Report: Casinos disrupt $50 million in Detroit developments

The projects had been planned for sites in or near the area just east of downtown that has been set aside for the casinos, The Detroit News said.

"We had signed contracts for 10 to 12 projects that were ready to go, but everything stopped with the casinos," said Charles Mady of Exclusive Realty, broker for many of the deals. "A lot of hard work and effort just went away."

The projects that have been canceled or postponed include an $18 million-$25 million skilled trades training center, an $8 million technical training center, four bars and restaurants, a boat racing museum and apartments, the newspaper said.

Mayor Dennis Archer's press secretary said individual decisions on development projects should not be blamed on the casinos.

"It is all too convenient to use casinos as a scapegoat," Anthony Neely said. "We think there is room for further development if the owners are creative and thoughtful, and we welcome it."

Archer has said the three casinos will create 11,000 permanent full-time jobs, bring in $130 million in gambling taxes and $50 million in property taxes a year. He says the Rivertown area was the only viable site for casinos.

A statewide proposal passed in 1996 authorizes three Detroit casinos. Detroit voters approved a proposal Aug. 4 that endorsed Archer's casino decisions, while rejecting a second proposal that would have reserved one of the casinos for businessman Don Barden.

Barden and entertainer Michael Jackson had proposed a $1 billion casino and entertainment complex west of downtown.

archive