9.20.07Cobo expansion plans under way
David Josar / The Detroit News
DETROIT -- The director of Cobo Center told a city council committee this morning that the Detroit Auto Dealers Association is expected to give his staff a presentation soon on a proposed 30,000-square-foot expansion.
Director Tom Tuskey said he is unsure of the details but that he will give council the information as soon as he meets with the dealers group, which puts on the annual North American International Auto Show in Cobo.
"They want a modest expansion. They have some conceptional plans but they have yet to present them," said Tuskey, who appeared before council to give an update on the long-term lease Olympia Arenas has for Joe Louis Arena, the Cobo parking garage and Cobo meeting areas. "It could be as early as next week or a little after that."
Tuskey noted that several other plans are being touted to boost the size of Cobo.
For example, Wayne County Executive Robert Ficano, since last December, has been shopping a $968 million plan to buy and expand Cobo to ensure Detroit keeps its signature auto show.
"This is a Detroit facility," Councilwoman JoAnn Watson said. "Let's keep the horse before the cart."
Meanwhile, Councilwoman Monica Conyers asked whether it was "fraud" that Olympia Arenas, one of the companies controlled by the Ilitch family, has what is essentially a 60-year lease on Joe Louis Arena, Cobo and the parking garage.
An opinion by the legal department found the agreement is binding. They also said an earlier determination that the company had to give notice whether they wanted out of the lease this summer was wrong.
City lawyers determined that while the deal was inked in 1978, the terms of the contract didn't come into play until 1980, when a permanent occupancy permit was issued for the facility.
"This seems wrong to me," Conyers said.
Speculation has ramped up in recent months over whether the Red Wings, which play in Joe Louis Arena, would stay there or build a new facility behind the Fox Theatre and Hockeytown Cafe, which are also owned by the Ilitch family.
The team has not made a decision on what to do.
The deal was made before the Ilitches owned the team.
You can reach David Josar at (313) 222-2073 or djosar@detnews.com
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