had gone too far Bobb Cycle Management Command the Internet. He will be Public fast-casual version of the Raylan Givens, who has and said rule changes in Warren has appointed based in Washington, D.C. Schools emergency finan- opulent 35,000 square-foot been exiled to his native would be put on hold while Kathy Krewer as chief counsel Detroit’s three casinos cial manager Robert Bobb. “nuevo Spanish” Carnivale Kentucky to keep order af- it held meetings with stake- of its legal office, replacing grossed $114.5 million in New University of Michi- in Chicago. ter his throwback Wild holders. In March, OFIR fi- Emily Bacon, who retired in February revenue, down gan football coach Brady Kleiner is known as a vi- West ways draw his bosses’ nally issued something April 2010. Krewer had been 0.5 percent from $115 million Hoke has signed a six-year sionary in the Windy City ire in Miami. cumbersomely called the chief of business law for the in January and off 0.3 per- contract potentially worth for his willingness to open The show has averaged “sixth transition order ad- Army Sustainment Command at cent from $114.9 million in $18 million or more. The expansive restaurants in more than 2 million viewers ministering the Michigan Rock Island Arsenal in Illinois. February 2010. The details: deal for 2011 is a $300,000 underdeveloped neighbor- nationally, slightly above Uniform Securities Act, or- Roger Wood has been MGM Grand Detroit, down base salary bolstered by hoods. average for FX’s primetime der No. 2011-009-M” an- named CEO and president 3.7 percent from January $1.7 million in additional He said he enjoys opening fare. nouncing VC managers of Maumee, Ohio-based and down 3.5 percent year compensation. The con- restaurants in such areas, would be able to continue Dana Holding Corp., Automo- over year; MotorCity Casino- tract runs through 2016. and he called himself an collecting their 20 percent tive News reported. He had Hotel, down 0.23 percent Chicago-based express “urban underdog.” State relaxes post-Madoff of fund profits. been an executive vice pres- from January but up 5.7 per- bus service Megabus.com, “I enjoy a challenge,” he squeeze on VC firms ident and group president which serves Detroit and said. cent from February 2010; and general manager of the Ann Arbor among its stops, Kleiner has opened some It seemed, in light of the BITS & PIECES Greektown Casino-Hotel, up engine group of Auburn said that service to Pitts- of the trendiest eateries in Bernie Madoff scandal, like a 4.8 percent from January, Birmingham-based Hills-based BorgWarner Inc. burgh; Akron, Ohio; and Chicago, such as 33 Club, good idea at the time. In down 2.7 percent from Feb- celebrity photojournalist Wood succeeds John Devine, Toledo will soon be avail- Lobby Lounge and Room 21 March 2009, the notorious ruary 2010. Linda Solomon and Bob Giles, Dana’s executive chairman, able for as low as $1 one and has his hand in others con artist pleaded guilty to William Beaumont Hospi- editor and publisher of The who has been interim CEO way as part of an expan- as partner, investor and de- 11 felony counts related to tal in Royal Oak was named Detroit News when it won a and will retire on June 30. sion. signer. Said Kleiner: “I feel his bilking investors out of the best in Detroit by U.S. $18 billion. Pulitzer Prize in 1994, will Richard Smith, M.D., for- News & World Report for Detroit is a blank canvas be inducted into the Michi- mer president of the Michi- ready to explode.” That August, the state’s ranking nationally in six BITUARIES Office of Financial and Insur- gan Journalism Hall of Fame gan State Medical Society, has adult specialties. In the first O been ap- ance Regulation drafted on April 17 at the Kellogg Ho- metropolitan ranking by the Bob Comfort, who be- pointed vice Elmore Leonard back rules to amend the Uniform tel and Conference Center at magazine, Harper University came owner of the Famous president of Securities Act of 2002, in- Michigan State University. Hospital was ranked second, Maintenance company in in saddle on FX crime show physician cluding one that prohibited The other inductee is for- Henry Ford Hospital third, Oak- Harper Woods, died March outreach At least one television fund managers from being mer Petoskey News-Review wood Hospital and Medical 16 from hypertension and and part- crime drama with Detroit financially rewarded based Editor and Publisher Ken Center fourth and Beaumont diabetes. He was 55. nerships at connections will be back on on performance — Madoff Winter. Hospital in Troy fifth; 25 of David Davis Jr., founder Henry Ford 58 hospitals in Southeast Automobile Magazine Hospital in of Michigan were ranked. Detroit. He and former editor of Car The state is paying De- Smith is a senior and Driver, died March 27 loitte Consulting $14.6 million staff obstetrician/gynecolo- after complications from gist with the Henry Ford Med- to run its welfare computer surgery for bladder cancer. BEST FROM THE BLOGS ical Group. system for a year, the Asso- He was 80. READ THESE POSTS AND MORE AT WWW.CRAINSDETROIT.COM/BLOGS Ford Arts, Beats & Eats ciated Press reported. Edgar Presented by Citizens Bank in Meritor Inc. will close its Hagopian, a How Gilbert will control Detroit Detroit Works saga continues Royal Oak hired Scott Bar- European axle business by well-known tosiewicz as its social media the end of July because of metro De- poor performance in the re- If Dan Gilbert buys A recent op-ed piece community manager. Bar- troit retail- Chase“ Tower and by“ (urban planner Toni) tosiewicz was fired as an ac- gion. Troy-based Meritor is er, entre- (another) parking deck, Griffin in The New York count supervisor by New Me- expected to incur charges of preneur he’ll have a Times made no mention dia Strategies, which $17 million to $23 million. and philan- stranglehold on the of an affiliation with managed Chrysler’s corpo- After fully divesting its pas- thropist, parking for Chase Detroit. rate Twitter account. senger-vehicle business, died March Hagopian Tower, but also for the Chrysler is a former title ArvinMeritor officially be- 27 of can- other key Campus ” sponsor for the festival. came Meritor last week. Martius buildings. cer. He was 80. Esther Michael, long- ” COMPANY NEWS OTHER NEWS time manager of the Sheik Reporter Dan Duggan’s blog on commercial real estate Reporter Nancy Kaffer’s blog on the city of Detroit restaurant in downtown can be found at www.crainsdetroit.com/duggan and small business can be found Troy-based Delphi Auto- Paramount Pictures Detroit, died Feb. 14 of can- at www.crainsdetroit.com/kaffer motive LLP agreed to buy Corp. has decided to move cer. She was 83. DBpageAD.qxp 4/1/2011 3:42 PM Page 1

