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Field of Dreams? Detroit aims to turn design into dollars, Page 3 MAY 2-8, 2016 Field of dreams? Gilbert-Gores plan to bring pro soccer team to PHOTO BY MICHAEL LEWIS II / LEWIS MICHAEL BY PHOTO downtown Detroit kicks up questions, skepticism RENDERING BY ROSSETTI ASSOCIATES INC. ASSOCIATES ROSSETTI RENDERING BY Site of proposed soccer arena By Bill Shea [email protected] Soccer stadium plan could ast week’s announcement that Dan Gilbert and Tom Gores intend to bring a Major League Soccer team to downtown Detroit as part of a billion-dollar entertainment district raised a score payo for Syncora L litany of questions that must be answered before the fi rst ball is ever kicked on the pitch. By Kirk Pinho and Robert Snell Consolidated Jail ever gets off the How anyone makes a top-tier professional soccer [email protected], [email protected] ground, Syncora’s acceptance of de- team work in Detroit as the market’s fi fth major league It may have lost millions in its veloping rights to the former Detroit franchise is a question whose many answers will play bankruptcy settlement with Detroit, Police Department headquarters out over time, soccer insiders say. but Syncora Guarantee Inc.’s bet on building as well as about 8.3 acres of The ownership group, which unveiled its elaborate greater downtown real estate ap- east riverfront land near Chene Park plans during a press conference that included a very pears to be paying off. seems to have made the haircut it supportive MLS Commissioner Don Garber, must fi rst At least one of the properties the will take on its bankruptcy claim acquire the land it wants, the 15 acres that currently is bond insurer now has development less drastic than originally thought. home to the unfi nished Wayne County jail at I-375 rights to on the east riverfront and Particular properties along the and Gratiot Avenue — something very likely to be a near Greektown would play a key riverfront have gained signifi cant thorny political and fi nancial negotiation in coming role in Dan Gilbert’s and Tom Gores’ value in the 18 months since Ber- months. ambitious $1 billion plan an- muda-based Syncora settled a $333 After that, there must be a great reckoning in the nounced last week to bring a Major million bankruptcy claim for $44.8 local soccer community. Reaction among soccer fans League Soccer team and a new stadi- million in new debt, a lease to oper- on social media to the MLS announcement has been um and mixed-use development ate the Detroit-Windsor Tunnel, a mixed, from unbridled enthusiasm to bitter scorn. downtown. long-term lease of a Grand Circus JACOB LEWKOW “We need to unify the soccer community. We need Whether the development on the Park parking garage, development Dan Gilbert (above) has teamed with fellow NBA owner to all buy into the plan,” said Dan Duggan, longtime site of the half-built Wayne County SEE SYNCORA, PAGE 21 Tom Gores to make a go of big-league soccer in Detroit. SEE SOCCER, PAGE 20 Taubman’s former CFO looks forward to new challenge at Soave By Tom Henderson Taubman Centers Inc. at the end of at Soave and president of the Soave create the right relationship with [email protected] last year after nearly 20 years on Real Estate Group. In addition, Tony’s daughters, who will eventu- Tony Soave has closed a lot of the job to satisfy a yearning to be a Payne will set up the Soave Family ally inherit the fi rm.” deals over the years for his CEO or a COO at another large en- O ce to help manage the family’s Those daughters — Anjelique, far-reaching Soave Enterprises LLC. terprise. philanthropy, investments and tax who is 43, and Andrea, 40 — are The latest? Persuading Lisa After some arm-twisting by and estate planning. currently on Soave’s board of di- Payne to take on a variety of roles Soave and Yale Levin, his executive As if that isn’t enough, Payne rectors. The plan is to give them at his Detroit-based company. vice president, Payne has agreed will also be in charge of imple- more responsibility in roles to be Payne stepped down as CFO of to become chairman of the board menting a management succes- determined in day-to-day opera- sion plan for the company. Soave tions of the company. “I was struggling with © Entire contents copyright 2016 is 76 and Levin is 75. Soave and Levin say they don’t by Crain Communications Inc. All rights reserved While there is no plan for Soave want the company to be sold, ei- whether I wanted this crainsdetroit.com Vol. 32 No 18 $2 a copy. $59 a year. to retire as CEO and president, “I ther whole or in pieces, upon much of a job. And don’t want to work as hard as I Soave’s death, but to continue on Tony closed the deal. have been. I don’t want to go away, as a family business. but I want to work