Crain's Detroit Business, May 2, 2016 issue by Crain's Detroit Business

Detroit aims to turn design into dollars, Page 3 MAY 2-8, 2016 PHOTO BY MICHAEL LEWIS II / RENDERING BY ROSSETTI ASSOCIATES INC.

Field of dreams? Gilbert-Gores plan to bring pro soccer team to downtown Detroit kicks up questions, skepticism

Site of proposed soccer arena

Soccer stadium plan could score payoff for Syncora By Kirk Pinho and Robert Snell

Consolidated Jail ever gets off the ground, Syncora’s acceptance of developing rights to the former Detroit Police Department headquarters building as well as about 8.3 acres of east riverfront land near Chene Park seems to have made the haircut it will take on its bankruptcy claim less drastic than originally thought. Particular properties along the riverfront have gained significant value in the 18 months since Bermuda-based Syncora settled a $333 million bankruptcy claim for $44.8 million in new debt, a lease to operate the Detroit-Windsor Tunnel, a long-term lease of a Grand Circus Park parking garage, development

kpinho@crain.com, rsnell@crain.com

It may have lost millions in its bankruptcy settlement with Detroit, but Syncora Guarantee Inc.’s bet on greater downtown real estate appears to be paying off. At least one of the properties the bond insurer now has development rights to on the east riverfront and near Greektown would play a key role in Dan Gilbert’s and Tom Gores’ ambitious $1 billion plan announced last week to bring a Major League Soccer team and a new stadium and mixed-use development downtown. Whether the development on the site of the half-built Wayne County

SEE SYNCORA, PAGE 21

JACOB LEWKOW

Dan Gilbert (above) has teamed with fellow NBA owner Tom Gores to make a go of big-league soccer in Detroit.

By Bill Shea bshea@crain.com

ast week’s announcement that Dan Gilbert and Tom Gores intend to bring a Major League Soccer team to downtown Detroit as part of a billion-dollar entertainment district raised a litany of questions that must be answered before the first ball is ever kicked on the pitch. How anyone makes a top-tier professional soccer team work in Detroit as the market’s fifth major league franchise is a question whose many answers will play out over time, soccer insiders say. The ownership group, which unveiled its elaborate plans during a press conference that included a very supportive MLS Commissioner Don Garber, must first acquire the land it wants, the 15 acres that currently is home to the unfinished Wayne County jail at I-375 and Gratiot Avenue — something very likely to be a thorny political and financial negotiation in coming months. After that, there must be a great reckoning in the local soccer community. Reaction among soccer fans on social media to the MLS announcement has been mixed, from unbridled enthusiasm to bitter scorn. “We need to unify the soccer community. We need to all buy into the plan,” said Dan Duggan, longtime SEE SOCCER, PAGE 20

Taubman’s former CFO looks forward to new challenge at Soave By Tom Henderson thenderson@crain.com

Tony Soave has closed a lot of deals over the years for his far-reaching Soave Enterprises LLC. The latest? Persuading Lisa Payne to take on a variety of roles at his Detroit-based company. Payne stepped down as CFO of

Taubman Centers Inc. at the end of

last year after nearly 20 years on the job to satisfy a yearning to be a CEO or a COO at another large enterprise. After some arm-twisting by Soave and Yale Levin, his executive vice president, Payne has agreed to become chairman of the board

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at Soave and president of the Soave Real Estate Group. In addition, Payne will set up the Soave Family Office to help manage the family’s philanthropy, investments and tax and estate planning. As if that isn’t enough, Payne will also be in charge of implementing a management succession plan for the company. Soave is 76 and Levin is 75. While there is no plan for Soave to retire as CEO and president, “I don’t want to work as hard as I have been. I don’t want to go away, but I want to work less,” said Soave. “We’re all mortal,” said Levin. “Lisa is charged with creating the right environment to keep us heading in the right direction and

create the right relationship with Tony’s daughters, who will eventually inherit the firm.” Those daughters — Anjelique, who is 43, and Andrea, 40 — are currently on Soave’s board of directors. The plan is to give them more responsibility in roles to be determined in day-to-day operations of the company. Soave and Levin say they don’t want the company to be sold, either whole or in pieces, upon Soave’s death, but to continue on as a family business. Payne, who is 57, will formally join Soave on July 11, “three days after I drop off my daughter at Miami (University) of Ohio and officially become an empty-nestSEE PAYNE, PAGE 18

“I was struggling with whether I wanted this much of a job. And Tony closed the deal. He knows how to close a deal.” Lisa Payne, on being hired by Tony Soave to be president of Soave Real Estate Group and chairman of the board at Soave Enterprises LLC

C R A I N ’ S D E T R O I T B U S I N E S S // M A Y 2 , 2 0 1 6

MICHIGAN

BRIEFS Labor shortage looms in state, BLM study says

A labor shortage in Michigan is looming, according to a study from the Business Leaders of Michigan. Despite increased skills gaps and more technology, the current shortage remains in low-skilled, low-paying jobs. Restaurant, cleaning and maintenance, and fishing, farming and forestry face the most immediate labor shortages, according to the study. The average hourly wage for those occupations is $14.81, 32 percent below the state average of $21.70. In fact, two-thirds of the 4.5 million jobs in Michigan that required no more than a high school diploma paid an average hourly rate of $17.68, or 19 percent lower than the state average. But that’s set to change: By the end of 2018, jobs requiring a high school diploma or less are expected to drop by more than 19,000, and jobs requiring an associate degree or higher will grow by more 21,000, the BLM report said. To tackle the upcoming job shortages, BLM recommends marketing to both in-state and

out-of-state students to increase college enrollment, increase collaboration between higher education institutions and businesses, create awareness programs about high-paying growth jobs, among other initiatives.

Obama to visit Flint this week, hear from residents President Barack Obama this week will make his first trip to Flint since the city was found to have lead-tainted drinking water, the White House said. Obama is due to receive a briefing on the federal effort to assist in the cleanup and to hear directly from Flint residents about the toll the contamination has had on their health and their lives, The Associated Press reported. Obama said he plans to “use my voice to call for change” in Flint. His visit will come after the U.S. Senate Environment and Public Works Committee last week approved a

$220 million aid package for Flint. The committee backed the bipartisan deal as part of a broader, $4.8 billion bill that authorizes water-related projects across the country for flood control, harbor

deepening and other steps. In more Flint water news, Time magazine named Michigan pediatrician Mona Hanna-Attisha and Virginia Tech professor Marc Edwards — both credited with exposing the water crisis — to its annual list of the 100 Most Influential People in the world.

MICH-CELLANEOUS Drugmaker Perrigo Co. plc

named John Hendrickson as CEO after the resignation of Chairman and CEO Joe Papa. The leadership change came as Allegan-headquartered, Dublin-domiciled Perrigo projects lower-than-expected earnings for the first quarter, MiBiz reported. A 27-year veteran of Perrigo who has served as president since October, Hendrickson took over following Papa’s departure to become CEO of Quebec-based Valeant Pharmaceuticals International Inc.

Michigan will receive more than $17 million under a settlement in which Pfizer Inc. agreed to pay $784.6 million to resolve a 14-year-old lawsuit claiming its Wyeth unit overcharged the government by hiding the discounts it was giving hospitals for drugs used to treat acid-related damage to the esophagus, Bloomberg reported. New York City-based Pfizer, which acquired Wyeth in 2009, announced the broad terms of the agreement in February. Michigan was one of 35 states that were part of the lawsuit. The Soo Locks are getting a

{Executive series.}

new computer system to replace a half-century-old master control system that opens and closes the locks between lakes Huron and Superior, AP reported. This year’s upgrade in Sault Ste. Marie is part of a maritime industry move to more digital and automated systems. The U.S. Army Corps of Engineers operates the navigational lock complex. Two Michigan health systems made Ann Arbor-based Truven Health’s list of top 15 health systems. Grand Rapids-based Spectrum Health was recognized for the large system with more than $1.75 billion in annual revenue. MidMichigan Health in Midland won recognition for the small health system with less than $750 million in annual revenue. Truven Health grades health systems based on eight key measures of performance in quality, safety and patient satisfaction. The Detroit-based DTE Energy Foundation and the Michigan Department of Natural Resources will for a 19th year fund tree-planting projects across the state, AP reported. A total of $75,000 is available in matching grants of up to $3,000

INSIDE THIS ISSUE

BANKRUPTCIES ................................. 4 CALENDAR .........................................15 CLASSIFIED ADS............................... 17 DEALS & DETAILS.............................16 MARY KRAMER .................................. 6 OPINION .............................................. 6 OTHER VOICES ................................... 7 PEOPLE ...............................................16 RUMBLINGS ...................................... 22 WEEK ON THE WEB ......................... 22

COMPANY INDEX: SEE PAGE 21 each. Grant applications must be postmarked by June 10 and details are posted online. Award announcements are anticipated in August. The effort is administered by the DNR’s Urban and Community Forestry program. Traverse City-based Moomers Homemade Ice Cream was enjoying the No. 1 spot on USA Today’s list of the nation’s best ice cream parlors. As of Friday, Moomers was ahead of 19 other spots around the country. Voting in the competition will continue until May 23.

Correction Due to a technical error with the survey database of Crain’s Greater Michigan Law Firms list, which appeared in the April 25 issue, Warner Norcross & Judd LLP’s top Michigan executive was listed incorrectly. It should have been Douglas Dozeman, managing partner. A corrected version of the list is at www.crainsdetroit.com/section/ data_lists.

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C R A I N ’ S D E T R O I T B U S I N E S S // M A Y 2 , 2 0 1 6

Southfield Westin gets 3rd upgrade $12M renovation occurring same time as nearby former Holiday Inn By Sherri Welch swelch@crain.com

designation. The application also included a video by filmmaker Stephen McGee that showed, in fast motion, the city’s design assets. “It’s been shown all over the world,” Schneider said. “Detroit has never been seen from this perspective before.” Rogers said the designation should provide benefits in economic development and new jobs in the city. “This should heighten Detroit's reputation for creativity even more,” he said. It was not one piece of architecture, or one creative social innovation or a single college or university that gave Detroit the 10-year-long UNESCO designation late last year. Rather it was

The Westin Southfield Detroit is in the midst of a $12 million renovation, its third complete update since the hotel became a Westin 18 years ago. The project will update the hotel’s 389 rooms, corridors, the lobby and common and meeting spaces in three phases, with expected completion in the fall of next year. Room to Owned by Scottsdale, stay Ariz.-based Atrium HoldRenovations ing Co., the hotel replaced add space at the roof of its 1500 two hotels, Southfield Town Center Page 9 building last fall, General Manager Jerry Tononi said. Westin’s Heavenly brand mattresses, new foundations and bedding were added in the guest rooms over the past couple of months. Next on tap are new wallpaper, carpeting and lighting in the guest room corridors and additional updates to the rooms themselves. Those include new Heavenly brand showers, carpeting, wallpaper, drapery, lamps and 43inch televisions “because TVs can never be large enough today,” Tononi said. Rather than liquidating the furniture brought in during the hotel’s last complete renovation in 2007 and buying new, the hotel is “going green” with its renovation of the furniture, he said, keeping its “bones” but reupholstering each piece.

SEE DESIGN, PAGE 17

SEE HOTELS, PAGE 17

DETROIT CREATIVE CORRIDOR CENTER

The Mothership by the O.N.E. Mile Project on display in Detroit’s North End neighborhood; leveraging creative assets into economic activity is one of its aims.

Turning design into dollars By Marti Benedetti mbenedetti@crain.com

Detroit’s designation last year as a UNESCO city of design could result in partnerships with designers in other UNESCO cities such as Berlin; Graz, Austria; or Bilbao, Spain. “This designation means Detroit will have a stronger international relationship with its peers around the globe, and that could result in possible joint ventures that would drive revenue here,” said Matt Clayson, vice president, general counsel, business development and governmental affairs for Southfield-based Detroit Trading Co. and former executive director of the Detroit Creative Corridor Center. DC3 was spawned

Detroit hopes UNESCO recognition sparks global ventures in 2010 by the College for Creative Studies and Business Leaders for Michigan. Clayson, along with Ellie Schneider, DC3’s deputy director, and Richard Rogers, president of the College for Creative Studies, worked last summer on the 20page UNESCO (United Nations Educational, Scientific and Cultural Organization) application that resulted in Detroit becoming the first U.S. city to have the

MUST READS OF THE WEEK

On a mission Snyder talks autonomous cars in first overseas trip since Flint water crisis came to a head, Page 4

Convention guide Motor City Comic Con, less than two weeks away, puts the ‘Pow’ and ‘Bam’ into a loaded convention and sports schedule for metro Detroit, Pages 12-13

Michigan races to stay in the driver’s seat on autonomous vehicle legislation By Lindsay VanHulle

Crain’s Detroit Business/Bridge Magazine

LANSING — In 2013, Michigan legislators adopted the state’s first laws for driverless vehicles, allowing them to share the road with live motorists only while being tested. That legislation helped Michigan become an early leader in the race to build a self-driving car, said Mike Kowall, a state senator from Oakland County who sponsored the bills. But for Michigan to win — especially against the tech giants of Silicon Valley, which are developing their own prototypes — he believes the state also needs to lead by regulation, before a patchwork of rules crops up across state lines. Kowall, R-White Lake Township, plans to introduce a bill package in the Senate that he said would

DUSTIN WALSH

State lawmakers want to regulate use of self-driving vehicles as the industry grows. allow autonomous vehicles on Michigan roads for any reason, not just during testing. A set of bills introduced last week would make it illegal to hack

into connected vehicle systems. The bills would make that a felony that could land an offender in prison for life. The rest of the SEE VEHICLE, PAGE 19

C R A I N ’ S D E T R O I T B U S I N E S S // M A Y 2 , 2 0 1 6

Snyder’s Europe topics: Mobility, autonomous vehicles, R&D

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LANSING — Gov. Rick Snyder said European automotive companies know of Michigan’s influence on the global auto industry, but were less aware of the state’s role in developing the next generation of vehicles — including those that drive themselves. Snyder said mobility, and in particular autonomous vehicles, were a frequent discussion topic during his meetings with European companies during a weeklong trade trip. The trip was to end Saturday. It was his first such trip since the Flint lead water crisis escalated last fall into a public health emergency. “What we currently have is very well received,” Snyder told Crain’s by phone from Europe, adding that he told companies he met with about the Mcity simulation at the University of Michigan and the planned American Center for Mobility at Willow Run. “They understand that this could be the best place” for research and development, Snyder said. The trip has included stops in Germany, where Snyder visited the Hannover Messe industrial trade fair; Switzerland, where he toured Ronda AG, a supplier of precision mechanical and electronic watch movements that is a shareholder in Dallas-based Bedrock Manufacturing Co., the parent company of Detroit-based watchmaker Shinola; Italy, where Snyder met with roughly 15 auto suppliers; and the Netherlands. Snyder said a number of the companies he met with already have operations in Michigan, so his delegation attempted to attract new firms that aren’t already here and persuade those that are here to expand by marketing the state’s ability to cut through red tape. “There will be a lot of follow-up work,” he said. “The interest level is very high, and I’m confident we’ll end up getting some of these companies to increase their investment.”

Energy bills back in play Two bills that would update Michigan’s 2008 energy law are back in the state Senate.

