Council clears incentives and brownfield plan for 600 Town Center redevelopment
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Summary
The council approved an OPRA tax-exemption, rezoning and a brownfield reimbursement plan to support rehabilitation of the former Hyatt at 600 Town Center Drive, describing roughly $45 million in private investment and a target completion by 2027.
The Dearborn City Council approved a package of development incentives Dec. 7 to support a major rehabilitation at 600 Town Center Drive, the site of the former Hyatt Regency.
The council approved an OPRA (Obsolete Property Rehabilitation Act) application and a companion brownfield plan and reimbursement agreement that together would support the developer’s plan to convert the vacant, deteriorated building into a mixed-use property with hotel rooms, apartments and convention space. Officials described roughly $45 million in anticipated private investment, including $7 million in acquisition and rehabilitation costs; the developer has already paid more than $600,000 in outstanding taxes.
Mayor Abdullah Hamoud praised the developer team and said the project would restore a long-vacant landmark near downtown Dearborn and strengthen connections to nearby University of Michigan–Dearborn and Fiorna Ford operations. "To finally have a partner and a developer who came forward to pick this up... it's gonna be a beautiful sight," the mayor said.
Council discussed oversight included in the brownfield agreement: the city requires the hotel to maintain a full-service standard during the incentive period and retains approval rights over sales or transfers during that time. Council member Hamoud said the brownfield structure imposes a higher regulatory threshold, including state authorization to capture non-local tax increment for reimbursement.
Council also rezoned a separate property at 2727 South Gulley Road from medium to light industrial to better match surrounding land use; both that rezoning and the redevelopment actions passed by unanimous roll call.
The brownfield plan sets a 30-year term with maximum eligible expenses listed at about $22,175,301 and estimated TIF capture of approximately $11,400,000 over years 1–30. The developer seeks a 12‑year tax abatement and a 30‑year brownfield TIF; after local approvals, the developer will apply to the state for authorization to capture non-local tax increment.
Council approved the related reimbursement agreement authorizing the mayor to execute necessary documents. Staff said rehabilitation work is underway and the developer anticipates completion by 2027.
Votes: rezoning (Ordinance No. 25-1862) passed by roll call 7–0; OPRA exemption and brownfield plan passed by unanimous roll call.