less,” said Payne, who is 57, will formally He knows how to close Soave. join Soave on July 11, “three days a deal.” “We’re all mortal,” said Levin. after I drop off my daughter at Lisa Payne, on being hired by Tony “Lisa is charged with creating the Miami (University) of Ohio and Soave to be president of Soave Real NEWSPAPER right environment to keep us offi cially become an empty-nest- Estate Group and chairman of the heading in the right direction and SEE PAYNE, PAGE 18 board at Soave Enterprises LLC 2 CRAIN’S DETROIT BUSINESS // MAY 2, 2016 deepening and other steps. new computer system to replace a MICHIGAN In more Flint water news, Time half-century-old master control INSIDE magazine named Michigan pedia- system that opens and closes the THIS ISSUE trician Mona Hanna-Attisha and locks between lakes Huron and BANKRUPTCIES .................................4 Virginia Tech professor Marc Ed- Superior, AP reported. This year’s CALENDAR .........................................15 wards — both credited with ex- upgrade in Sault Ste. Marie is part CLASSIFIED ADS ...............................17 posing the water crisis — to its an- of a maritime industry move to DEALS & DETAILS .............................16 nual list of the 100 Most Influential more digital and automated sys- MARY KRAMER ..................................6 OPINION ..............................................6 BRIEFS People in the world. tems. The U.S. Army Corps of Engi- OTHER VOICES ................................... 7 out-of-state students to increase neers operates the navigational Labor shortage looms in PEOPLE ...............................................16 college enrollment, increase col- lock complex. state, BLM study says MICH-CELLANEOUS RUMBLINGS ......................................22 laboration between higher educa- Ⅲ Drugmaker Perrigo Co. plc Ⅲ Two Michigan health systems WEEK ON THE WEB .........................22 A labor shortage in Michigan is tion institutions and businesses, named John Hendrickson as CEO made Ann Arbor-based Truven looming, according to a study create awareness programs about after the resignation of Chairman Health’s list of top 15 health sys- from the Business Leaders of Michi- high-paying growth jobs, among and CEO Joe Papa. The leadership tems. Grand Rapids-based Spec- COMPANY INDEX: gan. other initiatives. change came as Allegan-head- trum Health was recognized for the SEE PAGE 21 Despite increased skills gaps quartered, Dublin-domiciled Per- large system with more than and more technology, the current Obama to visit Flint this rigo projects lower-than-expected $1.75 billion in annual revenue. shortage remains in low-skilled, earnings for the first quarter, MiB- MidMichigan Health in Midland won each. Grant applications must be low-paying jobs. Restaurant, week, hear from residents iz reported. A 27-year veteran of recognition for the small health postmarked by June 10 and details cleaning and maintenance, and President Barack Obama this Perrigo who has served as presi- system with less than $750 million are posted online. Award an- fishing, farming and forestry face week will make his first trip to Flint dent since October, Hendrickson in annual revenue. Truven Health nouncements are anticipated in the most immediate labor short- since the city was found to have took over following Papa’s depar- grades health systems based on August. The effort is administered ages, according to the study. lead-tainted drinking water, the ture to become CEO of Que- eight key measures of perfor- by the DNR’s Urban and Commu- The average hourly wage for White House said. Obama is due bec-based Valeant Pharmaceuticals mance in quality, safety and pa- nity Forestry program. those occupations is $14.81, to receive a briefing on the federal International Inc. tient satisfaction. Ⅲ Traverse City-based Moomers 32 percent below the state average effort to assist in the cleanup and Ⅲ Michigan will receive more Ⅲ The Detroit-based DTE Energy Homemade Ice Cream was enjoying of $21.70. In fact, two-thirds of the to hear directly from Flint resi- than $17 million under a settle- Foundation and the Michigan Depart- the No. 1 spot on USA Today’s list 4.5 million jobs in Michigan that dents about the toll the contami- ment in which Pzer Inc. agreed to ment of Natural Resources will for a of the nation’s best ice cream par- required no more than a high nation has had on their health and pay $784.6 million to resolve a 19th year fund tree-planting proj- lors. As of Friday, Moomers was school diploma paid an average their lives, The Associated Press 14-year-old lawsuit claiming its ects across the state, AP reported. ahead of 19 other spots around the hourly rate of $17.68, or 19 percent reported.
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