LINDSAY VANHULLE

CAPITOL BRIEFINGS lvanhulle@crain.com Twitter: @LindsayVanHulle The Senate’s energy and technology committee last week heard testimony on Senate Bills 437 and 438 for the first time in months, while the bills’ sponsors — Sens. Mike Nofs, R-Battle Creek, and John Proos, R-St. Joseph — worked on revisions. Nofs, who chairs the energy committee, told Crain’s he hopes the bills will be voted out of committee to the Senate floor in May. More committee hearings likely will be scheduled for this week. Among the major changes, Nofs said: Alternative energy suppliers that serve customers in the deregulated, or “choice,” market would have to demonstrate they would have enough electricity owned or

Lindsay VanHulle: (517) 657-2204 Twitter: @LindsayVanHulle

GOV. RICK SNYDER

Gov. Rick Snyder visits Ronda AG, one of the world’s largest suppliers of precision mechanical and electronic watch movements, during a trade trip to Switzerland this week. The company is an equity shareholder in Bedrock Manufacturing, the parent company of Shinola, and helped with setting up the Shinola factory in Detroit.

Crain’s seeks 2016 Health Care Heroes nominees Do you know a Health Care Hero? Crain’s Detroit Business is seeking nominations for Health Care Heroes, a special report on health care professionals that will run in the July 18 issue. The program will honor medical innovators and patient advocates dedicated to saving lives or improving access to care. Winners will be chosen in five categories: Corporate achieve-

under contract to meet capacity requirements for their customers for the next two years. Existing mandates requiring utilities to generate at least 10 percent of their electricity from renewable sources and produce energy efficiency worth 1 percent of their total electric sales annually would be eliminated. The mandates would be replaced with a combined 30 percent goal by 2025. Net metering customers, or people who purchase and install solar equipment on their rooftops to generate their own electricity, would be grandfathered into receiving retail prices for the power they sell to the grid for 10 years. New customers would be able to sell more excess electricity to the grid — up to 10 percent, from 1 percent currently — and could receive the price a utility would pay to buy or produce that same power at that point in time, less the cost of using the grid. Nofs said that amount would be less than retail rates but more than wholesale prices. A proposed change in compensation for net metering customers had been controversial last fall.

ment in health care, advancements in health care, physician, allied health and trustee. A panel of health care judges will choose the Health Care Heroes winners. The deadline for nominations is May 16. They can be made at CrainsDetroit.com/ nominate. Questions? Contact Michael Lee at (313) 446-1630 or malee@crain. com.

BANKRUPTCIES The following businesses filed for protection in U.S. Bankruptcy Court in Detroit April 22-April 29. Under Chapter 11, a company files for reorganization. H.C.T.C. LLC, 12450 Woodlands Court, Plymouth, voluntary Chapter 11. Assets and liabilities not available. Michael Lewis II

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C R A I N ’ S D E T R O I T B U S I N E S S // M A Y 2 , 2 0 1 6

GMRenCen marketing campaign OPINION builds on growing Detroit buzz Infrastructure needs W a government fix W e can thank the Flint water mess for one positive: It sounded an alarm that lead could be leaching into aging water systems — and in household pipes — across the country. Tests are showing more lead-laden water supplies. The question is: How do you pay for replacing massive infrastructure? Water system overhauls can get in line with crumbling roads and deteriorating bridges. Gov. Rick Snyder recently created the 21st Century Infrastructure Commission to study ways to modernize transportation, water and sewer, energy and communications infrastructure. Recently, the state Bipartisan Policy Center’s executive council held a briefing in Detroit, noting that the American Society of Civil Engineers is projecting that the country faces $2 trillion in capital investment needs for transportation and water alone. As a country, we are spending less now as a percentage of GDP — under 2 percent — than we were 20 years ago on such infrastructure needs. The topic is not getting much traction in the presidential debates. But at the state or federal level, maybe it’s time to revisit Civics 101. A primary purpose of “big government” was to provide the infrastructure that a local unit could not efficiently do itself. The expansion of what government is, what it actually does — and what it is expected to do — has grown tremendously. But it’s time to get back to basics.

Autonomous vehicles need map Autonomous cars, when they hit the consumer market, will come fully loaded with a host of liability concerns. Ironing out those issues — such as who is responsible for a crash when software is driving — has to happen before these vehicles can become an everyday reality. The liability confusion is the main reason we don’t already see more autonomous cars on the road. And while driverless cars aren’t available to buy yet, automakers say they plan to bring them to market soon. Until federal regulators can agree on a common set of standards, it’s appropriate for Michigan to lead the way with a provisional measure. Soon-to-be introduced legislation in Michigan, as Lindsay VanHulle reports on Page 3, is aimed at supporting efforts like the new American Center for Mobility project at Willow Run, a hub for connected and autonomous vehicle testing. The legislation is expected to propose insurance requirements for connected equipment manufacturers in case their products malfunction. State laws added to the books more than two years ago only allow autonomous cars to share the road with live motorists while being tested. It’s time to move beyond that as the industry accelerates. Until federal regulators can agree on a set of common standards, Michigan should be a national model with state rules that look out for the interests of automakers, suppliers and motorists.

hat a difference a decade makes. Who could have imagined a week in Detroit where, back to back, announcements about major investments — Major League Soccer, a plan for the Hudson’s block and the naming of the under-construction hockey arena — would dominate headlines. Maybe it began 10 years ago, after Detroit had successfully hosted Super Bowl XL and ignited in Host Committee chairman and business titan Roger Penske the desire to do more. Four years later, Dan Gilbert bought his first building downtown and had joined Penske, the Kresge Foundation and others to create what’s now called the QLine to “connect the dots” among Detroit’s downtown assets. More and more, the “cool” vibe is spreading out from the “D” — beyond the groundbreaking Chrysler 200 ad debuting during the Super Bowl. Yes, it starred the car — and Eminem — but the real scene-stealer was Detroit. No wonder the marketing folks at the General Motors Renaissance Center capitalized on the buzz to create their “reflecting a new Detroit” campaign to rebrand the iconic skyline feature as GMRenCen in full-page ads in Detroit print media, including daily newspapers, magazines and Crain’s. The campaign, which launched a year ago in May, “frames” real people and has a social media component to encourage people to post selfies on

MARY KRAMER Publisher

a website, reflectingdetroit.com. “We didn’t want to just advertise the building’s amenities, but turn the mirror(s) around and showcase the people here in the GMRenCen and in our neighborhood who are making Detroit come alive like never before,” says Claudia Killeen, manager of Renaissance Center development at General Motors Co. The building seems transformed from its days as the for-

tress towers surrounded by bunkers and parking lots. Designed by architect John Portman, who had done similar towers in Atlanta and Los Angeles, the complex has been maligned for years. Maybe the feeling is mutual; you have to hunt very hard to find any mention of Detroit on Portman’s website. So far, nearly 40 “reflecting Detroit” people have been selected, and the campaign is slated to run at least through the year, Killeen says. Subjects have included everyone from Pashon Murray, founder of Detroit Dirt, a partner in the GMRenCen’s urban garden program, to a firefighter taking part in the American Lung Association’s 71-story “Detroit Climb,” to Bruce Paine, the general manager of the GMRenCen’s new Granite City Food & Brewery. That restaurant — and other new restaurant additions like Bozii and Panera Bread — bring the GMRenCen to 95 percent occupancy, Killeen says. More to come after this summer’s renovations: Earlier this year, GM announced it would renovate space and extend the complex to Jefferson Avenue while also spiffing up the People Mover station exterior. And Portman is not the architect. GM selected Neumann/Smith Architecture and EWI Worldwide to complete the renovations. The General Motors Rennaissance Center advertisement in this week’s Crain’s.

TALK ON THE WEB Re: Gilbert unveils plan for soccer stadium on jail site There needs to be more to this city than sports. Major League Soccer should use Ford Field as a start. Let’s build stuff that makes people want to live in Detroit ... and not something that once again serves suburbanites. Downtown should not just be a playground. It needs culture and

walkability and green space. So far, downtown is a fake wonderland built by Gilbert. It lacks authenticity. John

They should build it on the eyesore site that once was the Pontiac Silverdome.

Terri Lauer

The energy, creativity and life aren’t in Pontiac like they are downtown Detroit. Business wants to go where the action is, and, right now, that’s in downtown, with three other stadiums. We do need

to redevelop the Silverdome, though; too bad the owner is a crook. BrewPubNate

This is a great idea!

247287

Detroit has always been a great

sports city.

Ray Hiera

Re: I-275 closures to begin Hopefully, this time they will fix I-275 after several years of worthless strip paving that did nothing but waste taxpayer dollars and inconvenience drivers. Dave

Re: Gilbert plans high-rise on old Hudson’s site downtown Detroit I know that we’ll never see grandeur like the former building, but can the architects at least try? ... There are reasons developers are going out of their way to save old

structures, so why not build ones that rival the old? New isn’t always better. Matty

Re: New Red Wings home gets a name: Little Caesars Arena Not surprised, but disappointed. Was hoping for something more classy, even “The Olympia by Little Caesars” would have been a nice touch.

Re: Study: Labor shortage in Michigan looms

MDA

We offer low pay, long hours and absolutely no chance for advancement. Sign me up!

drbpor

Re: Michigan State makes $150 million deal with Fox Sports Nice. That $150 million will help to make MSU an even greater institution. Go Green! Walt

C R A I N ’ S D E T R O I T B U S I N E S S // M A Y 2 , 2 0 1 6

Michigan needs better clean energy policies to grow economy C

lean energy policies are working in Michigan and are supporting economic development throughout the state. In February, the Public Service Commission released its sixth annual report assessing the state’s renewable energy and energy efficiency policies. It found that since 2008, Michigan’s clean energy standards have helped attract nearly $3 billion in renewable energy investment alone. As the Legislature reconvenes later this month, lawmakers should build upon this foundation and work to increase Michigan’s clean energy targets. Renewable energy and energy efficiency policies are tools for economic growth and are increasingly requirements for corporations looking to tap into clean energy resources. Household names and manufacturers like General Motors Co., Whirlpool Corp., Herman Miller Inc., General Mills Co., and BorgWarner Inc. are committing to renewable energy and energy efficiency. As shareholders of companies like these, this is exactly the type of activity we want to see. These companies, like their peers throughout corporate America, are increasingly looking to cut energy costs and avoid the volatility of fossil fuel prices. This demonstrates new economic opportunity — and it is precisely why Michigan should strengthen its renewable energy and energy efficiency standards. Aside from increased customer expectations around sustainable business practices, proactive companies have learned that clean energy makes business sense. According to a new Lazard report, wind and solar energy are now less expensive than natural gas and significantly less expensive than coal. Eliminating energy waste is one of the least expensive ways for Michigan to meet its energy needs. Investors also recognize the value: Increasingly they are demanding that companies set goals and source clean energy. Nevada-based data center operator Switch recently pledged to use 100 percent renewable energy to meet its energy needs. In January, Switch announced it would build its latest data center in Grand Rapids. Through an agreement with Consumers Energy Co., the facility will operate entirely on renewable energy resources. Utilities are beginning to respond to the needs of their customers, but there’s more work to be done. In February, Grand Rapids-based furniture manufacturer Steelcase Inc. signed a 12-year agreement for 25 megawatts of wind energy in Oklahoma, citing Oklahoma’s more favorable economic and regulatory environment for wind. Lawmakers must create a more favorable environment for clean energy or Michigan

will miss out on opportunities. Michigan’s current standards for renewable energy and energy efficiency do not just lead to a greener electricity grid, they also create jobs and lower everyone’s energy costs. A report from the Michigan Energy Innovation Business Council and Clean Energy Trust finds that the clean energy sector supports over 87,000 jobs. Standards have also proven cost-effective for ratepayers. According to the Public Service Commission, ratepayers save more

than $4 for every $1 of investment in energy efficiency. These savings — not to mention the many other benefits of clean energy — are good for Michigan’s big businesses, small businesses, investors, and homeowners alike. Michigan’s current 10 percent renewable energy law will hold at 10 percent indefinitely until lawmakers take action. While utilities have already exceeded this target, clean energy investments leveled off in 2015. Companies and investors need policy certainty. It is imperative that lawmakers both ex-

tend and strengthen the state’s clean energy standards during this legislative session. A group of major companies — including General Mills, Nestle, JLL, and Schneider Electric — have written a letter urging the Legislature to strengthen the state’s renewable energy and energy efficiency goals. These companies recognize that clean energy standards can create a favorable business environment: attracting new investments, encouraging innovation, creating jobs, and building a more stable system.

OTHER VOICES Brianna Murphy

Brianna Murphy is a vice president for shareholder advocacy at Trillium Asset Management. Trillium has $2.2 billion in assets under management and has clients throughout Michigan.

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C R A I N ’ S D E T R O I T B U S I N E S S // M A Y 2 , 2 0 1 6

More state hospitals get A’s Other states leapfrog Michigan in overall ratings By Jay Greene jgreene@crain.com

Michigan’s hospitals scored more A’s, 26, this spring in Leapfrog’s national hospital patient safety report than last fall, when the state scored 19 A’s. But because about a dozen hospitals dropped grades to C from B, the state fell to 26th nationally, compared with 21st last fall, according to The Leapfrog Group’s spring 2016 report. Of the state’s 80 reporting hospitals, 39 hospitals scored A’s or B’s, compared with 47 last fall. Leapfrog, which is a nonprofit that represents large employers and other health care purchasers, analyzes hospital infection rates, problems with surgeries, prevention of errors and safety issues in two reports each year. Hospitals say the grades matter for patients, and the measurements that go into them matter to their bottom lines. “Patients are becoming more savvy in their research, and I have no doubt (they look at the scores),” said Rob Casalou, CEO of Ann Arbor-based St. Joseph Mercy Health System. “None of us wants to be an average player. It influences decisions on where to go. ... A lot of the measures, from Leapfrog and from

Medicare, because we are at risk, affects how we get paid.” For the 26 hospitals that received A’s this spring, including Garden City Hospital, St. Joseph Mercy in Chelsea and ProMedica Bixby Hospital in Adrian, the accomplishment was met with satisfaction. “This recognition is a true testament to our staff and physicians’ dedication and commitment to provide quality patient care,” said Saju George, CEO of Garden City Hospital. “We continually strive to invest in quality and safety initiatives to benefit our community.” Casalou said St. Joseph Mercy in Chelsea has scored well in patient and staff satisfaction the past several years, which is one reason the hospital increased its most recent score to A from B. “Everybody (hospital quality reporting organizations) is constantly updating their criteria,” said Casalou, adding that Leapfrog recently added patient and staff satisfaction scores to its criteria. “We constantly try to improve. We want patients to validate those scores.” St. Joseph Mercy’s other hospitals received the following scores: St. Mary Mercy Hospital Livonia, B; St.

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Joseph Mercy Hospital Ypsilanti, C; St. Joseph Mercy Livingston Howell, C; St. Joseph Mercy Oakland Pontiac, C.

Since 2013, five hospitals have scored straight A’s: Allegiance Health in Jackson, Dickinson County Healthcare System in Iron Mountain, Huron Valley-Sinai Hospital in Commerce Township, Mercy Health Saint Mary’s in Grand Rapids and Univer-

sity of Michigan Hospitals and Health Centers in Ann Arbor.

