Of the 6.4 million square feet of new industrial space under construction in metro Detroit in the first quarter, the most recent for which data was available, some 5.7 million square feet was warehouse or distribution space, according to a report from the local office of Newmark Knight Frank, a New York City-based brokerage.
The market has a vacancy rate of just 4 percent, and the asking rents are $5.27 per square foot per year. In southern Wayne County, where Huron Township is located, warehouse/distribution space commands slightly less, about $5.22 per square foot per year.
Danny Samson, chief development officer for Sterling Group, told the township board that after dispelling what he called “a fair amount of misinformation,” some “folks have been open minded, have been able to understand that what we are talking about is not doomsday and can be very contributory and beneficial to the community beyond the simple tax base.”
And Jeremy Caddy, the township treasurer, echoed that there was “misinformation.”
“I’m going to cut to the chase and be brutally honest. There is a lot of misinformation … My fear is if we don’t control the rules of the game on this property now and we deny this, we are getting manufacturing, high impact manufacturing, they’ll get a tax abatement …” Caddy said.