One of the largest redevelopment sites in Southeast Michigan holds a spot in national history: Northland Center, the first mall in the U.S.
The property made news this month when city officials said they want Amazon officials to consider the 125-acre site in Southfield for the retail giant’s $50 billion effort to build a second headquarters.
That bid follows years of work by the city to acquire the deserted mall, plan for its demolition and develop a vision for the property.
Today, Amazon would be a high-profile win for Southfield.
But the city also is opening the throttle on full-scale redevelopment efforts for the property, aiming for creating a mixed-use, multi-phase urban center.
“Northland was the first and largest modern shopping mall in the world when it opened in 1954, and Southfield really grew alongside Northland,” said Michael Manion, community relations director for Southfield.
But the city ended up suffering with the mall, too, as stores left in waves and absentee owners lost it to lenders after the Great Recession.
The shining example of how a community can grow around creating a shopping hub turned into what some called a cautionary tale for suburban development.
Now, as hopes increase that the Northland Mall property can find a new and proud purpose, Manion said, “This is a very important project for the city.”
He continued: “We really look at it as a phoenix rising from the ashes of the former glory days of Northland.”
BEGINNING TO TAKE SHAPE
The mall is at the front door to Southfield and Metro Detroit’s northern and western suburbs from its place on the Detroit and Wayne County border.
Today, it’s a vast property comprising the closed mall, acres of empty parking spaces and an operating police mini station.
Some construction workers filter around the site these days as demolition gets closer: Of the entire 1.449 million square-foot building, only the cornerstone of the mall – the J.L. Hudson store, which evolved into Macy’s by the time it closed – will be preserved for the next uses; a power plant at the northeast corner of the property may join it.
Demolition of two portions will start this fall, following bid openings in early October, and the recent real estate listing for the property is gaining traction, officials said.
“We’re very optimistic this will be a world-class redevelopment project,” said Manion. “And it’s beginning to take shape.”
The development team is starting to review offers for portions of the site, following several months of setting it up for sale. That includes gathering input from the public, working with consultants and considering real estate trends.
“We’re starting to see some interest,” said Gary Goodman, senior managing director of Friedman Integrated Real Estate Solutions and the listing agent.
The master plan calls for four development districts plus green space combining into a dense urban center:
- Retail: 21 acres surrounding the original J.L. Hudson store with room for 200,000 square feet of stores.
- Lifestyle district: 24 acres along Greenfield, calling for 150,000 square feet of mixed-use space and 200 residential units.
- Innovation district: 40 acres on the northeast and northwest portions of the property, calling for 193,100 square feet of office, 110 housing units and a 125-room hotel.
- Central Park district: 34 acres surrounded by other areas creating the most density – like 540 housing units and 300,000 square feet of mixed-use space – balanced by up to 10 acres of green space.
And the former J.L. Hudson store – four well-built floors with high ceilings and the ability to create sweeping views – could serve multiple functions, from offices to loft-style housing.
Among the attributesof the property is the location. Between Eight Mile and Nine Mile at exits of the Southfield and Lodge freeways, it’s midway between Oakland County population centers and downtown Detroit. It’s also a few miles west of the Woodward corridor, and a 25-minute drive to Detroit Metropolitan Airport. And it’s the largest office market in Metro Detroit, just behind Troy in available space.
Another asset for the property, city officials say, is its proximity to Providence Hospital and the offices of the related St John Providence medical system.
Located just north of Northland at Nine Mile, the complex is “out of medical offices and out of parking,” Southfield Mayor Ken Siver said.
“Northland … is actually a really good location because it’s accessible and has great frontage,” said Luke Bonner, founder of Bonner Advisory Group in Ann Arbor.
However, he said, there are challenges. The city, with a population of 76,518, is close to regaining the population it lost starting in 2000. Its household income in 2015 was $50,557, about $1,200 less than in 2000.
“That mall … headed in the wrong direction in terms of household income and buying power,” Bonner said.
The retail portion of the new plan for the site, Bonner said, could struggle. And the need for large-scale mixed-use projects may be reaching saturation in Metro Detroit, he added.
“The town center can be very expensive,” Bonner said. “.. You have to get really high rents. That’s not an area where I think you’d get very high rents.”
Yet the city’s location and income changes need to be considered regionally, said Denise Murray, former marketing manager for Northland who worked with city officials several years ago.
“Oakland County is one of the wealthiest counties in the country,” she said. “Northland is in proximity to the home of world class research and development of automated vehicles, has tremendous infrastructure, and highly educated people. The community is in flux, but is making good decisions.”