“It is time for every hospital in America to put patient safety at the top of their priority list, because tens of thousands of lives are at stake,” Leah Binder, CEO of The Leapfrog Group, said in a statement. “The Hospital Safety Score alerts consumers to the dangers, but as this analysis shows, even A hospitals are not perfectly safe.” Leapfrog also gave 13 Michigan hospitals B’s (16 percent), 37 C’s (46 percent), 3 D’s (4 percent) and 1 F (1 percent). Michigan’s 26 A hospitals accounted for 33 percent of the total, up from 24 percent last year. Nationally, 31 percent of the 2,571 hospitals that received a safety score received an A, 25 percent a B, 37 percent a C and 6 percent a D. Fifteen hospitals, or 1 percent, earned an F. Employers can also learn how they foot the bill for medical errors by using Leapfrog’s Cost Calculator. Hospital scores are listed at www.hospitalsafetyscore.org. “There is a large cost difference between a C-F hospital and an A hospital. That cost is not only in dollars, but we now know the cost is also in lives,” Bret Jackson, president of the Economic Alliance for Michigan, said in a statement. “Excellent patient safety is what every hospital should strive for.” Only three hospitals received D’s, including McLaren Macomb Hospital in Mt. Clemens. McLaren said last year its Macomb hospital scored an A. The drop was due to a change in methodology by Leapfrog, McLaren said. One hospital received an F: UP Health System in Portage. Some hospital systems, like Beaumont Health, which score well enough on other quality and outcomes-based surveys, have argued that Leapfrog’s survey is inaccurate because data is 2 years old and is skewed because it favors Medicare patients, who are older and have more chronic disease. Several of Beaumont’s hospitals scored B’s. They are Beaumont Dearborn Hospital, Beaumont Taylor Hospital and Beaumont Trenton Hospital. Other hospitals that received B grades include Henry Ford Hospital in Detroit and Henry Ford West Bloomfield Hospital and McLaren Oakland Hospital in Pontiac. Jay Greene: (313) 446-0325 Twitter: @jaybgreene

C R A I N ’ S D E T R O I T B U S I N E S S // M A Y 2 , 2 0 1 6

SPECIAL REPORT:

SHERRI WELCH Senior reporter

MEETINGS & CONVENTIONS

swelch@crain.com Twitter: @sherriwelch

Cobo sees green after going green

obo Center is hoping to turn Detroit’s Rust Belt image green. Since October, it has recycled or diverted for energy production more than 77 tons of trash. That and other practices have earned Cobo certification from the Green Meetings Industry Council, mak-

ing it one of only 11 “green” venues in the U.S. The certification is giving it a competitive edge. A year from now, Molinari Cobo will host a conference typically held on the West Coast and its now pursing other green events. General Manager Claude Molinari recently spoke with me about Cobo’s green efforts. His remarks have been edited for space and clarity. What did Cobo have to do to become “green”? It’s a process of implement-

ing energy conservation, recycling and waste diversion into your facility practices. All food waste from prep and uneaten food from plates is put in a separate container and picked up by My Green Michigan. They compost it to nutrient-rich dirt that’s distributed to local urban farm projects. Any trash we don’t recycle goes to Detroit Thermal for their waste-to-energy plant, which helps keep them competitive. We also set up 180 recycling stations for paper, bottles and cans. And we track every kilowatt hour and steam consumed for peak efficiency. Why did Cobo implement more sustainable practices? We believe it’s im-

portant for a facility generating such a great amount of waste that we do something to offset our carbon footprint. This came to the forefront of our operation as something to differentiate Cobo from our main competition in trying to procure events.

How are these efforts impacting your bottom line? Our conservation efforts

minimize the rising energy costs of the increased number of events at Cobo.

And you’ve been able to attract new business as a result? There’s an event

held in San Diego the last few years called Sustainable Brands, which works with companies around the world to become sustainable. We were not on their radar. But when we provided them with our certification and green awards, we changed their opinion. They’re bringing their conference to Detroit May 23-25, 2017, with over 1,500 attendees expected.

MEETING

EXPECTATIONS Reopening of 2 hotels to offer more space By Sherri Welch

of banquet, meeting and event space and be the first of three hoNearly 40,000 square feet of tels planned for the property. meeting space is set to come back There is demand for both hoon the metro Detroit market this tels about to reopen. Romulus year with the reopening of two and Southfield are two different long-shuttered hotels. markets all together, said Michael Renovations are underway at O’Callaghan, executive vice presithe former Metropolitan dent and COO of the DeSpecial Hotel in Romulus, which troit Metro Convention & operated for a time as a requests now Visitors Bureau. Doubletree. The hotel, on The first, near the aircommon, Wick Road near I-94, is port, is convenient and Page 11 expected to reopen this targeted for business summer as the Radisson travelers, while the secHotel Detroit Metro Airport. It will ond is near a large number of auinclude about 15,000 square feet tomotive and other commercial of flexible meeting space. customers, he said. Further to the north and east, “Demand has increased pretty the former Holiday Inn of Southfield nicely since 2003, yet the ... supply on Telegraph Road, notable for its hasn’t,” O’Callaghan said. round tower, is being converted to “This is a good way to provide three hotels with more than 400 an increase in supply. These are rooms. The tower is visible from both full-service hotels, and the nearby I-696 and M-10. community needs that product to The Best Western Premier flag — attract meetings, in particular, the first in Michigan — will fly and to provide enhanced facilities over the tower when it opens late for social functions.” this year or early next year. It will SEE HOTELS, PAGE 10 include about 25,000 square feet Crain’s Detroit Business

The iconic round tower of the former Holiday Inn of Southfield is expected to open late this year or early next year as the state’s first Best Western Premier. It’s one of three hotels planned for the site. PHOTO BY LARRY PEPLIN

C R A I N ’ S D E T R O I T B U S I N E S S // M A Y 2 , 2 0 1 6

HOTELS

SPECIAL REPORT: MEETINGS & CONVENTIONS “Think gluttonous King Henry VIII style,” with bottles of wine and books lining the walls and high-backed chairs.

FROM PAGE 9

Room in Romulus In Romulus, Henderson, Nev.based RKJ Hotel Management LLC is investing millions to renovate the former Metropolitan, which had been vacant for about two years, owner Jeff Katofsky said. He acquired the hotel for $8.5 million — as well as the St. Clair Inn and, soon, the Sugar Loaf Resort in Cedar — he said, as part of the settlement of a lawsuit tied to hotels in other states with the previous Metropolitan owner, Remo Polselli. Polselli is also the former owner of the Hotel St. Regis in Detroit and the Plaza Hotel in Southfield. Katofsky said he’s spending more to redo the Romulus hotel than he paid for it. “The bones of the hotel are fabulous; it just needed a complete enema, quite frankly,” he said. Every inch of the hotel is being redone, from the lightbulbs and fixtures, to the wallpaper and paint, to the flooring and door knobs. Katofsky describes the overall look the renovations are targeting as “homey.” The hotel will be among the first to incorporate the look of Radisson’s new prototype rooms, Katofsky said. They are anchored by a neutral color scheme and include large televisions mounted on the walls, luggage holders built into

Jeff Katofsky, owner, Metropolitan Hotel

LARRY PEPLIN

The former Metropolitan Hotel in Romulus is being remodeled and is expected to reopen this summer as the Radisson Hotel Detroit Metro Airport. the lower areas of the furniture, oversized chairs and USB and electric cords and plugs in the headboards and desks. About 210 of the 274 rooms at the hotel are set to open in July, and the remainder in the second tower by mid-August, along with an executive concierge suite offering food and beverage service to guests staying in that tower, Katofsky said. Julie Brezina Interior Design is the designer on the project, and Coast to Coast Renovation is overseeing the engineering and construction work. When complete, the hotel lobby will have the look and feel of a living room with a cozy fireplace, Katofsky said. The front desk has

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been relocated, and walls have been removed to open up the front bar area and restaurant, which will now be behind the bar. Andy Warhol paintings will hang in the lobby and meeting spaces, Katofsky said, noting they’re among his favorites. The pool area will be redone, and a larger, private business center will be installed where the gift shop previously was located, near the meeting rooms, he said. “We have just over 15,000 square feet of meeting and banquet space there, which I think is the most of any hotel in Romulus outside of the airport.” It includes a boardroom near the back of the hotel, and next to it an additional meeting room that Katofsky said will be converted into a high-end, private dining room for 20-25 people. “It will be the perfect spot for (people) that have meetings and want to have … food,” he said, noting the private dining room’s décor will be different than anything else in the hotel. “Think gluttonous King Henry VIII style,” with bottles of wine and books lining the walls and highbacked chairs, Katofsky said. The hotel’s restaurant will be operated by its management company, Rosemont, Ill.-based First Hospitality, which manages several other hotels in the region and state, including the Hampton Inn Ann Arbor-North, Hilton Garden Inn Plymouth, Residence Inn Ann Arbor and Residence Inn Grand Rapids West. The restaurant will connect with the hotel’s meeting rooms and offer guests more upscale dinners, while a hotel bar will accommodate guests looking for a burger. Room rates are expected to be in the range of $105-$150, said Dan Smith, senior vice president of asset management at First Hospitality. Bryan Dickey, who most recently was general manager of the Radisson Baltimore North, has been named general manager of the Romulus hotel. Dickey previously held management roles at the Royal Park Hotel in Rochester, McCamly Plaza Hotel in Battle Creek, Treetops Resort in Gaylord and Mission Point Resort on Mackinac Island. With Dickey on board, Smith said the plan is to hire about 100 to staff

the hotel, meeting and banquet and food and beverage functions at the Radisson Romulus, including “a top young chef,” Smith said. Katofsky, a lawyer and commercial developer, said he’s found that when he renovates old buildings in desirable locations, “everyone else in the neighborhood beautifies themselves, as well.” “I fully expect that to happen here. … When we redo the hotel, my competitors are going to have to redo themselves, as well.” Can the Romulus market support the additional meeting and hotel space? “I think it can,” O’Callaghan said, noting the Sheraton Detroit Metro Airport and the Westin Detroit Metropolitan Airport, located within McNamara Terminal, are both doing well. The corporate base in that area, led by the auto industry, is strong, he said. “They are the people who are going to have the meetings in there, and then there will (also be) a certain amount of social stuff on the weekends,” along with business from the people who fly in for a day or day and a half and then fly back out, O’Callaghan said. The Romulus market ran close to 68 percent average occupancy last year, which exceeded the region’s occupancy of 66 percent, he said.

Southfield space Another 25,000 square feet of meeting space is set to come back on the market in Southfield. New Zealand investors ownership group Kiwi Hospitality Detroit LLC purchased the former Holiday Inn of Southfield a year ago for $2.5 million from Amvet Holdings, which had bought it in March 2011 for $1.2 million, according to the city. Kiwi is in the midst of a $12 million renovation that will convert the property, which had been shuttered for about seven years, to three separate hotels focused on energy efficiency and sustainable operation, Kiwi principal J.C. Chaturvedi said in an email. The hotels that are part of the project are: The Best Western Premier, an upscale, full-service hotel with about 200 rooms and 25,000 square feet of meeting space, set to open late this year or early in 2017 in the round, 16-story tower.

Executive Residency by Best Western, an extended-stay hotel

with 64 rooms, housed in the two-story building on the property, expected to open during the first quarter of 2017. La Quinta Inn and Suites, a short-term stay, limited-service hotel in the five-story building with about 100 rooms, expected to

open early in 2018. Ground-floor and rooftop restaurants will also be renovated as part of the project, which will include 441 parking spaces, according to the city, and is expected to create about 71 jobs. The city approved a commercial exemption certificate for the project in February, abating property taxes on it for up to 10 years. It also agreed to reimburse Kiwi about $1 million of its investment costs in the property, beginning in year 11. And it’s still trying to negotiate a state incentive for the project with the Michigan Economic Development Corp., said Rochelle Freeman, Southfield’s business and economic development director. In addition to internal renovations, which span the entire hotel, Kiwi has already repainted and updated the exterior of the round tower, said Terry Croad, Southfield’s city planner. It’s proposing some architectural and accent lighting on the tower and landscaping updates, a water fountain and some art on the site, he said. “Not only will (the site) be occupied, but the curb appeal will be upgraded significantly.” Chaturvedi said Kiwi plans to return the property to “iconic status,” serving both local and international communities. The developer was drawn to the site because of the large number of companies operating along Telegraph Road and its proximity to the interstate and highways, he said. He believes the meeting space it will bring back online will fill a need for additional small to large spaces in the area for business and personal events. Kiwi hasn’t yet selected an operator or operators for the hotels but plans to in due course, he said. Freeman said Chaturvedi has told the city his son, who lives in Australia, is expected to come here to manage the property. Chaturvedi declined to say which general contractors are a part of the project, saying only that there “are different and divided roles for various agencies.” The tier-one automotive suppliers in Southfield have been doing very well and hiring, Freeman said. “They bring in a tremendous amount of traffic and guests from around the world to do business with them.” Before it closed in 2009, the meeting space on the property served as a regional facility, Freeman said, accommodating groups as large as 800 people. “The meeting space was missed.” Sherri Welch: (313) 446-1694 Twitter: @SherriWelch

C R A I N ’ S D E T R O I T B U S I N E S S // M A Y 2 , 2 0 1 6

SPECIAL REPORT: MEETINGS & CONVENTIONS

By special request

Today’s group event attendees get to have it their way

By Sherri Welch

Social engagement is increasingly important to clients, said Craig Erlich, senior vice president and general manager, Auburn Hills and Nashville, for George P.

swelch@crain.com

From social engagement technologies and unique social activities to gluten-free, vegan and other food options, meeting planners are juggling a host of new requests and requirements as they create group events. Even the quoting process preceding the events is changing, said Dawn Marie Barth, group sales manager at the Westin Book Cadillac Detroit and president of the Michi-

Johnson Co.

gan Chapter, Meeting Professionals International.

“From the time I get the (request for quote,) groups booking a block of rooms, a meeting or convention ... need a response very, very quickly,” she said. “Last year we maybe had a week to return that information, and now we have a couple days.” Groups are also asking for a lot more alternative dates, Barth said, and being more flexible in booking a date to go with the best rates. At the same time, companies are showing more confidence in the economy, once again asking to book events several years out, she said. People booking meetings today aren’t just booking training or education sessions, Barth said. “They want to have fun, build camaraderie, tour the city, so everyone can take their suit coat off and just relax and get to know each other.” Depending on the group, planned activities might include a scavenger hunt in the city, a game show-type theme night or cupcake decorating, Barth said. The demand is to include fun activities that have nothing to do with work but bring everyone together. People from out of state or out of the country want to explore the city, and some local companies want to show it off for their out-oftown employees, she said. Planners are looking for healthier activities during breaks to get everyone up and moving, like taking a walk to Campus Martius to check out a restaurant. On the health front, caterers and venues are also increasingly being required to fulfill specific attendee dietary needs, said Carol Galle, president and CEO of Royal Oak-based Special D Events Inc. Trends include more requests for vegan, vegetarian and gluten-free options. Dietary restrictions for event attendees have increased by 30 percent to 50 percent over the past five years, she said. To accommodate dietary requirements in ways beyond “a lame salad” and to gain an edge, venues are increasingly bringing their chefs into the sales process, she said. “Should venues, caterers and planners provide separate plates

Royal Oak-based Special D Events Inc. offered a customized buffet at a recent event. or simply an expanded buffet? In years past, we offered special plates, but now we hesitate to call people out because it can make them uncomfortable. We just try to offer healthy, build-your-own options on the buffet.” There are also rising concerns about food allergies, Galle said, noting that since January 2013, severe food allergies have been considered a disability under federal law. “That means venues and event planners can be held legally responsible if they fail to accommodate dietary allergies for attendees.” When Special D Events manages event registration, it always asks guests if they have any dietary restrictions or accessibility concerns, Galle said. “If they answer ‘yes’ regarding dietary, it’s not our place to question whether their response is due to allergies or just preference; we accommodate them either way.” If attendees volunteer that they do have a food allergy, Special D will ask if it is life-threatening. If the answer is “yes,” it will then ask the attendee to provide his food allergy and anaphylaxis emergency care plan, Galle said. “That way, if something were to occur, we would be as prepared as possible.” Sustainable event practices are increasingly on the radar, as well, Galle said, noting Special D is negotiating compliance in this area with venues it uses. In its venue contracts, it adds a clause that requires venues to identify, recommend and use as many environmentally responsible practices as possible and feasible for the meeting. Those include waste management, recycling, use of renewable resources and conservation of nonrenewable resources. Special D provides examples of ways venues can incorporate sustainable practices for contracted

events, Galle said, including not replacing consumable amenitiessuch as soap and shampoo unless they are gone. Others include: Instructing housekeeping staff to shut blinds and turn down heat/air conditioning during the day in rooms while attendees are gone. Using glass or other nondisposable catering plates, cups, and glasses. Serving condiments such as

BRETT MOUNTAIN PHOTOGRAPHY

sugar, cream, butter and cream cheese in bulk containers, not individual servings. “Our company has a people/ planet/profit mission and, because our clients are also making requests for these sustainable practices, we feel strongly about making sure they are on our suppliers’ radar,” Galle said. As with other spheres of business, technology is increasingly playing a larger role in events.

