Detroit News: Unnamed local developer may purchase Joe Louis Arena site

The Detroit News’s Louis Aguilar reports an unexpected development regarding the future of the Joe Louis Arena site:

Even as the vacant Joe Louis Arena is dismantled, the plan to figure out what happens next at the riverfront site has taken another unexpected turn. 

The bond insurer that gained the property as compensation for losing $1.1 billion in Detroit’s bankruptcy no longer wants the property. Bond insurer Financial Guaranty Insurance Co., or FGIC, is in talks with an unnamed local development group that wants to buy the arena site and an adjacent parking garage and find a new use for the site. 

FGIC “would like to remove themselves from the city of Detroit and sell their interests,” said Matthew Walters, the city’s deputy group executive for jobs and the economy. 

Under the current deal with the city, FGIC needs to find a development partner for the site. The potential new arrangement would mean FGIC exits the deal, said Walters, who briefed an economic committee of city council on the plan for the site last week.

It’s not yet a done deal and the development group was not named. FGIC has been in talks with the development group for several weeks, Walters said. 


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George Malik

My name is George Malik, and I'm the Malik Report's editor/blogger/poster. I have been blogging about the Red Wings since 2006, when MLive hired me to work their SlapShots blog, and I joined Kukla's Korner in 2011 as The Malik Report. I'm starting The Malik Report as a stand-alone site, hoping that having my readers fund the website is indeed the way to go to build a better community and create better content.