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DETROIT BUSINESS MAIN 06-09-08 a 1 CDB.Qxd DETROIT BUSINESS MAIN 06-09-08 A 1 CDB 6/6/2008 6:52 PM Page 1 ® www.crainsdetroit.com Vol. 24, No. 23 JUNE 9 – 15, 2008 $2 a copy; $59 a year ©Entire contents copyright 2008 by Crain Communications Inc. All rights reserved THIS JUST IN BAE to buy TRW plant ‘Cut!’ cry Rockville, Md.-based de- fense contractor BAE Sys- tems Inc. plans to acquire the shuttered TRW Automo- tive Holdings Corp. plant in Sterling Heights by year’s end. The real estate deal is critics of part of BAE’s planned local expansion. Terms of the purchase were not released, and TRW’s senior communica- tions manager, John Wilker- son, said the Livonia auto film law supplier has a nondisclo- sure agreement with BAE. The 529,000-square-foot site Payouts, exemptions has a listing price of $8.95 NATHAN SKID/CRAIN’S DETROIT BUSINESS million on real estate data- As the value of scrap metal has soared, scrap yards are paying top dollar for such metal as this “clean” base Costar Group. copper held at the Kimmel Scrap Iron & Metal Co. in Detroit. stir drive for rewrite The plant, at 34201 Van Dyke Ave., used to employ BY BILL SHEA 135 people but has been va- CRAIN’S DETROIT BUSINESS cant since late 2006. Garrie Dornan, BAE com- Michigan’s new film incentive law could get a munications director, said Precious metal Hollywood-style script rewrite. the company will take pos- Signed into law in April, the legislation reim- session after a due dili- burses filmmakers up to gence period. “When that’s As thefts increase, tougher laws are being mined 42 percent of production done, in December, if all expenses accrued in $120 goes well we take posses- BY NANCY KAFFER cis Grunow, the building’s steep, canyon- Michigan. That has sion and begin renovations CRAIN’S DETROIT BUSINESS style copper roof was stripped, likely in some legislators in early 2009.” broad daylight, by thieves intent on making a alarmed because early million The TRW site is part of For 90 years, the Lee Plaza has held a promi- buck from the derelict structure. predictions say the state Predicted amount an environmental remedia- nent place on West Grand Boulevard in De- “It’s amazing how people were able to re- will pay out at least $120 state will pay by next year in tion agreement between troit’s New Center. move it,” Grunow said. “The roof, and the million by next year in TRW and the Michigan De- The 15-story art deco apartment building, approved reimburse- approved vast majority of the windows’ metal casings. reimbursements. partment of Environmental built in 1929, was notable for a few architec- They weren’t copper but were obviously ments. Also raising ire is that Quality that has been in tural details — the decorative lions that valuable enough to take.” television commercial work is being exempted place regarding removal of graced its ground level, its graceful arched As the value of copper and other metals from the incentives. oil deposits on the property. windows, its copper roof. has risen, abandoned or occupied structures, Currently, 22 film projects valued at $194 mil- BAE can withdraw from Lee Plaza was shuttered during the 1990s, utility lines and even vehicles have become lion have been approved by the state treasurer’s the transaction before mid- but the building’s verdigris roof remained in targets for scavengers, drawing attention December if it finds seri- office, which translates into a potential $69 mil- place for almost a decade. from law enforcement, community groups ous environmental conta- lion the state would pay filmmakers, provided About two years ago, that changed. and lawmakers. the productions are completed as expected. mination it did not expect. Over the course of three months, said BAE expects to hire 460 Preservation Wayne Executive Director Fran- See Metal, Page 22 See Film, Page 21 people and invest $58.4 mil- lion in expanding its land and armaments operating group. It obtained tax credits to- taling $22.1 million in April from the Michigan Tax bill jumps 14,000% for Plymouth Twp. company Economic Growth Authority. New positions will in- BY CHAD HALCOM der MBT and its accompany- ing and keeping jobs,” he said. “Needless to say, clude mechanical and sys- CRAIN’S DETROIT BUSINESS ing surcharge — meaning a we were a bit distressed.” tems engineers plus some projected $168,000 for calendar The company apparently took a double impact management staff to handle Sticker shock doesn’t quite capture Brad year 2008. As a result, Star- from the restructuring of tax laws enacted by the specific defense contracts. Wardell’s reaction when his accountants re- dock is weighing a possible re- Michigan Legislature in 2007. For