“Our role is to facilitate ways that engagement can take place.” Encouraging the use of social networks before, after and during an event is one way to grow the event’s exposure, he said. George P. Johnson often includes a “social wall” or screen showing live tweets about the experience during the event. The company also issues radio frequency identification (RFID) bracelets to attendees when they check in, Erlich said. The bracelets include their static information and give attendees the ability to check in and activate activities, such as gaining access to certain sessions. Meeting planners, associations and companies increasingly are also offering an application that attendees can download to their cellphone or tablet to access their customized conference schedule, Barth said. The applications at times also enable attendees to chat with others attending the conference, she said. Sherri Welch: (313) 446-1694 Twitter: @SherriWelch

C R A I N ’ S D E T R O I T B U S I N E S S // M A Y 2 , 2 0 1 6

SPECIAL REPORT: MEETINGS & CONVENTIONS

From Comic Con to Youmacon 2016

May 13-15: Motor City Comic Con:

A gathering of artists, actors, writers and creators from the world of comic books; estimated 50,000 attendees; Suburban Collection Showplace, Novi; https://motorcitycomiccon. com May 20-24: Service Employees International Union Convention: The

union of about 2 million members will hold its international convention to discuss challenges workers face and how to overcome them; estimated 2,740 attendees; Cobo Center, Detroit; www.cobocenter.com/events/ detail/2016-service-employeesinternational-union-convention May 30-June 3: COGIC Women’s International Convention/ Crusade: Exhibits and speakers

brought together by the Church of God in Christ’s Department of Women; estimated 12,000 attendees; Cobo Center; www.cogic. org/cogic30/international-womensconvention-crusade/ or www.cogic. org/womensdepartment/ files/2015/11/wic2016.pdf

July 22-27: Pentecostal Churches of the Apostolic Faith International Inc. Annual National Convention and Holy Convocation: A free conference

featuring worship services, seminars and a gospel concert; estimated 4,000 attendees; Detroit Marriott Renaissance Center; www.pcaf.net Aug. 8-12: NeighborWorks Training Institute: A career development

training conference with other 100 courses to offer; estimated 2,000 attendees; Cobo Center; www. neighborworks.org/training-services/ training-professional-development Sept. 1-5: Fifth Third Bank Michigan State Fair: The state fair features

livestock, competitions, cooking demonstrations, music and more; estimated 130,000 attendees; Suburban Collection Showplace; www. michiganstatefairllc.com

Sept. 13-15: The Battery Show: A

showcase of battery technology for vehicles, medical tools, renewable energy support and more; estimated 6,500 attendees; Suburban Collection Showplace; www.thebatteryshow.com

Motor City Comic Con is May 13-15 at Suburban Collection Showplace in Novi. NATALIE BRODA

remodeling-show.html Oct. 14-15: Metro Detroit Chevy Dealers Health & Fitness Expo:

Exhibitors showcase the latest in health and fitness, including apparel, food and technology ahead of the Detroit Free Press Marathon; estimated 50,000 attendees; Cobo Center; http:// freepmarathon.com/expo Oct. 25-27: Automotive Testing Expo North America: Offers a look at the

latest in technologies and services that aim to boost automotive safety and reliability; estimated 6,500 attendees; Suburban Collection Showplace; www. testing-expo.com/usa

Nov. 3-6: Youmacon: An all-ages

convention celebrating anime, video games and Japanese popular culture; estimated 19,000 attendees; Cobo Center; www.youmacon.com

Nov. 4-6: Snowmobile USA: A

YOUMACON

Youmacon is Nov. 3-6 at Cobo Center; about 19,000 attendees are expected.

June 8-9: TU Automotive Detroit: An

automotive technology innovation conference with speakers and booths; estimated 3,000 attendees; Suburban Collection Showplace; www.tu-auto. com/detroit June 27-29: Points of Light National Conference on Volunteering and Service: Volunteers, national service

and civic leaders gather to discuss the future of volunteerism; estimated 5,700 attendees; Cobo Center; www. pointsoflight.org/signature-events/ conference-volunteering-and-service

The 2017 North American International Auto Show starts Jan. 7 at Cobo Center. PHOTO BY AUTO WEEK

Here are top-attended conventions a nd events comin g to metro Detroit

Oct. 5-9: 28th Annual Fall Detroit Camper and RV Show: Over 50 brands

will be on display showcasing folding campers, motorhomes, travel trailers and more; estimated 11,500 attendees; Suburban Collection Showplace; www. marvac.org

Oct. 14-16: Fall Home Remodeling Show: An exhibition of everything for

homeowners to start and complete their remodeling projects; estimated 8,000 attendees; Suburban Collection Showplace; www. novihomeshow.com/novi-home-

showcase of the latest snowmobiles and other winter sports equipment, such as sleds, clothing and trailers; estimated 17,000 attendees; Suburban Collection Showplace; www. snowmobileusa.com Nov. 11-13: Novi Pet Expo: A familyfriendly event featuring pets of all kinds and rescue organizations with adoptable animals; estimated 14,000 attendees; Suburban Collection Showplace; www.novipetexpo.com

Dec. 2-4: Novi Equestrian Expo: An equine event featuring riding and agility exhibitions, info for horse owners and shopping; estimated 10,000 attendees; Suburban Collection Showplace; www. noviequestrianexpo.com

2017

details not set; http://mideca.org

Jan. 7-22 (Public show Jan. 14-22): North American International Auto Show: A showcase of vehicles from

March 15-17: Michigan Association for Computer Users in Learning Annual Conference: A conference

Feb. 11-19: Detroit Boat Show:

April 4-6: SAE International World Congress: Assembles automotive

manufacturers around the globe, including the unveiling of dozens of new designs; 2016 attendance was more than 815,000; Cobo Center; www.naias. com On-the-water showcase of watercraft and water-related consumer goods; estimated 68,000 attendees; Cobo Center; http://detroitboatshow.net/ dates-location

Jan. 12-15: Ultimate Fishing Show: Offers everything fishing related, from tackle to boats; estimated 30,000 attendees; Suburban Collection Showplace; https://showspan.com/UFD/ Feb. 24-26: Autorama: A showcase of hundreds of custom cars traveling the country makes a stop in Detroit; estimated 151,000 attendees; Cobo Center; https://autorama.com March 10-12: Michigan Golf Show: All

types of golfing equipment, including apparel and rounds at local courses; estimated 35,000 attendees; Suburban Collection Showplace; http:// michigangolfshow.com/exhibitors_ general_information.php

March 10-12: 71st Annual State Career Development Conference: A

competition and meeting event for Michigan students in DECA, which prepares emerging leaders and entrepreneurs in marketing, finance, hospitality, management; estimated 3,000 attendees; Cobo Center; 2017

dedicated to discussing the use of technology in education; estimated 2,650 attendees; Cobo Center; details not set; www.macul.org/events

industry experts, management teams, engineers and executives to collaborate and address current challenges and seek new windows for discovery and exploration; estimated 12,000 attendees; Cobo Center; details not set; www.sae.org/events April 11-12: Michigan Safety Conference: A two-day event focused

on workplace health and safety training; estimated 2,200 attendees; Suburban Collection Showplace; details not set; www.michsafetyconference. org April 25-May 1: Shell Eco-Marathon Americas: A competition among high

school and college students from North and South America featuring energy efficient technology; estimated 8,000 attendees; Cobo Center; details not set; www.shell.com/energy-andinnovation/shell-ecomarathon/ americas.html May 4-7: International Women’s Show: The event highlights women’s

products in fashion, beauty, health and more; estimated 40,000 attendees; Suburban Collection Showplace; https://southernshows.com/wde/faq CONTINUED ON NEXT PAGE

C R A I N ’ S D E T R O I T B U S I N E S S // M A Y 2 , 2 0 1 6

SPECIAL REPORT: MEETINGS & CONVENTIONS FROM PREVIOUS PAGE

May 7: NAACP Fight for Freedom Fund Dinner: The Detroit chapter of

the NAACP’s annual gathering with speakers; estimated 8,000-10,000 attendees; Cobo Center; details not set; http://detroitnaacp.org/category/ fight-for-freedom-fund-dinner May 19-21: Motor City Comic Con: A

gathering of artists, actors, writers and creators from the world of comic books; estimated 50,000 attendees; Suburban Collection Showplace; https://motorcitycomiccon.com

May 22-26: Sustainable Brands Conference: Leaders from

international companies meet to discuss the future and sustainability practices; estimated 2,900 attendees; Detroit Institute of Arts; details not set; www.sustainablebrands.com/events

June 6-7: TU Automotive Detroit: An

Hockey to horseshoes: Top-attended area sports events 2016 April 23-June 12: Postal Federal Employees National Bowling Tournament: A national bowling

tournament for postal and federal employees and retirees along with former and current members of the military; estimated 4,500 attendees; Super Bowl, Canton Township; www. pfenba.com May 7-8: Can-Am Classic Volleyball Tournament: A volleyball tournament

open to boys and girls teams of all ages, hosted by Capital Sports Center; estimated 18,500 attendees; Cobo Center; www.capitolsportscenter.com/ csc/can_am.html May 26-29: LPGA Volvik Championship: Inaugural golf

automotive technology innovation conference; estimated 3,000 attendees; Suburban Collection Showplace; www.tu-auto.com/detroit

tournament on the LPGA circuit; no attendance estimate; Travis Pointe Country Club, Ann Arbor; volviklpga. com

July 12-19: Conference of Minority Transportation Officials National Meeting and Training Conference:

June 24-26: Troy Toe Drag:

Conference gathers members from its 39 chapters to discuss best practices, tools and solutions; estimated 2,000 attendees; Detroit Marriott Renaissance Center; details not set; www.comto.org/events/EventDetails. aspx?id=768272&group= Aug. 31-Sept. 4: Fifth Third Bank Michigan State Fair: The state fair

OneHockey tournament for both

Canadian and U.S. teams; estimated 2,750 attendees; Fraser Hockeyland, Fraser, and Troy Sports Center, Troy; https://onehockey.com July 10-14: National Veterans Golden Age Games: Open to veterans 55 and

Youth hockey comes to metro Detroit in an Oct. 21-23 national tournament.

older, including competitions such as horseshoes, golf, cycling and swimming; estimated 3,000 attendees; various locations; http://www.va.gov/opa/ speceven/gag/ July 21-24: USSSA AA World Series: A youth baseball tournament for teams 8U-14U; estimated 2,600 attendees; Victory Park, Canton Township; www. usssa.com Aug. 15-21: U.S. Amateur Championship: The leading annual

U.S. golf tournament for amateur golfers; estimated 20,000+ attendees; Oakland Hills Country Club, Bloomfield Township; 2016usamateur.com Sept. 16-18: USSSA Men’s E World Tournament North: A men’s softball

tournament organized by the United States Specialty Sports Association;

The selection of and information for the events listed on Pages 12-13 were supplied by the Detroit Metro Convention & Visitors Bureau, Cobo Center, Suburban Collection Showplace and event websites. Events were limited to those with available details and an estimated attendance of at least 2,000. It is not a complete listing, but the most comprehensive available. Event details are subject to change. Attendance estimates were based on previous year’s numbers and other factors.

ISTOCK PHOTO

estimated 3,800 attendees; Liberty Park, Sterling Heights; www.usssa.com Oct. 21-23: Warrior AAA Invitational:

A hockey tournament for boys teams U18, U16, U15(01s), 02 - 07 Divisions organized by Legacy Global Sports; estimated 13,000 attendees; various locations; www.legacyglobalsports. com/tournaments Nov. 25-27: Nations Cup Tier II: A youth hockey tournament pitting American teams against Canadian teams, open to A and AA teams; estimated 8,100 attendees; various locations; www.legacyglobalsports. com/nations-cup-tierii

2017 July 26-Aug. 5: AAU Junior Olympic Games: The Amateur Athletic Union

games include table tennis, karate and cheerleading; estimated 35,000

features livestock, competitions, cooking demonstrations, music and more; estimated 147,000 attendess; Suburban Collection Showplace; www. michiganstatefairllc.com Sept. 12-14: The Battery Show: A

showcase of battery technology for vehicles, medical tools, renewable energy support and more; estimated 7,000 attendees; Suburban Collection Showplace; www.thebatteryshow.com

Oct. 22-25: National Minority Supplier Development Council Conference and Business Opportunity Exchange: Brings

together executives and business owners to promote diversity; has exhibitor booths, workshops and matchmaking sessions; estimated 6,000 attendees; Cobo Center; details not set; www.nmsdcconference. com/2016-2017-conference-dates Oct. 24-26: Automotive Testing Expo: Offers a look at the latest in

technologies and services that aim to boost automotive safety and reliability; estimated 6,500 attendees; Suburban Collection Showplace; www.testingexpo.com/usa Nov. 2-5: Youmacon: An all-ages

convention celebrating anime, video games and other Japanese popular culture; estimated 14,000 attendees; Cobo Center; details not set; www. youmacon.com

Nov. 3-5: Snowmobile USA: A showcase of the latest snowmobiles and other winter sports equipment, such as sleds, clothing and trailers; estimated 17,000 attendees; Suburban Collection Showplace; www. snowmobileusa.com Compiled by Michelle Wilson

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attendees; various locations; details not set; http://www. aaujrogames.org/AboutUs/ FutureDates.aspx Oct. 20-22: Warrior AAA Invitational Legacy Global Sports: A hockey tournament for

boys teams U18, U16, U15(01s), 02 - 07 Divisions organized by Legacy Global Sports; estimated 13,000 attendees; various locations; www.legacyglobalsports.com/ tournaments

Nov. 24-26: Nations Cup Tier II: A

youth hockey tournament pitting American teams against Canadian teams, open to A and AA teams; estimated 9,600 attendees; various locations; www. legacyglobalsports.com/ nations-cup-tierII

Compiled by Michelle Wilson

C R A I N ’ S D E T R O I T B U S I N E S S // M A Y 2 , 2 0 1 6

Gemphire Therapeutics files for $60 million IPO

Blue Cross Blue Shield of Michigan is a nonprofit corporation and independent licensee of the Blue Cross and Blue Shield Association.

Creating a healthy workforce:

By Tom Henderson thenderson@crain.com

Northville-based Gemphire Therapeutics Inc., a cardiovascular drug

development company, has filed with the U.S. Securities and Exchange Commission for a $60 million

initial public offering. Millendo Therapeutics Inc. Gemphire hopes to be broke that record with a listed on the Nasdaq Global Exchange under the sym$62 million round. bol GEMP. No date has In September 2014, been set for the offering. Sooch left ProNAi to join The clinical-stage comGemphire. Last July, Propany is developing a car- Mina Sooch: NAi had an IPO of $158.4 diovascular drug called Came to Gemphire million. gemcabene to lower levels from ProNAi Co-founder Charles Bisof low-density lipoprotein gaier is Gemphire’s chaircholesterol, often called “bad cho- man and chief scientific officer. lesterol,” and of triglycerides, which From 1990 to 1998, he was an assois fat in the blood. Gemcabene is ciate research fellow in the departtaken orally once a day. ment of vascular and cardiac disThe drug, which was licensed ease at Warner-Lambert/Parke-Davis, from Pfizer Inc. in 2011, has been where he was involved in the distested alone and in combination covery and development of Lipitor, with other drugs in 895 subjects, which became the top-selling drug both healthy volunteers and pa- ever. He and Roger Newton then tients, in 18 phase-one and -two co-founded Esperion Therapeutics Inc. Food and Drug Administration trials. The FDA has granted gemcabene Mina Sooch, the company's status as an orphan drug, which alpresident and CEO, previously was lows drugs to get to market faster.

