Set to open sometime in 2017, a five story, $48 million multi-purpose development will take over some prime real estate at the north end of Royal Oak’s downtown Main Street.
Approved this week by the city of Royal Oak, the project includes plans to develop a 120-room Hyatt Place Hotel, 56 apartment spaces plus retail and office space and a 325-space parking deck. There will be three buildings totaling in 40,500 square feet of demolition for the space overall.
The development has been put together by Trailhead RO, LLC, an entity put together by Southfield-based Versa Development LLC and Royal Oak-based CG Emerson Real Estate Group, proposed the development. The city of Royal Oak is supporting the project through up to $3 million in tax increment financing reimbursements.
“Many people have cooperated over the past three years to get the project to this point and we can now push it over the finish line and get started,” says Greg Erne of Versa LLC.
And as for Royal Oak, a hotel development is big news. The city itself doesn’t serve as a home to any other lodging beyond the average motel.
The location, an obsolete car dealership settling in vacancy since 2008, will be set at just north of 11 mile at 400 N. Main St., for 3.56 acres and generate a total capital investment of $48 million with 144 jobs. The result will be a $4.5 million loan participation from the Michigan Community Revitalization Program.
Previous proposals for the site included an $18 million Kroger Co. store development that was strong opposed by local residents and competitors in the area.
The site was purchased in 2012 from Ally Bank out of foreclosure.