DETROIT BUSINESS MAIN 03-20-06 A 1 CDB 3/17/2006 5:59 PM Page 1 ® http://www.crainsdetroit.com Vol. 22, No. 12 MARCH 20 – 26, 2006 $1.50 a copy; $59 a year ©Entire contents copyright 2006 by Crain Communications Inc. All rights reserved THIS JUST IN Denso to begin cutting Walbridge to sell Lyon site waste, emissions Southfield-based Denso Pontiac Trail International America Inc. Hopes to find buyer for 515 acres by summer last week unveiled a five- year environmental plan BY JENNETTE SMITH parts of it. growth strategy. 96 for its North American op- CRAIN’S DETROIT BUSINESS Doug Fura, vice president of “We had erations that it hopes will Southfield-based NAI Farbman, the hoped to develop Grand River Ave. cut emissions, waste and One of the region’s largest and brokerage recently hired to sell the it ourselves, but use of hazardous materials. longest-sought-after land parcels is land, said Walbridge wants to sell it it’s just too big Denso plans to cut car- for sale. to one buyer. Marketing packages for us,” Rakolta South Hill Rd. bon dioxide emissions by 18 The 515-acre site at Grand River are going out this week to prospec- said. “In order Walbridge Avenue and Milford Road in Lyon tive local and out-of-town investors for this to be Aldinger percent in its plants from site 2004 levels, slash water use Township has been owned by De- and potential corporate users. done properly, it troit-based Walbridge Aldinger Co. to 50 percent of 1999 levels The goal is to secure a buyer this has to be done by Milford Rd. and reduce landfill waste 75 since 1984. It came with the acqui- summer, Fura said. Rakolta someone with a sition of a construction company. John Rakolta Jr., Walbridge much bigger vi- percent from 1999 levels. It 12 Mile Rd. also wants to lower individ- It was once considered as a site for chairman and CEO, said the com- sion than us.” ual plant emissions to 30 a Toyota technical center and over pany decided now was the best There is no specific asking price Lyon Township percent of 2000 levels. the years various developers have time to sell, in part because the The plan, which Denso proposed plans to Walbridge for property was no longer part of its See Walbridge, Page 44 calls “Green Ways,” goes into effect in April. “These are stretch tar- gets — they are not easy for us,” Robert Townsend, Den- so’s senior manager for en- High but stable, vironmental affairs, said during a press conference. Denso says it wants to eliminate use of mercury, steel prices still cadmium, hexavalent chromium and lead by 2010. The chemicals are used in lighting, rubber and corro- vex auto suppliers sion-protection products. Lead is a common part of BY BRENT SNAVELY the soldering process. Power CRAIN’S DETROIT BUSINESS “Denso co-developed the Power n this week’s issue, Crain’s looks at civic power — world’s first mercury-free who has it and who should have more of it as the When it comes to steel, automotive suppliers discharge lamp system, and Who’s at the I region works to move forward. are adjusting to new realities: Prices aren’t go- our starters use lead-free ing to drop anytime soon, pressures on profit brushes,” Townsend said. The section features: margins will hamper ability to invest in product Denso also wants to de- table in development and they must devote more time velop guidelines with its ■ A ranking of the 51 local leaders who wield the most than ever to managing their steel contracts. suppliers for environmen- influence through membership on civic and nonprofit Justin Cook, senior consultant at Roland Berg- tally conscious purchas- Southeast boards. Pages 11, 13-21. er Strategy Consultants L.L.C.’s Troy office, said ing, officials said. ■ What if metro Detroit really thought regionally? We pick steel prices are expected to fluctuate less this Townsend said Denso is a “dream team” board of directors. Pages 23-34. year than in recent years. working to develop more “Our position is (steel prices) should stay rela- parts for hybrid vehicles Michigan, tively high,” Cook said, “and that they should be and improve its diesel rail Also: less volatile than they have been in the past.” technology. It also is tak- ■ Editorial: New voices are needed. Page 8. For the rest of this year, the price of hot-rolled ing measures to conserve and who ■ Christopher Crain: Ask the right people to help. Page 8. steel likely will range between $500 and $550 a water and energy and pro- ■ Mary Kramer: The lesson of Roger Penske. Page 12. ton, Cook said. mote recycling at its tech- High steel prices will continue to make it diffi- nical center in Southfield, should be ■ Super Bowl XL raised the bar on expectations. Page 22. cult for suppliers to invest in new products or which is being expanded. ■ Who’s the go-to guy? Jim Nicholson. Page 23. plant upgrades, and sometimes cause suppliers Denso International to take on additional debt. America is a unit of Japan- Web extras on www.crainsdetroit.com “It sounds like, ‘Oh the prices are flat, no based Denso Corp. Toyota ■ Want to see what makes the 51 businesspeople and problem.’ But it is because (prices) are flat at a Motor Corp. has about a 23 very high price,” said Neil De Koker, president percent stake in the parent philanthropists we list the most connected? We have of the Troy-based Original Equipment Suppliers As- company. provided a map for each of the “most connected” that sociation. “So it will continue to place significant Denso International shows the key boards on which they sit and how those pressure on margins within the industry.” America reported 2004 rev- connections interlock. Wes Smith, president and owner of E&E Manu- enue of $5.3 billion. ■ Other influential local leaders tell us about their vision facturing Co. Inc., a metal stamper in Plymouth, — Crain News Service and goals for metro Detroit. said he is paying between 32 cents and 35 cents a See This Just In, Page 2 See Steel, Page 44 Loft developer rolling Small Biz Solutions: How to on the river, win back a customer, NEWSPAPER Page 3 Page 36 DETROIT BUSINESS MAIN 03-20-06 A 2 CDB 3/17/2006 5:58 PM Page 1 Page 2 CRAIN’S DETROIT BUSINESS March 20, 2006 generate enough liquidity from reached a high of $37.89 on April Detroit BID meeting March 29 Southfield mulls proposal for THIS JUST IN operations to make our interest 12, 2005. They traded at about $22 payment in June.” Friday. The Downtown Detroit Partner- office-equipment warehouse ■ ship has set a preliminary plan- From Page 1 In September, Granite had The first complaint was filed The Southfield Planning Commis- ning session to establish a Busi- agreed to sell WDWB and KBWB- Feb. 10 in U.S. District Court in sion is studying plans for a 93,000- ness Improvement District for Midtown Cafe closing Channel 20 in San Francisco for Detroit. A second complaint was square-foot warehouse and office- downtown Detroit for 10:15 a.m. $180 million to Washington-based filed Feb. 17, also in Detroit. Both equipment showroom on what is Midtown Cafe said Thursday to noon, March 29. AM Media Holdings L.L.C. That deal contain similar allegations. now a vacant triangle of land at that it will be closing its doors The location is to be set this fell through, though, when it was An answer has not been filed in the Lodge Freeway and South- this Saturday after 30 years of announced in January that the any of the cases. week and can be learned by call- business in downtown Birming- field Road. WB and the UPN networks were ProQuest announced Feb. 9 ing (313) 961-1403 for information. Nick Banda, Southfield’s direc- ham. merging into a new network, the that “previously issued financial The featured speaker is Rich The restaurant, at 139 S. Old tor of planning and economic de- CW, which will begin broadcast- statements for fiscal years 1999 Bradley, CEO of the Washington velopment, said that it likely will Woodward Ave., has been open ing this fall, leaving both of Gran- through 2004, quarterly periods (D.C.) Downtown Partnership. That since 1975. The restaurant’s be two months before the propos- ite’s for-sale properties without a in 2005, and the company’s guid- organization’s eight-year-old BID al goes before Southfield City Coun- founder, Bruce Cameron, died al- network affiliation. ance for fiscal 2005, should no is considered one of the most suc- most three years ago, according cil. If approved, groundbreaking — Tom Henderson longer be relied upon.” cessful among the more than could be this summer. to a statement issued by the — Andrew Dietderich 1,000 improvement organizations restaurant. Since then, the The land is owned by the Troy- in the country. based Kirko Development, which restaurant has been managed by Third ProQuest suit filed In a BID, properties are taxed the estate. Negotiations are un- RKA offers biodiesel fuel would build the facility and lease A third class action lawsuit has to raise money for such things as it to Corporate Express Inc., a Col- derway for the sale of the liquor been filed in Detroit on behalf of RKA Petroleum Cos. earlier this sidewalk and street cleaning, license. orado-based subsidiary of Buhr- investors who bought shares of month began offering a more en- landscaping, graffiti removal and — Brent Snavely mann NV of the Netherlands.