Strategies to engage employees through wellness programs

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CEO of Plymouth Township-based ProNAi Therapeutics Inc., which produced a drug for patients with non-Hodgkin's lymphoma and in April 2014 set the record for the largest venture capital round in state history, $59.5 million. In January, Ann Arbor-based

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Panel discussions will cover topics such as advancing the career of an in-house attorney, meeting regulators who focus on Detroit companies, best practices for contingent staffing and how to avoid securities fraud. Among the many speakers on those panels: Paul Hemmersbaugh

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legal recruiter Newman Hawkins

Chief Counsel National Highway Traffic Safety Administration

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CALENDAR TUESDAY May 3

The Elephant in the Boardroom.

4:30-6:30 p.m. Vistage Michigan. An educational reception for CEOs, presidents, key executives, business owners and other prospective members. Author Edgar Papke will present “The Elephant in the boardroom: How leaders use and manage conflict to reach greater levels of success.” Troy Marriott. Free. Contact: Matthew Spickler; phone: (248) 770-4136; email: matthewspickler730 @gmail.com; website: michigan.vistage.com

Event will feature a number of Ross School faculty members and world-class business leaders offering ideas and tactics for implementing positive change in their organizations. The grand prize winner of the 2016 Positive Business Project, an annual contest celebrating organizations that deliver change through positive business practices, will also be announced. Ross School of Business, University of Michigan, Ann Arbor. $425 and up. Contact: Angie Ceely, phone: (734) 764-2811; email: aceely@umich.com.

Executive Connection Summit 2016: Thriving on Disruptive Technology. 8 a.m.-2:30 p.m. May 12. Michigan

Council of Women in Technology. Featuring special keynote by Mary Barra, chairman and CEO, General Motors Co. Guest speakers and panelists include Joseph Bradley, chief business officer and global head of Internet of Things works, HCL Technologies; Linda Dillman, chief information officer, QVC; Sheila Jordan, CIO, Symantec; Beth Niblock, CIO, city of Detroit; Manjula Talreja, senior vice president, customer success, Salesforce; Paula Tolliver, CIO and vice president of business services, Dow Chemical; Marcy Klevorn, vice president/CIO, Ford Motor Co.; Randy Mott, senior vice

UPCOMING EVENTS DEC Presents Dinesh Paliwal. 11:30 a.m.-1:30 p.m. May 9. Detroit Economic Club. Paliwal, chairman, president and CEO of Harman International, is the speaker. Cobo Center, Detroit. $45 DEC members; $55 guests of DEC members; $75 nonmembers. Contact: (313) 963-8547; email: info@econclub.org.

Here’s to the ingenious individuals who make growth happen

An Inside Look at The Rio Olympics with Bob Costas. 11:30 a.m.-1:30 p.m. May 11. Adcrafters. NBC

Congratulations to the EY Entrepreneur Of The Year® Michigan Yf\ Fgjl`o]kl G`ag 9oYj\ Õ fYdaklk& L`]aj afkhajYlagfYd klgja]k will take center stage as we celebrate their achievements at gmj YoYj\k _YdY&

Olympic host Costas will discuss the upcoming Rio Olympics, the headlines leading into the world’s biggest event, and NBC’s preparations leading into the games. Baldwin Theater, Royal Oak. $40 members; $50 nonmembers; $25 junior/student members. Website: adcraftdetroit.com

WLAM-Wayne Regional Annual Meeting. 11:30 a.m.-1 p.m. May 12.

Women Lawyers Association of Michigan. Panel members will discuss election law and voting rights this year. Panelists include former Sen. Carl Levin from the Levin Center; Jocelyn Benson, dean of Wayne State University Law School; Melvin “Butch” Hollowell, corporations counsel from the city of Detroit; and Judy Karandjeff, president of the League of Women Voters of Michigan. Miller Canfield, Detroit. $40 in advance; $50 at the door; $30 law students. Contact: Deanne Bonner Simpson, phone: (313) 596-9500; email: dlb@ bonnerdisalvo.com. The Positive Business Conference. 9 a.m.-10 p.m. May 12. University of Michigan Ross School of Business.

Calendar guidelines. Visit crainsdetroit.com and click “Events” near the top of the home page. Then, click “Submit Your Events” from the drop-down menu that will appear. Fill out the submission form, then click “Submit event” at the bottom of the page. More Calendar items can be found at crainsdetroit.com/events.

Founded and produced by

Nationally sponsored by

Regionally sponsored by

president and CIO, GM; and Ryan Talbott, vice president/CIO, Fiat Chrysler Automobiles-North America and Asia Pacific. Moderators: Mary Kramer, publisher, Crain’s Detroit Business, and Jennette Smith, editor. Cobo Center, Detroit. $50 MCWT members; $140 nonmembers. Phone: (248) 218-2578. Website: mcwt.org. Annual Automotive Roundtable. 5-8 p.m. May 18. Marketing and Sales

Executives of Detroit. Moderator Dave Andrea, executive vice president of research, Center for Automotive Research, leads a panel of automotive executives to discuss the opportunities, challenges and successes of

automotive suppliers. Panelists include Ken Hopkins, president and CEO, Neapco Holdings LLC; Kim Korth, president and CEO, Techniplas Group and DMP; and Jonathan DeGaynor, president and CEO, Stoneridge Inc. Sheraton, Novi. $50 members; $65 nonmembers. Website: msedetroit.org. DEC Presents Ryan Lance. 11:30 a.m.-1:30 p.m. May 25. Detroit

Economic Club. Lance, chairman and CEO of ConocoPhillips, will be the guest speaker. Westin Book Cadillac, Detroit. $45 DEC members; $55 guests of DEC members; $75 nonmembers. Contact: (313) 963-8547; email: info@econclub.org.

C R A I N ’ S D E T R O I T B U S I N E S S // M A Y 2 , 2 0 1 6

DEALS & DETAILS

genomic analysis, announced an agreement with MDL Asia, Singapore, to expand its presence in the Chinese market. MDL Asia was established to provide small to midsize organizations in the medical, diagnostics and life science markets opportunities for expansion into the Asia Pacific region. Websites: rubicongenomics. com, mdlasia.com.

Creative Automation Inc., Whitmore

Harrington Communications LLC,

ACQUISITIONS & MERGERS

wave propagation and radio network planning, to develop solutions for vehicle-to-vehicle communications, autonomous driving vehicles and related sensors. Website: altair.com.

Lake, a provider of custom automated solutions for the machine tool tending, material handling and dispensing and deburring industry, announced a partnership in which Sterling Engineering & Manufacturing, Royal Oak, and its president, James Canner, will represent Creative Automation. Websites: cautomation.com, sterlingengineering.com.

Danlaw Inc., Novi, a global provider

of connected vehicle telematics, automotive electronics and embedded engineering services, has acquired Rapita Systems Ltd., York, UK, a provider of software verification services for aerospace and automotive embedded electronics markets. Website: danlawinc.com.

iDashboards, Troy, a developer of business intelligence dashboards, formed an OEM partnership with Dataccuity, Hillsboro, Ore., a software company that helps organizations centralize, integrate and analyze their data. Dataccuity customers will now have the benefits of iDashboards’ data visualization software. Websites: idashboards.com, dataccuity.com.

Penske Automotive Group Inc., Bloomfield Hills, announced that its Premier Truck Group subsidiary has acquired Harper Truck Centres, Freightliner, Western Star, Thomas Built Bus and Fuso, a commercial truck dealership group, all located in Ontario, Canada. Website: penskeautomotive.com.

CONTRACTS

Altair Engineering Inc., Troy, has acquired AWE Communications GmbH, Gartringen, Germany,

Rubicon Genomics Inc., Ann Arbor, a

provider of pre-analytical library preparation kits that increase the accuracy, efficiency and speed of

whose main focus is the development of software tools for

Grosse Pointe Woods, a strategic marketing and design firm, designed brand identities and websites for the following clients: Foley, Baron, Metzger & Juip PLLC, Livonia; Hickey Hauck Bishoff & Jeffers, Detroit; and O’Rielly & Roche LLP, Los Angeles and San Francisco. Website: hcommunications.biz.

EXPANSIONS

TI Automotive Ltd., Auburn Hills, a

supplier of automotive fluid systems technology, has opened a manufacturing facility in Monterrey, Mexico. The 53,000 square-foot facility will produce fluid-carrying systems for the new Hyundai/Kia manufacturing facility located nearby. Website: tiautomotive.com.

MOVES

Airfoil Group, Southfield, a

marketing communications agency for global technology brands, has opened a new headquarters in Royal Oak and added new clients: Automotive

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Broadcasting Network, Jacksonville, Fla.; BI Worldwide, Troy; Duo Security Inc., Ann Arbor; PSR Associates, Atlanta, Ga; and Twisthink, Holland. Website: airfoilgroup.com.

NEW PRODUCTS

BASF Automotive Refinish North America, Southfield, launched

Norbin, a new brand of primers and clears in the U.S. and Canada, available for purchase through BASF distributors. Website: basfrefinish.com/norbin. Altair Engineering Inc., Troy, has released HyperWorks 14.0, the latest release of Altair’s HyperWorks open architecture CAE simulation platform that includes several new products, feature enhancements, updated functionalities and licensing methods to help users. Website: altair.com. Shelby Paint & Decorating, Utica, a

family-owned and operated paint and decorating retailer, has introduced a new environmentally friendly brand of paint, Motor City Paint, which contains fewer volatile organic compounds. Website: shelbypaint. com.

SME, Dearborn, formerly the Society of Manufacturing Engineers,

has a new publication, Smart Manufacturing, a magazine to be published digitally and in print quarterly to at least 80,000 manufacturing professionals. Its content will focus on digital manufacturing, software, controls, automation, advanced materials emerging processes, and the integration of new technologies. Website: sme.org.

ContiTech, Auburn Hills, a division of Continental AG and a supplier of

Carla O’Malley Chief Development Officer Autism Alliance of Michigan

Greg DeSandy

Director of Sales and Event Services Cobo Center With his promotion, Greg DeSandy is given oversight of both Sales and Event Services departments at Cobo Center as part of the recent organizational restructuring that marked the end of a five-year renovation. DeSandy’s vision for the new position is enhancing the customer relationship experience. He has more than 25 years of hospitality experience in hotels and convention centers prior to moving back to his hometown Detroit in September of 2014.

technical elastomer products and a specialist in plastics technology, has developed an advanced engine mounting system. Almost all of the functional components of the hydraulic mounts are made of polyamide, which has resulted in lighter mount components. Website: contitech.us.

Carla O’Malley has joined Autism Alliance of Michigan as the new Chief Development Officer. Carla has over 30 years of non profit healthcare clinical, operational and fundraising experience and previously served as the Executive Director and President of Oakwood Healthcare Foundation. Carla will lead AAoM in strategic philanthropic planning and execution with the goal of building the major giving, planned giving and donor relations programs.

Ally Financial, Detroit, announced a beta release of a new application, Splurge Alert, designed to help consumers better identify and manage their spending habits. It asks users to identify stores and areas where they tend to overspend and then selects friends and or family who can help them avoid overspending pitfalls. Website: ally.com.

For more information or questions regarding advertising in this section, please call Lynn Calcaterra at (313) 446-6086 or email: lcalcaterra@crain.com

Deals & Details guidelines. Email cdbdepartments@crain.com. Use any Deals & Details item as a model for your release, and look for the appropriate category. Without complete information, your item will not run. Photos are welcome, but we cannot guarantee they will be used.

PEOPLE: SPOTLIGHT Hurshe named president of Providence campuses Joe Hurshe has been named president of the two-campus Providence Hospital in Southfield and Providence Park Hospital in Novi. He is COO of both hospitals, which have been combined and are operating as

ProvidenceProvidence Park Hospital. Hurshe, 43, replaces Peter Karadjoff, who is departing St. John Providence Health System,

Hurshe

owner of ProvidenceProvidence Park Hospital, and Michael Wiemann, M.D., former Providence Hospital president and now president of St. John Providence Physician Network. Hurshe went to St. John Providence in 2010 from Vista Health System in Illinois, where he was COO.

UM tabs Bradford as med school exec vice dean The University of Michigan named Carol Bradford, M.D., executive vice dean for academic affairs for the medical school in Ann Arbor. She will lead a multiyear education plan in the newly created Bradford position. Bradford, who specializes in head and neck cancer surgery, has served as chairman of the Department of Otolaryngology.

LTU names Collins as first head of STEM center Lawrence Technological University named Sibrina Nichelle Collins as the first

executive director of its Marburger STEM Center.

The center is in the A.

Collins

Alfred Taubman Engineering, Architecture and Life Sciences

Complex, opening this summer.

Collins, an organometallic chemist, was most recently director of education at the Charles H. Wright Museum of African American History in

Detroit.

DESIGN

based in Graz, started conversing with Rogers. FROM PAGE 3 FH Joanneum, a college in Graz, has a relationship with the CCS. dozens of buildings, creative projects and “Graz, a beautiful city with a great apprecilearning and cultural centers that show the ation for design, also helped us with the applicity has embraced design in the past and for cation,” Rogers said. Graz is a moderate-sized its future development, said Olga Stella, city with both medieval and modern architecDC3 executive director. ture. “We are committed to using design and figDetroit's vast blight issues make it different uring out how to leverage it,” she from many of the other UNESCO citsaid. “To start, we are in the process ies, but Rogers said Detroit's rich hisof building a relationship with other tory and current resurgence make it UNESCO members.” an ideal UNESCO designee. Those UNESCO members, such “We’re not thinking of the physical as Montreal and Graz, helped Deappearance of Detroit, but its history troit prepare its application last in design,” he said. “It is a city of maksummer. Then, DC3 staff, including ers and the birthplace of auto design. Schneider and Clayson, visited a And we know that design revitalizes handful of the design cities to parcities. Olga Stella: ticipate in events and share the De“We thought the designation Wants to build troit story. aligned with the burst of creative enrelationships. The UNESCO Creative Cities ergy happening in the city now — Network was created in 2004 to pronew design businesses, DC3-led inimote cooperation among cities that have tiatives,” he said. “Its larger goal is to advance identified creativity as a key factor for sustain- and expand the city's creative economy.” able urban development. The 116 cities in the Rogers and Clayson said cities, in general, network work toward placing creativity and and UNESCO cities are a mixture of beauty cultural industries in their development plans and challenges. locally and internationally. Clayson said UNESCO cities such as Berlin; “Having this designation is a marathon, not Torino, Italy; and Bilbao are going through a sprint,” Stella said. “It’s about how to build transition, regentrifying brownfield sites and public awareness. How do we use the making other improvements. He acknowlUNESCO designation to be an opportunity to edged that none of those cities is dealing with have a public discussion around what Detroit, the type and scale of help Detroit needs. city of design, should be?” Still, the designation has opened opportuIn addition, the designation includes not nities for Detroit-based designers and benejust Detroit but the whole region and points to fits the creative community, he said. “This will a design legacy. provide creative cultural exchanges with in“Look at Ford (Motor Co.)'s recent announce- ternational peer cities.” ment to expand and modernize its Dearborn Schneider said it is too early to say exactly campus,” Stella said. “Automotive and trans- how things will shake out. portation design are our design legacy.” “But there is a lot of excitement around it. It While Clayson said he started researching is drumming up interest and getting attention applying for the UNESCO designation five from a government standpoint, too,” Schneiyears ago, it did not take hold until an execu- der said. “Now it is about raising awareness tive at Detroit-area auto supplier AVL, which is and looking at how other cities have used it.”

