Meritor Progress Report - June 23, 2000

Progress Report - Friday, June 23, 2000

Meritor Automotive Detroit Industrial Plant and Technology Center
in the Fort Jefferson Industrial Park

Below is a brief summation covering the important categories relating to the development of the Meritor Industrial and Technology Center. The intent is not to provide an exhaustive review of the week’s activities, but a brief synopsis. If a more detailed analysis is required, do not hesitate to call or e-mail.

Property Acquisition
Fisher Guide -	Our attorneys still continue to draft and negotiate the necessary easements. The Seller has been working to obtain the necessary releases for title exceptions. The Sellers have asked to delay the tentative closing date a second time until July 6.
Library -	A price has been negotiated, and the purchase agreement has been drafted awaiting execution.. Final approval from the Library Commission is now expected the week of June 26.
City lot -	The request to acquire the city lot was made on April 20. The acquisition is tied to the Radamacher road abandonment. Since the road abandonment is still in engineering review we have no date for the acquisition. A meeting with the city on this and other issues was held on Thursday, June 8. The City engineering department has sent the required letter out to the required departments and utility companies seeking their comments on the road abandonment.
Tire repair -	We anticipate closing June 29 and obtaining occupancy in 60 days (July 28).
Church lot -	Purchase Agreement executed. Subject to swap for City land.

Environmental

Nothing unexpected has caused concern. G2 the environmental company has met with representative from Meritor gathering information for the BEA filing. A preliminary environmental report was received on June 14.

Municipal Entitlements

On April 20, two petitions were delivered to the City. The first petition was for an informational meeting before the city council. This would allow us to introduce the council to the project. The second was a petition to vacate Rademacher, Rankin, and the alley behind the library. In addition, the second petition included the request that the city sell us the lot on the corner of Rademacher and Fort required for our development, and sell us two lots on the north side of Fort, required as part of the property swap with the church.

After the meeting Thursday June 8^th with both the City Planning and Development Department and the Detroit Economic Growth Corporation it was agreed the petition for an informational meeting should not be heard as a separate meeting, but rather held in conjunction with our first formal appearance to the City. Thus, at the time we are required to appear before Council on a petition which requires action, we will include information on the overall project. At this time we have no meeting date set. It is expected the first council action will be in August.

The Department of Public Works has sent out the notification to 16 City Departments and/or utility companies. Each has to respond before the request is processed further. Many of the Departments ( recreation, sanitation) have no interest and have notified the Department of Public Works they have no interest in the decision to close Radamacher. Other departments such as Water and Sewer have an interest and will have a longer response time. Marge Byington is working with all the companies and City Departments expediting the review. As the process moves forward we will have estimates on the cost which will be incurred in relocating utilities. Marge has notified all the companies of the importance of a timely and prompt review.

Contractor Selection

We interviewed four construction companies Friday June 9, and selected Campbell/Manix as the design build contractor. They were notified Friday June 16, and the first meeting was held on Tuesday, June 20.

Design

On Tuesday, June 20 we met with Campbell/Manix discussing our requirements. They prepared a preliminary design which was reviewed in Brighton at our site visit on Thursday, June 22. A second site visit in Brighton is scheduled for Tuesday, June 27 with the office design team. On Wednesday June 28, the design team will tour the glass plant in Detroit. Preliminary design is expected Friday, June 30.

Building Permits

Nothing to report at this time. The contractor is reviewing our construction schedule. A revised approved schedule will be completed by the end of next week.

Demolition

Adamo continues to move the forward with the permitting process. Since we have not closed on the property as originally scheduled, our intent is to begin the asbestos and PCB removal next week. The asbestos and PCB removal will take two weeks. At the conclusion of the asbestos and PCB removal demolition will begin. Thus, closing during the two week period will not delay the actual demolition.

Construction

Nothing to report at this time. A construction schedule will be completed by the end of next week.