Romulus city staff and a Cooper Hotels representative on Monday described plans to demolish a condemned property and build two Hilton-brand hotels on a single parcel along the city’s hotel corridor, and explained the process for seeking a commercial redevelopment district and a tax abatement under Public Act 255.
City staff member Kevin Krause told the City of Romulus Council the meeting was informational and no action was requested that night: "we're not asking for any action this evening." Julie Albert, also with city staff, said this was the first of two required public hearings and that, if the council later approves a redevelopment district, the property owner would file an application followed by an additional public hearing and then a council action on the application.
Randy, a representative of Cooper Hotels, said the company purchased the Broadway Inn parcel, plans to demolish the existing structure and build two hotels sharing a lobby and common space, and estimated the total project at about $60,000,000. He said the developer is seeking an abatement under Public Act 255 to cover acquisition and demolition costs and noted that any abatement "can be up to 12 years if you choose," while the final number would be set during the application review.
Developers and staff gave preliminary fiscal estimates. Randy suggested the redeveloped site could generate roughly $300,000 in annual city tax revenue, compared with current taxes on the parcel of about $49,000. Staff described a city plan that would capture 50% of tax bills under the proposed arrangement and said that, even with an abatement, city receipts would likely be significantly higher than current revenue from the parcel.
Council members heard concerns from residents reported to them about a 12-year tax break. One councilmember said she had received 13 calls opposing the abatement, saying residents felt a 12-year term was "too much" and questioned what neighbors would get in return. The mayor and other council members urged better public education about how the abatement would work and emphasized the goal of removing a blighted property. As the mayor put it, the redevelopment would "remove the blight of the site" and help eliminate criminal activity that had concentrated at the parcel.
City staff emphasized that the request for up to 12 years is an initial developer ask and that staff (including Julie Oliver and Kevin Krause) would calculate a recommended abatement length when the formal application is submitted; the award could range from one to 12 years and would be determined through the administrative review and subsequent council action.
The public comment portion produced no speakers from the audience. No ordinance, resolution or abatement was approved at the special meeting; the council will consider the redevelopment district and any related action at a future meeting after staff completes the application review and calculations.
Votes at a glance
- Motion to accept the special public hearing agenda: moved by Councilwoman Talley, supported by Councilwoman Roscoe; vote recorded as yes, motion approved.
- Motion to adjourn: moved by Councilmember Wadsworth, supported by Councilwoman Talley; vote recorded as yes, motion approved.
Next steps
City staff said they will review any formal application from the property owner, calculate precise financials and recommend an abatement length for council consideration at future hearings.