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Page 17

HOTELS

first and second floors and includes leased space in the Southfield Town Center atrium FROM PAGE 3 area where the Westin operates an executive meeting conference center. “Though there is a lot of new hotel conReupholstering the furniture will cost the same as purchasing new, Tononi said, struction in metro Detroit with meeting space, there aren’t hotels like this being built,” given labor costs. Farmington Hills-based EJH Construction with significant meeting space, he said. Inc. is serving as general contractor on the That “is to our advantage with meetings project. The rooms will feature the Westin and conventions, which is one of our core brand’s prototype carpet, wall colbusinesses.” or and drapes in muted colors, The Westin is one of at least two “but we wanted (them) to have Southfield hotels currently undermore pop,” Tononi said. going complete renovations. The In a departure from the protoother, the former Holiday Inn of Southfield which had been shuttype, the redone Westin Southfield tered for years, includes about rooms will have colorful furnishings 25,000 square feet of meeting and regional artwork. space expected to come back on The room and corridor renovathe market late this year or early tions will stretch through October, Jerry Tononi: next year. (See story, Page 9.) wrapping up the first phase of the Renovating the Is there enough demand in the project, Tononi said. Westin. Southfield market for additional Plans call for renovations to bemeeting space? gin on the lobby and common ar“I wish (the former Holiday Inn) wasn’t eas immediately after the guest rooms and so close to us,” Tononi said halls. But traditionally, the two hotels have purDesigns for the lobby, common areas and meeting spaces are still being final- sued different segments of the meeting marized, he said. They will include new carpet- ket, with the Westin operating at the upper ing, possibly new wall finishes, (right now end of the scale, he said, admitting he’s not the walls are covered in a laminate with the yet familiar with the Best Western Premier look of wood), renovations to the lobby bar brand that will fly at the hotel destined for the area and the lobby water fountain. It’s former Holiday Inn’s round tower. J.C. Chaturvedi, a principal with Kiwi yet to be decided if the furniture in the common areas will be replaced or reuphol- Hospitality Detroit LLC, the owner of the Best Western Premier, believes the new hotel stered. “Our goal is to deliver a product to our and the Westin will complement each othcustomers that’s modern and something a er with little, if any, competition between Westin upscale luxury customer is looking the two. “There’s enough business available for,” Tononi said. “It has to be done on a cyclical basis, here,” he said, noting that preliminary research showed a lot of groups looking to since nothing lasts forever.” Renovations to the hotel’s 25,000 square hold an event in the region took their meetfeet of meeting and banquet space are ex- ings to other cities because of limited space pected to begin toward the end of this year availability in Southfield. Sherri Welch: (313) 446-1694 or early next, Tononi said. Twitter: @SherriWelch The space is spread between the hotel’s

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C R A I N ’ S D E T R O I T B U S I N E S S // M A Y 2 , 2 0 1 6 CRAIN’S DETROIT BUSINESS

May 2, 2016

PUBLIC NOTICES

PUBLIC NOTICE All citizens are advised that the Regional Transit Authority of Southeast Michigan has prepared an application for State of Michigan financial assistance for fiscal year 2017 as required under Act 52 of the Public Acts of 1951, as amended, and for federal assistance as required under the federal transit laws, as amended. The Regional Transit Authority of Southeast Michigan is requesting an estimated total of $2,100,000 through the following sources: $2,000,000 in Act 51 Operating Assistance, and $100,000 from the Service Development and New Technology program. The Regional Transit Authority of Southeast Michigan ensures that the level and quality of transportation service is provided without regard to race, color, or national origin in accordance with Title VI of the Civil Rights Act of 1964. For more information regarding our Title VI obligations or to file a complaint, please contact us at the address given below. The proposed application is on file at the Regional Transit Authority for Southeast Michigan and may be reviewed from Monday, April 25, 2016 through Friday, May 20, 2016 between the hours of 9 a.m. and 4:30 p.m. Written comments or requests regarding the application and/or written request for a public hearing to review the application must be received by Friday, May 27, 2016. If a public hearing is requested, notice of the scheduled date, time and locations will be provided at least 10 days in advance. Submittals should be sent to Ms. Tiffany Gunter, Chief Operating Officer, Regional Transit Authority of Southeast Michigan, 1001 Woodward, Suite 1400, Detroit, MI, 48226 or 313-402-1020 or via email to tgunter@rtamichigan.org. Barring any changes made in response to the written comments, this document will become final.

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PAYNE FROM PAGE 1

she said. Payne said that while she wanted to broaden her management reach after her long stint as Taubman’s CFO, she wasn’t sure she wanted to take on all that Soave and Levin had in mind for her. “I was struggling with whether I wanted this much of a job. And Tony closed the deal. I found out how he’s been able to grow this company. He knows how to close a deal,” Payne said. “I said, ‘This will be a mistake for us and it will be a mistake for you if we don’t make this work,’” Soave said. Levin said he got the idea to recruit Payne last September as he was reading about her planned departure from Taubman in an article on the Crain’s website. The article, by Dustin Walsh, began by saying that Payne was stepping aside as Taubman’s CFO, “but she’s not retiring. The longtime confidant to the Taubman family wants another challenge — specifically to be the top leader of another organization. ‘My plan is to think about a leadership role,’ said Payne. ‘I have a lot of passion for managing people, making a company better, and I’m interested in doing that as a CEO or COO.’” Soave had just engaged a search firm to find someone to fill the

C R A I N ’ S D E T R O I T B U S I N E S S // M A Y 2 , 2 0 1 6

“Long-term employees will wonder, ‘Will this be the same company I signed on for and am committed to? What are the implications for me? How is the culture going to change? How will the company’s direction change?’” Christine Jackson, Mike Ilitch School of Business

roles Payne eventually agreed to fill. Levin had an idea he could call a halt to the search. He immediately reached out to Payne through Alan Schwartz, a partner at the law firm Honigman Miller Schwartz and Cohn LLP. Payne said that after the article ran in Crain’s, she fielded a lot of calls about possible jobs, but she could afford to be picky. She didn’t want to work for a public company. “When I did my last earnings call at Taubman, I decided it was going to be my last one. I’d done 80 of them, and that was enough,” she said. Payne said she didn’t want to leave Michigan, either, and she wasn't interested in offers of another CFO role. If the right job offer didn’t come along, “I thought I’d just serve on company boards, I’d play golf, and I’d do yoga,” she said. The right job came along, it just took a while to realize it. “This courtship lasted for months. I got to know Tony. I hadn’t been thinking of a job in Detroit, but Tony has a love for the

city and that started appealing to me,” said Payne. “In the end, honestly, this was the perfect job.” Soave, the son of a neighborhood grocer, founded his company in 1961, building City Management Corp. into a multistate waste-management firm before selling it to Waste Management in 1968. Along the way, Soave Enterprises branched out into metal recycling, automotive retailing, transportation services (Checker Cab), industrial services and hydroponics. Levin said recycling continues to be the largest revenue producer, even with recent price declines. In 2014, Soave Enterprises had revenue of $1.9 billion, with recycling accounting for about $1.2 billion of that. He said 2015 numbers haven’t been finished yet, but are expected to be down about $500 million companywide, all attributable to lower scrap-metal prices. Payne’s background as a vice president of Goldman Sachs’ investment banking division before joining Taubman made her a good fit to launch a family office, but it was her real estate background

that was of particular importance. “Our most pressing need was in real estate,” said Levin. Soave has a handful of residential complexes in Michigan, including Huron Pointe in Huron Township, The Milltown in downtown Rochester, The Overlook in Rochester, The Moors of Oxford in Oxford Township and Tullamore in Oxford Township. And the company has several luxury residential complexes in Florida and one under development in Brambleton, Va., a suburb of Washington, D.C. Payne, who was the Crain’s CFO of the year in 2013 and has an MBA from Duke University, isn’t waiting until her formal start date in July to start getting the lay of the land at Soave. “I’m spending a fair amount of time here, already, getting up to speed,” she said last week during a meeting with Soave and Levin. Down the hall, construction is underway on her office. “I asked for one concession. I wanted a stone desktop. I hate scratching wood.” While the match between Payne and Soave Enterprises strikes all involved as perfect, there will be challenges, said Christine Jackson, the department chairman of management and information systems at the Mike Ilitch School of Business at Wayne State University. Longtime owners and CEOs of businesses have good intentions when they bring in new management from the outside, but they

can’t always relinquish the reins, she said. Will Soave actually be able to work less and manage less? Another issue is how will longterm employees — and Soave takes pride in how many of his employees have been there for 20 and 30 years — react? “Long-term employees will wonder, ‘Will this be the same company I signed on for and am committed to? What are the implications for me? How is the culture going to change? How will the company’s direction change?’” Jackson said. “It will create a lot of anxiety,” she said. “What you want to do is communicate openly with employees. You need to be transparent. Let them ask questions. Settle their concerns.” Compounding things for Payne will be the family generational issues she’s been assigned to deal with, issues Jackson said she knows firsthand. In the early 1990s, her grandfather, Elwood Stratton, got cancer and had to turn over the family business, Bi-Rite Auto Parts, which had several outlets in metro Detroit, to a son who didn’t enjoy running the business and after a period of decline sold it to an employee. “Will they enjoy running the business? Will they be good at it? There’s a lot of stress following the original leader,” said Jackson. “And they’ll have the employees judging them. Will the employees buy in?” Tom Henderson: (313) 446-0337 Twitter: @TomHenderson2

Comerica Bank boosts investment in Hatch Detroit competition By Marti Benedetti mbenedetti@crain.com

Comerica Bank’s investment in this year’s Hatch Detroit entrepreneurship program has more than doubled. The annual contest, which starts taking applications today, is an opportunity for a business owner to win a $50,000 grant to open a brick-and-mortar retail business in Detroit, Highland Park or Hamtramck. Included in the prize this year is an additional

$25,000 for branding and logo design from advertising agency Team Detroit and a package of technical, accounting and legal support. Additional funds will be used to enhance the contest and help past participants. Comerica is more than doubling its commitment for the contest, investing more than $125,000 to help launch more small businesses in Detroit and ensure the success of current Hatch alumni. Hatch Detroit was started in 2011

to attract new retailers to vacant storefronts in Detroit neighborhoods. Marketing efforts are planned along with business planning sessions hosted by Hatch Detroit. The free workshops take place in Detroit’s Jefferson East, Grandmont Rosedale and Avenue of Fashion neighborhoods as well as Hamtramck. Past winners include Batch Brewing, Sister Pie, Hugh, Live Cycle Delight and La Feria.

Proposals to host new Cyber Range hubs sought Ann Arbor-based Merit Network Inc. is asking various organizations to submit proposals to host new public hubs of the Michigan Cyber Range, a specialized networking and computer infrastructure facility and test program to hone security software and train cybersecurity professionals. Merit, a network technology nonprofit owned by 12 Michigan universities, has issued a request for proposals to replicate publicly accessible training center hubs of the Cyber Range, like the kind that

opened at the Velocity center in Sterling Heights in March. The organization is a sub-recipient of the $6 million Advance Michigan Defense Collaborative grant managed by the

Workforce Intelligence Network for Southeast Michigan.

The Cyber Range, a program first proposed by Gov. Rick Snyder in 2011, is a private cloud network built on architecture supplied and operated by Merit. Initially housed at Eastern Michigan University in late 2012, the program offers cybersecurity training and certification as well

as product testing and research space on industrial control systems security. Other locations opened at Selfridge Air National Guard Base, Ferris State University, the 110th Airlift Wing in Battle Creek and General Dynamics Land Systems’ Maneuver Collaboration Center in Sterling Heights. Proposals for new hubs are due May 15. Nonprofits, schools or colleges looking to participate should locate a hub within the 13-county southeastern region of the Advance Michigan grant. Chad Halcom

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VEHICLE FROM PAGE 3

package, which Kowall said is expected to follow soon, would establish liability insurance requirements for connected equipment manufacturers in case their products malfunction, and formally authorize use of the former General Motors Co. powertrain plant at Willow Run Airport near Ypsilanti for the new American Center for Mobility project. â&#x20AC;&#x153;Michigan is the home of the automobile,â&#x20AC;? said Kowall, who hopes Michiganâ&#x20AC;&#x2122;s standards could be incorporated into federal rules. â&#x20AC;&#x153;If our guys are saying, â&#x20AC;&#x2DC;Yep, thatâ&#x20AC;&#x2122;s going to work,â&#x20AC;&#x2122; thatâ&#x20AC;&#x2122;s the same thing theyâ&#x20AC;&#x2122;re going to be telling the feds.â&#x20AC;? â&#x20AC;&#x153;This is all brand-new territory that weâ&#x20AC;&#x2122;re delving into.â&#x20AC;? Attorneys who specialize in connected car technology and autonomous vehicles say the industry is creating new and unique legal issues around everything from cybersecurity and data protection to product liability. Driverless cars arenâ&#x20AC;&#x2122;t available to buy yet, though the Alliance of Automobile Manufacturers, a Washington, D.C.-based coalition of 12 automakers, including the Detroit 3, said its members intend to bring them to market â&#x20AC;&#x153;as soon as possible.â&#x20AC;? Some estimates suggest it could be a matter of years before theyâ&#x20AC;&#x2122;re on the road. Automakers are getting involved in setting the regulations that ultimately will govern their efforts. Kowall said the automakersâ&#x20AC;&#x2122; alliance has participated in discussions about specific language in his forthcoming bills. The alliance says its members are investing in automated technology in an effort to increase vehicle safety and reduce crashes. But the group cautioned against adopting too many rules too early, before state and federal regulators can develop common standards for autonomous vehicles. â&#x20AC;&#x153;The Alliance urges federal and state governments to aid in facilitating the introduction of these technologies,â&#x20AC;? it said in a statement. â&#x20AC;&#x153;Establishing premature certification requirements, test procedures and performance criteria, dictating technology-specific approaches or adopting a patchwork of ill-timed competing state rules would only inhibit vehicle innovation and limit these important life-saving safety improvements.â&#x20AC;?

Connected vs. autonomous vehicles Automakers and tech companies are working on a variety of new technologies that will allow cars to communicate with one another and, one day, possibly even drive on their own. But what do the terms mean? The National Highway Traffic Safety Administration in 2013 established five tiers to define various levels of automation, all the way to â&#x20AC;&#x153;full self-driving automation,â&#x20AC;? or a vehicle in which the driver â&#x20AC;&#x153;is not expected to be available for control at any time during the trip.â&#x20AC;? Levels of automation include functionspecific automation, such as electronic stability control, or two or more functions interacting while driving, like cruise control and lane centering. Attorneys and others who specialize in the industry define connected vehicles as those with the ability to communicate with one another or with specialized infrastructure systems, such as signs to send warnings and avoid collisions. In-vehicle systems equipped with sensors can send and receive wireless messages with other vehicles about possible hazards.