TITLE SPONSOR Join Crain’s General & In-House Counsel Summit

May 3 PREMIER SPONSOR GENERAL SPEAKER SPONSOR

Keynote speakers include: TRACK SPONSORS Maura Corrigan Director, Michigan Department of Human Services; Former State Supreme Court Justice

IN PARTNERSHIP WITH Randy Johnson ® Sr. Vice President, Labor, Immigration and PEN AND NOTEPAD SPONSOR Employee Beneﬁ ts, U.S. Chamber of Commerce MAJOR SPONSORS PRESENTED BY David Leitch General Counsel and Group Vice President, Ford Motor Company

Lafe Solomon VIP TITLE SPONSOR VIP LOCATION SPONSOR OPENING REMARKS SPONSOR Acting General Counsel, National Labor Relations Board Recognition event, educational BAG SPONSOR GIVE AWAY SPONSOR To register visit: sessions and awards summit www.regonline.com/2011counsel. May 3, 2011 REGISTRATION: WATER BOTTLE SPONSOR SUPPORTING SPONSOR LOCATION SPONSOR Summit & awards: Awards reception & Suburban Collection Showplace, Novi $75 each strolling dinner ONLY (formerly Rock Financial Showplace) $70* groups of 10+ $60 each $90 walk-ins $55* groups of 10+ BREAK SPONSORS Summit...... 1 – 5:30 p.m. $75 walk-ins Award Reception & Strolling Dinner....5:30 – 8 p.m. *For group rates please call 313.446.0300

Detroit Regional Chamber Mackinac Policy Conference: June 1 – June 5 Advertise to the most infl uential audience of the year Infl uence the infl uencers: BONUS No one covers the Detroit Regional Chamber Mackinac Policy DISTRIBUTED TO ALL MACKINAC Conference like Crain’s Detroit Business. This power feature is CONFERENCE ATTENDEES distributed to every attendee at the conference on Friday and runs in Monday’s Crain’s. Plus you’ll reach thousands more who DIGITAL DISTRIBUTION PLUS! can’t attend but won’t want to miss this news coverage. to 50,000 Web readers Crainsdetroit.com includes What you can expect: interactive blog coverage Crain's June 6 issue will assess the fi rst six months of the Snyder throughout the conference. administration and identify the most important issues for metro Detroit's business community. In addition to the Mackinac content: ■ Advanced Manufacturing with LIST of Privately Held Companies

■ Business Education with LIST of Largest Graduate Degree Programs

ISSUE DATE: June 6 | AD CLOSE: May 12

For advertising opportunities, call Marla Downs at 313.446.6032 or e-mail [email protected]