one thing, Real estate brokers in- cently presented him the anticipated Michigan location to Redmond, Wash., Wardell said, the defunct SBT was computed clude Southfield-based Business Tax bill for Stardock Corp. later in the year if it can’t get partly on a company’s number of employees and Plante & Moran Cresa L.L.C., The Plymouth Township-based maker of PC- assistance to reduce or offset and Colliers International in platform games and desktop software products its tax burden, said Wardell, most of Stardock’s 55 employees are contracted Southfield. paid an estimated $1,200 per calendar year un- its president and CEO. through ADP TotalSource, a professional employer — Chad Halcom, organization and division of Roseland, N.J.-based der the state’s previous Single Business Tax, Wardell “That one tax is equal to Daniel Duggan which the MBT replaced on Jan. 1. (payroll for) two or three em- Automatic Data Processing Inc. For the current fiscal year ending June 30, ployees. And that’s on top of all other taxes we For another, the MBT burden is computed See This Just In, Page 2 the company expects to pay roughly $84,000 un- pay a state that at least tries to talk about grow- See Tax, Page 22 Gas stations offer CRAIN’S LISTS discounts for Nursing homes, senior communities, NEWSPAPER cash, Page 18 home health care, Pages 13, 14 DETROIT BUSINESS MAIN 06-09-08 A 2 CDB 6/6/2008 6:18 PM Page 1 Page 2 CRAIN’S DETROIT BUSINESS June 9, 2008 The city wants a private man- Stern will remain Big’s CEO un- $11 million from local and nation- ceive payments by mail for a yet- THIS JUST IN agement company to run the 50- der Meredith’s ownership. Her al foundations toward a $40 mil- to-be determined period of time, year-old arena to help offset a company will become a sub- lion Neighborhoods Now 2008- but the Unemployment Insurance ■ From Page 1 $335,000 annual subsidy from tax- sidiary of Meredith Integrated Mar- 2010 campaign in Detroit and Agency believes most will opt for payers. keting, a business-to-business nearby suburbs. electronic payment. Israel auto-parts maker plans Other likely McMorran bid- unit. Deborah Younger, senior pro- The agency last year issued ders include Philadelphia-based Big Communications nearly gram director at Detroit LISC, nearly 3.4 million unemployment Rochester Hills site SMG Inc.; Mechanicsville, Va.- folded in 2001 and found success said top campaign funders so far checks and expects to save about Israel-based Raval ACS Ltd. is ex- based Rink Management Services after a refocus on the pharmaceu- include John S. and James L. Knight $1.6 million annually in postage panding in the United States, with Corp.; Ames, Iowa-based Venu- tical industry. Clients include Foundation ($3 million); Kellogg and paper costs when it fully a plan to spend $7 million to build Works Inc.; and RG Sports & Enter- Bristol Meyers Squibb, Merck, Scher- Foundation ($2 million); Kresge moves to the electronic options. a design, development and manu- tainment of Vancouver, British ing-Plough, Pfizer and Ortho-McNeil. Foundation ($1.5 million); Hudson- — Amy Lane facturing base in Rochester Hills Columbia. Big Communications has more Webber Foundation ($1.5 million); for its injection-molded auto parts. — Bill Shea than 90 employees and sales last HUD section IV funding ($1 mil- Raval USA Inc. will focus on creat- year of $17.7 million. lion); The Skillman Foundation WOMEN TO WATCH ing North American business for — Bill Shea ($500,000); Living Cities ($425,000); L. Mason Capitani expands and State Farm ($300,000). Do you know a woman who is its line of vents and valves in fuel poised to make a difference in her systems. The company expects to Troy-based commercial real es- ACCESS gets new COO — Robert Ankeny company or industry in the next have 65 jobs at its new facility. tate firm L. Mason Capitani is ex- year? Or one Raval ACS, based in Kibbutz Re- panding its brokerage to include John Artis, who has been Dear- Mailed state unemployment who had an vivim, is a publicly traded compa- retail services. The company born Public Schools superinten- innovative idea ny on the Tel Aviv stock exchange. hired Thomas Boutrous II, a retail dent for the last six years, was checks to be phased out or developed an innovative It already has built a business for broker who had been working in named COO for Dearborn-based The state is phasing out its prac- practice? itself with European carmakers. the Southfield office of CB Richard ACCESS, the Arab Community Cen- tice of mailing unemployed work- If so, she could — Crain News Service Ellis, to head the division. ter for Economic and Social Services, The firm, founded in 1965, has effective Aug.
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