State vs. federal regulations Michigan is one of just seven states with any laws on the books regulating autonomous vehicles. But its status as an early adopter may be waning. The number of states introducing bills has grown steadily in recent years, from six in 2012 to 16 last year, according to the National Conference of State Legislatures. Nevada was first in 2011; since then, California, Florida, North Dakota, Tennessee, Utah and Washington, D.C., also have followed Nevadaâ&#x20AC;&#x2122;s lead. Arizona Gov. Doug Ducey last year signed an executive order directing state agencies to support testing of autonomous vehicles and setting up pilot programs at universities. Michigan Gov. Rick Snyder signed two bills in 2013 that allowed autonomous vehicles on streets and highways only for testing purposes and exempted auto manufacturers from liability for damages that result if someone modifies a vehicle to make it autonomous. Wanting to avoid varying state laws, the federal government is developing its own standards for automated vehicles. The National Highway Traffic Safety Administration

in January said it planned to issue guidelines within six months about safe operation of self-driving vehicles and will work with states on model policies to create a â&#x20AC;&#x153;nationally consistent approach to autonomous vehicles.â&#x20AC;? The agency recently accepted public comments to help it shape forthcoming guidelines for carmakers and vehicle equipment manufacturers to determine when a technology flaw or malfunction might be considered a safety defect. â&#x20AC;&#x153;When would we consider vulnerability to a cyberattack to be a

defect?â&#x20AC;? said Paul Laurenza, an attorney and managing member of Dykema Gossett PLLCâ&#x20AC;&#x2122;s Washington, D.C., office, who works on auto regulatory issues. â&#x20AC;&#x153;That is an area that certainly we wouldnâ&#x20AC;&#x2122;t have been talking about as a potential recall three or four years ago.â&#x20AC;? Laurenza also is chairman of the Connected Vehicle Trade Association, a Plymouth-based organization that represents companies, governments and other entities working on connected vehicle technology. Historically, he said, statesâ&#x20AC;&#x2122; vehicle regulations typically focus on driver licensing and vehicle use, because federal safety standards would preempt any set at the state level. States that regulate beyond how vehicles are used risk contributing to a patchwork of rules, Laurenza said. That could impede federal regulatorsâ&#x20AC;&#x2122; ability to ensure safety, he said, as well as manufacturers' development of autonomous vehicle technology.

talented professionals based on factors such as financial impact and community leadership. Winners will be profiled in the Oct. 3 issue of Crainâ&#x20AC;&#x2122;s Detroit Business and will be honored at an awards event in November. With more than 640 alumni invited, the annual event brings together the current class with colleagues, clients, family and friends to cele-

deal with federal telecommunications regulations. â&#x20AC;&#x153;Thatâ&#x20AC;&#x2122;s what makes it a novel practice â&#x20AC;&#x201D; that (it) has to be very cross-disciplined in a way that we never thought about in a vehicle,â&#x20AC;? Dukarski said. â&#x20AC;&#x153;If a widget breaks, itâ&#x20AC;&#x2122;s harder to tell what line of code when thereâ&#x20AC;&#x2122;s hundreds of millions of lines of code.â&#x20AC;? Regulators like NHTSA are likely to want automakers to voluntarily agree to follow specific rules and standards because the federal rulemaking process could take years, Laurenza said. That likely won't be fast enough for the industry. Kowall said his goal, especially with his proposed bill to allow autonomous vehicles on Michigan roads for any reason, is to attract new driverless car R&D to the state. â&#x20AC;&#x153;Everybodyâ&#x20AC;&#x2122;s trying to pick our pockets when it comes to the auto industry,â&#x20AC;? he said. â&#x20AC;&#x153;We have to make sure that what we do, other states are going to follow suit at some point, because this is going to be an integrated system that eventually is going to go nationwide.â&#x20AC;? Lindsay VanHulle: (517) 657-2204 Twitter: @LindsayVanHulle

Michigan an industry leader? Kowall said he hopes Michigan will serve as a model for other states and federal transportation officials navigating the new regulatory and legal issues surrounding driverless vehicles. The state already is attempting to lead the nation in research and development of automated vehicle technology and mobility. The University of Michigan last year opened a 32-acre test site on its north campus called Mcity, a city simulation that allows for controlled testing of self-driving vehicles in scenarios that range from freeways to traffic circles. The state, through the Michigan Economic Development Corp. and Michigan Strategic Fund, is a partner in the American Center for Mobili-

One more week to nominate 40 under 40 Since 1991, Crainâ&#x20AC;&#x2122;s Detroit Business has gathered 40 of the communityâ&#x20AC;&#x2122;s achievers for a special salute. Past winners have started companies, found success at a young age, established businesses and made nonprofits stronger. Crainâ&#x20AC;&#x2122;s Detroit Business is seeking nominations for the 2016 class of 40 under 40, which recognizes

ty at Willow Run, a former bomber factory during World War II. The 335-acre site will act as a test track. More recently, a diverse group of companies â&#x20AC;&#x201D; automakers Ford Motor Co. and Volvo, tech titan Google Inc. and ride-sharing services Lyft and Uber â&#x20AC;&#x201D; joined forces to advocate for public policy regarding self-driving vehicles. The risk for states wanting to legislate an industry that is still largely conceptual is a lack of uniformity, said Jennifer Dukarski, an attorney with the connected car and autonomous vehicles team for the Butzel Long law firm in Ann Arbor. As an example, she described a scenario in which a connected or autonomous car traveling between Michigan and Ohio might find different requirements for opting out of data collection just by crossing the state line. â&#x20AC;&#x153;Itâ&#x20AC;&#x2122;ll create a hodgepodge, but in the interim it makes perfect sense until we get some federal legislation,â&#x20AC;? she said. â&#x20AC;&#x153;If they want to play in the space, (states are) going to have to come to some sort of agreement of what the rules of the road are.â&#x20AC;? The wide-open regulatory environment is posing other challeng-

brate this achievement. Nominations will be accepted through May 9. To be eligible, nominees must be 39 or younger as of Oct. 3. To nominate, and to read about last yearâ&#x20AC;&#x2122;s winners, go to crainsdetroit.com/40s. Questions? Contact Assistant Managing Editor Kristin Bull at kbull@crain.com or (313) 4461608.

â&#x20AC;&#x153;As part of the Cohen & Company team, weâ&#x20AC;&#x2122;re immersed in a culture of continuous learning that helps us identify game-changing opportunities for clients.â&#x20AC;? â&#x20AC;&#x201C; Cathy Lorenz, Partner RQH Ă&#x20AC;UP EHWWHU WRJHWKHU _ FRKHQFSD FRP JKG es, attorneys said. States such as Michigan are discussing product liability requirements for the makers of connected vehicle equipment, such as lane collision avoidance, blind spot and emergency braking technology, in the event the parts malfunction. And wireless vehicle-to-vehicle connectivity might require automakers to

C R A I N ’ S D E T R O I T B U S I N E S S // M A Y 2 , 2 0 1 6

SOCCER FROM PAGE 1

owner of the semipro Michigan Bucks team in Pontiac. “We all need to support this, all the way down to the youth level that comprises 100,000 kids playing within two hours of Detroit.” MLS is interested in Detroit not just because the billionaires Gilbert and Gores can write huge checks (the expansion fee alone could be more than $100 million). The league has said the explosive popularity of the semipro Detroit City FC playing games in front of 3,000-plus fans at Cass Tech since 2012 — and at Hamtramck’s 6,000seat Keyworth Stadium beginning this season — has shown it that this market is ripe for a top-tier pro club. So did the 2014 exhibition match between global soccer powerhouses Real Madrid and Manchester United in front of 109,318 fans at Michigan Stadium in Ann Arbor, a game that set the U.S. record for soccer attendance. Detroit City FC co-owner Alexander Wright had a few suggestions on what an MLS club must do to be successful in Detroit. “Take community- and supporter-driven soccer and amplify it: Use resources to create an inclusive, electric environment at matches that sets itself apart from the other sporting options in the region,” he said via email. “Soccer lends itself to a passionate atmosphere, but the club can’t create it; it can only create the platform for it. Be inclusive. Foster creativity. Lay out who you are and what you are about, give individuals the space/freedom to find value in the club based on what it means to them, not to you.” MLS has millennials in its crosshairs, and the Gilbert-Gores bid aims to build a soccer-specific stadium in a part of the city rich in millennial interest. Tim Smith is president and CEO of Detroit-based ad firm Skidmore Studios that focuses on millennial-targeted marketing. The agency has done work on MLS’ relationship with millennials. “Detroit is one of the best sports towns in America, and we are that because of our passion. But the MLS fan is a younger, millennial-minded fan and they demand more of an experience that begins before they show up at the gate with a ticket in hand for the game. Today’s MLS soccer fan is very different from the football, baseball, basketball and hockey fan we are used to delivering for,” he said. “To be really successful the ownership needs to start today by strategically creating an honest relationship with these fans. We have a proof of concept with the success of DCFC, and we should be building on that model.” “In order for MLS to be successful here in Detroit, we (the local MLS owners) must emulate the authentic relationship model the teams and the fans have in successful MLS cities like Portland, Kansas City and Seattle. The own-

ROSSETTI ASSOCIATES INC.

The designs for the Gilbert-Gores soccer district proposal include hundreds of thousands of square feet of mixed-use space surrounding a 20,000- to 25,000-seat soccer stadium.

The Gilbert-Gores proposal Key facts about the proposal by Dan Gilbert and Tom Gores to bring Major League Soccer to Detroit:

The plan calls for a 20,000- to 25,000-seat soccer stadium on the site of the stalled Wayne County jail project on Gratiot Avenue at I-375. It also calls for an investment totaling $1 billion in a mixed-use project to include retail, residential, office and hotel space The non-stadium space would total 400,000 to 500,000 square feet. A key obstacle to the project: Wayne County still owns the jail site and has

said it plans to complete the jail. County Executive Warren Evans said Gilbert and Gores’ plan would require an alternative that would provide a new jail at no extra cost to taxpayers.

ers in those cities have engaged the fans, and empowered them to have a seat at the table by asking for their opinions and then acting on that feedback. The key is to create a fan-first mentality that celebrates their enthusiasm for the game. When you do that you create loyal superfans.” The Gilbert-Gores initiative isn’t the first serious pitch for an MLS club. Duggan led a push for an MLS team beginning in 2002, he said. Over three years, they had talks with the league and sought investment from the Ford and Ilitch families in Detroit, and from Bill Davidson, the Detroit Pistons owner who died in 2009. Because the league was still new and deeply unprofitable, none locally were interested, Duggan said, despite the expansion fee being just $5 million at the time (with a stadium pegged at about $40 million). Duggan said he has been in talks with Gores’ chief lieutenant since last year, Arn Tellem, and has offered to help the MLS bid however possible. “We just want this to happen. It’s their money,” Duggan said. He has the local MLS group’s ear because of his ongoing efforts to get higher level teams in this market: He announced in April 2014 he had preliminary approval from the Tampa, Fla.-based United Soccer Leagues to launch a third-tier USL professional expansion team in Detroit. The USL is a formal partner with MLS, and each MLS club must own or be affiliated with a USL club. His plan was to build a 6,000-seat USL stadium, something that’s tak-

en a back seat until the MLS situation plays out. Duggan’s plan had been to show MLS that a USL team could attract big crowds over time, and perhaps follow Orlando City FC’s path from being a USL club that transitioned into an MLS team in 2015. Gilbert and Gores’ announcement altered those plans. “These guys have jumped over that and made the assumption that 20,000 will come to games. I think they’re right,” Duggan said. Whether a Duggan-owned USL team is affiliated with a Detroit MLS club remains a question for down the road. “I don’t know how it’s all going to play out,” he said. “I hope we’ll be involved in that way. But we’ve got a lot of discussions (to have).” Duggan intends to continue operating the Bucks as a U-23 club regardless of whether a local MLS team happens or not. The Bucks have won their league championship twice and are a regular finalist. Matt Cullen, CEO of Gilbert’s Rock Ventures, said the group will follow the basic template for local MLS success seen elsewhere: Field a competitive team with marketable players and have a game-day experience that pleases fans and families, which in turn makes the team enticing to corporate sponsors who want to reach those fans across the 17 home games each team plays. The relationship with fans also is bolstered by community initiatives with philanthropic work, soccer academies, etc. What makes this MLS bid likely to succeed, Cullen said, is the ex-

citement from the ongoing wave of downtown investment and new construction that’s attracting new residents, visitors and businesses. Cullen said the ownership group also will local to ensure collaboration across what he termed the local “soccer ecosystem” that includes DCFC and the Bucks. MLS is a single-entity structure, meaning the league pays all salaries — including money set aside for superstars outside of the salary cap — and covers business expenses such as insurance. Owners buy a share of the league, not a team itself, in return for the right to operate a club in a market. The league shares its national revenue from things such as TV deals, but the team owners keep all of the money generated by their local corporate sponsorships, merchandise and concessions sales, and two-thirds of ticket sales. The other third is shared leaguewide. Because of that financial arrangement, MLS has owners who make a profit from their clubs even with the league-level losses, and some who don’t. MLS clubs had a combined $6 million in operating incomes losses on $461 million in income in 2014, when there were 18 teams, according to Forbes. com. There remain macro-level questions about Major League Soccer. University of Michigan sports economist and soccer author Stefan Szymanski is one of MLS’ biggest skeptics. He drew attention last year with a blog post that predicted MLS will eventually collapse because of its business model and continued financial losses, and called the league a “pyramid scheme.” Critics say Szymanski’s numbers are off, but MLS has acknowledged it loses about $100 million a year — the amount billionaires Gilbert and Gores (and other potential investment group partners) are expected to pay for the right to operate a team in Detroit. Gilbert and Gores, or their surrogates, have yet to elaborate on their business plans. He questions MLS’ long-term strategy. “My feeling is I don’t really un-

derstand what the end game is with the MLS business model,” he said. “I am highly skeptical about how Major League Soccer is going to become a major league.” The league draws small (but growing) viewerships on ESPN, Fox, and Univision in the U.S., and without TV ratings, the league isn’t going to get the sort of broadcast rights deals enjoyed by the other four leagues. And that uncertainty, along with the acknowledged losses, makes Szymanski question why people invest in MLS. “Why do you pay $100 million to join a club that loses $100 million?” he said. Cullen said the ownership group is aware of the league’s financials, but believes its growth will offset the losses in coming years. Because MLS doesn’t have a monopoly on players like the other four U.S. major leagues enjoy, it doesn’t have the talent that exists in the overseas leagues — and it hasn’t been willing to spend the money to get it. Szymanski said MLS spends on its player salaries what Romania spends on its local league. The current MLS salary cap is $3.6 million per team. By contrast, Chelsea of Britain’s Premier League alone spent $313 million on players last season. Almost all pro soccer leagues lose money, Szymanski said. The Premier League turned a combined $175 million pretax profit in 2013-14, only the second year the league has finished in the black since its 1992 founding. The financial questions are especially acute for MLS because it’s not spending much on players. Americans want to see the best talent, and they know MLS doesn’t have it, a fact reflected in the league’s low ratings, Szymanski said. The league notes it has invested $30 million on player development, and it has specialized rules that allow additional player spending on stars and upper-tier roster players. Szymanski had a suggestion for a model that could ensure the league’s solvency. “The most natural path for the MLS is to become a feeder league for the top European clubs,” Szymanski said, noting that Premier League team Manchester City is an investor in MLS’ New York City FC. An alternative strategy would be to lose even more money by luring the world’s top talent, something he says could boost TV ratings and persuade the networks to significantly increase the next broadcast rights deal. But Szymanski is convinced MLS won’t do that. “They’re not prepared to lose really large sums of money,” he said. He admits Gilbert and Gores are savvy businessmen who may see another path to long-term success with MLS. “It won’t be a get-rich-quick scheme,” he said. Bill Shea: (313) 446-1626 Twitter: @Bill_Shea19

C R A I N ’ S D E T R O I T B U S I N E S S // M A Y 2 , 2 0 1 6

SYNCORA FROM PAGE 1

rights to the DPD building at 1300 Beaubien and land. In large part, that’s because development surrounding the riverfront property has been happening at a frenetic pace, said Dennis Bernard, founder and president of Southfield-based Bernard Financial Group Inc., which originates debt for real estate acquisition and development. He pointed to the $65 million first phase of the Orleans Landing mixed-use development and the $42 million construction of DuCharme Place in Lafayette Park as two examples of new multifamily construction pumping up property values around Syncora-controlled land just north of Chene Park. “Whether it’s a potential soccer stadium, additional recreation for the city, multifamily — you’re going to see increased value and development along that spur,” he said. “In other words, that spur is becoming more pedestrian and user friendly, and with that comes safety and other opportunities.” No formal plans have been announced for the largely vacant block north of Chene, which consists of five parcels with city and private ownership, although there has been interest in the site. Syncora also has development rights to another property, this one known to be part of the stadium plans: the former DPD building, built in 1923 and designed by Albert Kahn. It sits in the planned 15.5-acre arena development site. And although aerial renderings of the development plans released last week don’t appear to show it still standing, Matt Cullen, president and CEO of Gilbert’s Rock Ventures LLC, said that demolition of the building has not yet “been contemplated.” It could also be redeveloped as a historic renovation project, he said. Regardless, the Gilbert-Gores team would have to purchase the building — and with a $1 billion plan with approximately 1 million square feet of space on the line, would likely pay a substantial sum for it, despite the fact that it has experienced serious maintenance issues in the past couple of years. For its part, Syncora said in a prepared statement: “We currently are not in a position to discuss the details of the properties on which

