Blog RSS

Detroit's Michigan Theatre, 29 other Dennis Kefallinos parcels up for sale By Ben Solis

The properties are owned by landlord Dennis Kefallinos, the current owner of the Russell Industrial Center.

Altogether, the buildings total more than 2.3 million square feet on more than 100 acres of land, Crain's reports. The Detroit business magazine reported Tuesday that an offering memo listed only Kefallinos' non-residential property.

Why Kefallinos wants to sell the properties was not immediately clear.

A message seeking comment was left for a representative of Kefallinos' building management company Tuesday.

The sale plans come as he faces multiple lawsuits against him and his residential properties in state and federal court. Detroit District Court records also show a long list of code violations related to his residential properties.

The list of properties for sale includes a high-rise in a growing downtown business district, Harvard Square Centre at 220 Bagley St., and a once-ornate theater-turned-parking garage, the Michigan Theater Building at 220 Bagley St., according to the offering memorandum obtained by Crain's.

Also on the list is the three-story Perlex building at 2821 E. Grand Blvd., which Kefallinos acquired in 2014. His original goal was to convert the property into housing, but that never happened.

Almost all of Kefallinos residential properties are tied up in lawsuits over living conditions, code violations and failure to seek occupancy permits. 

The Russell Industrial Center is also not part of the sell-off. It was shut down early this year due to several ordinance violations.

At least 150 tenants resided in the Russell, mostly artists, before the building was ordered vacated.

The Detroit Buildings, Safety Engineering and Environmental Department claimed the owners of the site, located off I-75 near Hamtramck, allowed construction of multiple commercial and residential units without obtaining proper permits, according to a statement from the city.

"They have erected walls using combustible materials, illegally installed pluming and heating systems in numerous units without the proper permits, inspections and approvals," BSEED director David Bell said in February.

See Full Article