Computer software company Compuware is consolidating facilities into a new 15-story office tower in downtown Detroit. The company will begin moving 3,000 employees into the building in December.

While office market activity in the Motor City rose throughout the first quarter, it remains about 50 percent behind last year, according to the Colliers International Market Report. Listings for land parcels have increased over the past six to nine months. Investment projects listed recently are still selling well and pricing remains strong, Colliers says.
        Girders are going up and ground is breaking at several major projects with two corporations consolidating scattered offices into central locations.
        Compuware's new $350-million headquarters tops ongoing development in downtown Detroit. The computer software company plans to start moving its 3,000 workers to the new 15-story building in December.
        Doug Kuiper, Compuware's corporate communications manager, says the firm considered several factors before decided to consolidate nine metro Detroit offices. Foremost was the proximity of Detroit's central business district to current and prospective clients.
        "Detroit has excellent infrastructure," Kuiper says. "In comparison to the other sites we evaluated, it's the most central to our employees. There's something to be said for the urban experience. A whole generation of our employees has been used to working in office parks and this will be a new experience. The location will help our ability to recruit and retain top-quality employees."
        In Van Buren Township, Visteon Village will be the consolidation of Visteon Corp.'s operations. When completed in 2004, Visteon's new corporate headquarters will be home to 4,000 employees who currently work in 15 facilities in Southeast Michigan. The headquarters will feature a series of buildings with a town center at the heart. Visteon will continue to operate service and business centers near its customers.
        Other major construction projects under way in Detroit include a new $65-million administration and processing center for the Detroit branch of the Federal Reserve Bank of Chicago and a $32-million, eight-story building to house the world headquarters of American Axle & Manufacturing.
        In nearby Troy, auto parts supplier Behr America recently opened a $34-million North American headquarters.

Will Fuel Cells Fuel Development?

Kathy Blake believes the next big trend in Michigan and surrounding states will be fuel cell R&D.
        "Because Michigan is so intricately involved in automotives, we need to be involved in whatever replaces the combustion engine," she says.
        A fuel cell is a device that transforms hydrogen into electricity through a chemical process. Michigan figures to be among the leaders in this fledgling field with NextEnergy, a comprehensive economic development plan unveiled recently by Gov. John Engler. The plan involves the creation of a 700-acre (283-ha.), tax-free NextEnergy Zone near Ann Arbor. The hope is to attract alternative energy companies from around the world, creating a cluster of energy innovation. The market for fuel cell products may grow to $95 billion by 2010.
        The Muskegon Shoreline SmartZone, one of 11 zones created to stimulate growth of technology-based businesses, focuses on alternative energy, including commercializing technologies such as fuel cells, microturbines, wind generators and solar panels. Grand Valley State University plans a fuel-cell electricity generating plant in The Muskegon SmartZone. The university will partner with Siemens AG to build the plant.
        Siemens recently located a $122-million stationary fuel cell manufacturing center in the Pittsburgh suburb of Munhall, one of a string of locations by the company that provide the undergirding for fuel cell initiatives throughout the region.
        In Ohio, Gov. Bob Taft has proposed a $100-million, three-year initiative aimed at positioning the state as a leader in fuel cell research. As part of the Third Frontier Project, the effort will expand research capabilities at Case Western Reserve, Ohio University and Ohio State; will participate in demonstration projects involving hydrogen infrastructure and will seek to attract fuel cell companies to the state.

Northwest Indiana Eyes High-Tech Firms

While the struggling steel industry is still king in northwestern Indiana, the region's industrial makeup is slowly changing. In Portage, the 385-acre (156 hectare) AmeriPlex at the Port industrial park is drawing interest. The park houses a new Daimler/Chrysler distribution center which serves the U.S. and Mexico and a new 122,000-square-foot (11,333-sq.-m) multi-tenant building. The park's location offers the advantage of proximity to I-94, the Port of Indiana and CSX rail access.
        "Ameriplex is actively soliciting high-tech businesses and we are seeing more interest in the facility," says John Leander, executive director of the Greater Portage Chamber of Commerce and the Portage Economic Development Corp. Leander notes that Ameriplex is a "smart park" equipped with a fiberoptic ring.
        In downtown Hammond, the Hammond Development Corporation (HDC) continues to develop a high-tech corridor equipped with a fiberoptic network. Through purchase and donation, the city has created about 233,000 sq. ft. (21,645 sq. m.) of commercial space with the goal of cluster development. One tenant is JORSM, an Internet service provider.