KIRK PINHO

“It now appears to have significant value in light of the potential redevelopment of the jail site and the various redevelopments planned along the Gratiot corridor.” Matt Lester, founder and CEO, Princeton Enterprises LLC, about the former Detroit Police Department building, pictured above

we have options. We continue to work with the City and are excited about Detroit’s growth and revitalization.” Matt Lester, founder and CEO of Princeton Enterprises LLC, said the DPD building could have been viewed as “a liability or of marginal value.” “It now appears to have significant value in light of the potential redevelopment of the jail site and the various redevelopments planned along the Gratiot corridor,” he said. “If anything, that building has development capabilities right away. There is a lot of value inherent in that asset,” said AJ Weiner, managing director in the Royal Oak office of brokerage firm Jones Lang LaSalle. “There is a general feeling that the boat has somewhat sailed for the CBD (central business district), so you’re seeing a lot of interest going east along the river and west through Corktown, north through New Center and Midtown,” said Marc Nassif, managing director, Midwest, of the Livonia office of Dallas-based BBG Inc., a commercial real estate appraisal firm. “The interest for those properties has truly become national. They want market studies and feasibility studies,” he said. “Two years ago they were local calls,

INDEX TO COMPANIES

These companies have significant mention in this week’s Crain’s Detroit Business: Best Western Premier .......................................... 9

Mich. Chapter, Meeting Professionals International .11

Cobo Center .......................................................... 9

Radisson Hotel Detroit Metro Airport .............. 9

Detroit Creative Corridor Center ........................3

Rock Ventures ...................................................... 21

Detroit Trading Co. ................................................3

St. Joseph Mercy Health System ....................... 8

Garden City Hospital ............................................ 8

Skidmore Studios ...............................................20

Gemphire Therapeutics ......................................14

Soave Enterprises ................................................. 1

George P. Johnson Co. ..........................................11

Special D Events ...................................................11

Kiwi Hospitality Detroit ................................ 10, 17

Westin Southfield Detroit ....................................3

and now they are coming from across the country.” Lester, whose company has real estate holdings along the river, said the bond insurer’s gamble on riverfront real estate was a wise one. “The value of that real estate has only been enhanced over the past 18 months and may have gone up in value as much as 20 to 50 percent or more, depending upon the value attributed to it through the bankruptcy proceeding.” If the property is flipped for a soccer stadium, or if Syncora participates in any development of the properties it controls, the moves could enhance the bond insurer’s investment in Detroit’s recovery, said Douglas Bernstein, a banking and bankruptcy partner with Bloomfield Hills-based Plunkett Cooney PC. “It would certainly give them an opportunity to enhance their return,” Bernstein said. “It would essentially mean they waited two years to convert their claim into cash.” Flipping the properties to Gilbert and Gores also would help the bond insurer exit the real-estate business and avoid what could be costly development costs, particularly with the old DPD headquarters, Bernstein said. “There’s probably remediation that’s going to be necessary, and I assume asbestos, which dramatically increases the cost of demolition,” Bernstein said. The land development agreement is with Syncora subsidiary Pike Pointe Holdings LLC. Comparable sales are difficult to come by because of the overall size of the riverfront property. However, data from Washington, D.C.-based CoStar Group Inc. for land sales between the Detroit-Windsor Tunnel and the Belle

Isle bridge sheds some light on how much the bond insurer could earn from selling the property. Since the Syncora deal was struck in September 2014, a 0.33-acre parcel at 2100 Guoin St. sold for $500,000 in July, or $1.5 million per acre; and a 0.6acre parcel at 1944 E. Jefferson Ave. sold for $400,000, or $667,000 per acre, in January 2015, according to the real estate information service. Based on those per-acre prices, the 6.79 acres north of Chene Park that Syncora controls would sell for between $4.53 million and $10.19 million. Syncora received development rights to a total of 8.35 acres of riverfront land. Based on the peracre prices since September 2014, that would sell for between $5.57 million and $12.53 million. Between Jan. 1, 2010, and the Syncora deal, there were seven land sales in the area, with known sale prices ranging between $225,000 and $852,000 per acre. However, none of those properties totaled more than 2.24 acres. Syncora isn’t the only bond insurer to let the city resolve some of its debt with real estate interests. Financial Guaranty Insurance Corp. received development rights for Joe Louis Arena, which is slated for demolition and to be replaced by a hotel with at least 300 rooms and standing no more than 30 stories; and a mix of office, retail, recreation and residential space, according to bankruptcy court documents. The property sits on about 9 acres. The interest in land given to Syncora during Detroit’s bankruptcy does not surprise Melissa Jacoby, a University of North Carolina law professor and bankruptcy expert who followed the city’s case. “The whole point was to predict the future, and I speculated that the percentage of recovery that Syncora or FGIC would be getting was potentially significantly greater than was being announced” in 2014, she said. “In terms of whatever bet Syncora made, there’s a big chance this real estate is going to be worth more, and we’ll need to re-evaluate the extent of the haircut that they supposedly took,” Jacoby added. The Detroit bankruptcy was significant for its size and the use of real estate to settle claims with Syncora and FGIC, the last major holdout creditors in the case, Jacoby said. “I’m not trying to make them out like they got the best deals in the case — we’ll see,” Jacoby said. “The last holdouts are not supposed to do well.” Attempts to reach Ian Glastein, vice president of New York Citybased Monarch Alternative Capital LP, who is working on behalf of FGIC on its Detroit real estate, were unsuccessful. Kirk Pinho: (313) 446-0412 Twitter: @kirkpinhoCDB Robert Snell: (313) 446-1654 Twitter: @robertsnellnews

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WEEK WSU faculty files grievance against medical school

he Wayne State University faculty union has filed a grievance against the School of Medicine over the process it is using to evaluate job productivity of several dozen professors as the medical school tries to turn around last year’s $29 million deficit. Over the past several weeks, more than a dozen faculty members have been interviewed by medical school officials about their job productivity, and letters have been sent to at least 42 faculty members about their productivity.

COMPANY NEWS

Top officials at Wayne State

University and Detroit Medical Center have agreed to a new

negotiating plan to move contract talks forward. WSU President M. Roy Wilson, M.D., met with DMC CEO Joe Mullany to discuss what both sides acknowledge was a miscommunication about long-term goals between the two medical partners over a clinical service contract. Peter Karmanos Jr., the Compuware Corp. co-founder and former executive, launched an online mortgage company called Lenderful. According to its website, Lenderful is a registered Karmanos service mark of Birmingham-based MadDog Technology LLC, which Karmanous helped form in 2014. Unionized newsroom employees at the Detroit Free Press and The Detroit News voted to ratify new three-year contracts with the entity that runs the newspapers. Also, Bloomberg reported that Free Press publisher Gannett Co. made an $815 million unsolicited bid for Tribune Publishing Co., seeking to add the Los Angeles Times and Chicago Tribune to its newspaper portfolio. Ann Arbor-based Duo Security Inc. signed a lease for a 30,000-square-foot expansion in the Allmendinger Building in downtown Ann Arbor. It will be the second location in the city for Duo, which will retain its current space. The Michigan Strategic Fund board earlier approved a performance-based grant of $2.5 million for the company. Organizers unveiled Detroitbased DTE Energy Co. as “military appreciation sponsor” of the May 23-29 inaugural LPGA Volvik Championship at Travis Pointe

C R A I N ’ S D E T R O I T B U S I N E S S // M A Y 2 , 2 0 1 6

ON THE WEB APRIL 23-29

Detroit Digits A numbers-focused look at last week’s headlines:

$15 million

The amount Dan Gilbert paid the

Downtown Development Authority for the former J.L. Hudson’s

department store site on Woodward Avenue. The parking garage underneath the site also was included in the deal. Gilbert is expected to start a project to include 225,000 square feet of mixed-use space, 700 parking spaces and 250 residential units. Dozens of retail shops and restaurants are planned.

20 years

The length of time in which the new Detroit Red Wings arena is to be called Liittle Caesars Arena. The naming-rights deal is worth $120 million and will include the pizza chain’s logo on the roof and elsewhere. Naming-rights revenue is kept by the Ilitch family under their management and lease deal with the

Downtown Development Authority. The DDA owns the $627.5

million, 20,000-seat arena, set to open in 2017.

Country Club in Ann Arbor. DTE

will underwrite the cost of free admission for U.S. military veterans and active duty personnel. Campbell Soup Co. announced the launch of Campbell’s Healthy Communities Metro Detroit, a program that focuses on publicprivate collaboration to fight child hunger and obesity. Camden, N.J.-based Campbell last year acquired Ferndale-based Garden Fresh Gourmet, which is part of the Campbell Fresh division. Three years after acquiring Ann Arbor-based Kaydon Corp. for $1.25 billion, Swedish bearings and seals supplier AB SKF will close Kaydon’s former headquarters. The move comes after SKF agreed to sell Kaydon’s velocity control business to Germany-based Stabilus SA for $339 million. Family-owned Detroit companies Gregory Boat Co. and Gregory Marina were sold to Bloomfield Hills-based development firm Lormax Stern. The purchase price was not disclosed. Gregory Boat Co. will be renamed Detroit Boat Basin; Gregory Marina will become KAM Marine and KAM Yacht Sales. Officials for St. John Providence Health System told Crain’s they will appeal a letter terminating participation in Medicare for St. John River District Hospital in St. Clair, effective May 7. The notification by the Centers for Medicare and Medicaid Services was over a January patient suicide that the hospital was cited for failing

to follow required procedures. Ford Motor Co. plans to invest $1.4 billion into its Livonia transmission plant to produce a new transmission used in its Raptor and F-150 trucks, and Fiat Chrysler Automobiles will invest $74.7 million at a Trenton engine plant to bring production of its four-cylinder engines there starting in the third quarter of 2017. Both automakers last week won state tax exemptions worth a combined $28 million from the Michigan Strategic Fund. Troy-based law firm Mantese Honigman opened an office in St. Louis, Mo., that focuses on business litigation, including shareholder rights. Livonia-based Tower International Inc., which makes heavy metal components and assemblies for cars and trucks, said it will not sell its European division, citing the industry’s growth in the region, Automotive News reported. The Detroit Lions made Ohio State University offensive tackle Taylor Decker their first-round pick (No. 16 overall) in the NFL draft.

OTHER NEWS

The state is investigating why the Detroit Public Schools district received up to $30 million in U.S. Department of Education reimbursements for employee pensions but didn’t send the money to a state pension fund. A report from retired federal judge Steven Rhodes noted the federal government said the district didn’t properly forward between $25 million and $30 million in funds to the Michigan Public School Employees Retirement System, The Detroit News reported. Rhodes said an audit was being conducted. “Informal” is and can remain a synonym for “not public” for university boards, according to a Michigan Court of Appeals ruling in a lawsuit questioning whether University of Michigan regents followed the state Open Meetings Act. The court upheld a Michigan Court of Claims ruling in favor of the regents in a 2014 lawsuit over a practice of closing board meetings that are allegedly “more informational than decisional” and no voting took place. OBITUARIES Robert Benkert, owner of The

Claymore Shop, a men’s fine-

apparel store in Birmingham, died April 22. He was 76. Deborah Virgiles, the owneroperator of two McDonald’s restaurants in Detroit, died April 27. She was 60. Paul Welday, a Farmington Hills-based Republican strategist who was managing partner of Lansing-based Superior Capitol Consulting, died April 26. He was 57.

RUMBLINGS Grand Hotel opens sushi site on Mackinac Island

he Grand Hotel is set to

open Mackinac Island’s first sushi restaurant late this month. Located at the bottom of Grand Hill, next to The Gate House restaurant, Sushi Grand marks the Grand Hotel’s sixth off-site dining option. It will serve traditional sushi, along with daily special sushi rolls. Guests will be able to choose from table and sushi bar seating or grab an order to go. Designed by the Grand’s New York-based interior designer, Dorothy Draper and Co., the Sushi Grand includes a hand-painted map of Asia on the ceiling, rice hat light fixtures above the sushi bar, and a custom paint-and-ink bamboo design overlay on the walls. The Grand also has completed a renovation of the west half of its famed front porch, the first work on the porch in 50 years.

The Lark’s 10,000-bottle wine collection for sale Negotiations continue with a potential buyer for the fabled The Lark restaurant in West Bloomfield Township, which closed its doors Dec. 23 after 35 years of serving award-winning meals. And negotiations may start soon for another sale — of the restaurant’s world-class collection of wine. Adrian Lark, the daughter of owners Jim and Mary Lark and the former general manager of the 50-seat restaurant, said it is crucial that whoever buys the restaurant continue its tradition of excellence. “There’s a group we like the most, and they’re working on financing. But if things fall through, there are other groups interested,” she said. Lark said there is no timetable for getting a deal done. It is expected that the new owners will keep the name. Meanwhile, there is a huge wine collection to consider. Lark said the restaurant has about 2,000 different selections of wine, totaling about 10,000 bottles. She said they had hoped to sell the wine to whoever buys the restaurant. “But the people we like said they don’t want that big of a selection. So we’re pricing the collection, now, and we hope to sell it to one buyer. So, if you have a really rich friend, have him call us,” she joked.

Third Techweek offers a variety of events Techweek Detroit returns May 2 for its third annual weeklong celebration of technology and

GRAND HOTEL

The Grand Hotel’s front porch is looking better these days.

innovation at a variety of venues around town. Two years ago, Techweek founders decided that because of everything that was happening here, including the Madison Building being filled up with tech startup companies and Detroit Venture Partners' growing portfolio of tech investments, it needed to add Detroit to its mix of tech conferences and expos, which have been held in Chicago, Kansas City, Los Angeles, Miami, New York and Toronto. Events at this year’s Techweek Detroit, one of eight Techweeks to be held in 2016, include: A panel on diversity in tech at 3:30 p.m. Monday at Bamboo Detroit, a co-working space on Brush Street. A pitch by startups for potential investment at TechTown at 4 p.m. Tuesday. A panel discussion by local reporters and editors, including Crain’s Dan Duggan, at 6:30 p.m. Wednesday at Grand Circus. A hiring fair where job seekers meet face to face with company executives at 11 a.m. Thursday at TechTown. The Hack the Streets Hackathon Saturday and Sunday at the Techstars Mobility headquarters at Ford Field. Many events are free. All-access tickets are $100. For more information, go to www.techweek. com.

Detroit to host Whirlpool’s national sales conference Whirlpool Corp. is set to host a national sales conference May 2-5 at the Detroit Marriott at the Renaissance Center. The Benton Township-based appliance maker moved the conference to Detroit after hosting the event, which is expected to draw more than 600 of its sales professionals, in Chicago for the past seven years. Local entrepreneurs, such as Andy Didorosi, founder of the Detroit Bus Co.; Veronika Scott of The Empowerment Plan; and Jason Hall, co-founder of Slow Roll Detroit, will address the conference. Attendees will also be offered a networking event on the Detroit Princess Riverboat in the Detroit River as well as a 5K race along the riverfront and specialized dining options.

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