The relocation and consolidation of hundreds of employees from seven departments of Wayne County, Mich., into the historic Guardian Building in downtown Detroit is a refreshing tale of smart government planning and clever financial management that will benefit taxpayers in the economically distressed region for years to come.
The Guardian Building was designed by Wirt C. Rowland, of Smith Hinchman and Grylls (now SmithGroup) and completed in 1929 as the Union Guardian Building. It combined Native American, Aztec, and Arts & Crafts influences in an inspiring display of Art Deco enthusiasm, with polychromed terra cotta on its exterior, travertine marble from Italy and Numidian marble from Africa on the walls and floors, Monel metal in the ornamental screen in the lobby, custom tiles by Mary Chase Stratton’s Pewabic Pottery, and sculpted architectural reliefs by Corrado Parducci—no wonder people called it “The Cathedral of Finance.” It has been designated a National Historic Landmark.
For two decades, the county had been paying $5.2 million a year in rent for space at 600 Randolph in Detroit—more than $100 million total. Seven years ago, as the lease was running out, the county purchased the Guardian Building (along with another building and a parking structure) for $14 million and bonded another $13.5 million for tenant improvements.
By 2008, with construction costs at favorable levels, the county bonded for another $30 million to change the project scope and accelerate the capital improvement schedule. The Building Team brought the project in at $33,261,000 in construction costs, $11,535,000 (25.7%) below budget.
The HVAC system was upgraded, improving indoor air quality and energy efficiency, and a distributed direct digital controls system was installed, along with video conferencing technology, flat screen monitors for public presentations, electronic faxing to reduce the use of paper, and Voice Over IP, which eliminated 3,500 land lines and will save $500,000 in phone costs.
Instead of shelling out $5.2 million a year at 600 Randolph, plus $1 million at another building, the annual operating costs for the county’s space in the Guardian Building is only $1.9 million. With payment of the debt service, taxpayers will come out $2 million ahead every year—and the county owns a historic building with an estimated current value of $60-100 million. BD+C
PROJECT SUMMARY
Building Team
Owner: Department of Economic Development, Wayne County, Mich.
Submitting firm: SmithGroup (architect, AOR, SE/MEP engineer)
Property manager: Sterling Group
Construction administrator: Hines
General contractor: Sachse Construction/Tooles Contracting Group JV
General Information
Area: 495,600 rentable sf
Construction Cost: $33,261,000
Construction time: September 2008 to December 2009
Delivery method: PM/GC
Related Stories
Student Housing | Apr 19, 2024
$115 million Cal State Long Beach student housing project will add 424 beds
A new $115 million project recently broke ground at California State University, Long Beach (CSULB) that will add housing for 424 students at below-market rates. The 108,000 sf La Playa Residence Hall, funded by the State of California’s Higher Education Student Housing Grant Program, will consist of three five-story structures connected by bridges.
Construction Costs | Apr 18, 2024
New download: BD+C's April 2024 Market Intelligence Report
Building Design+Construction's monthly Market Intelligence Report offers a snapshot of the health of the U.S. building construction industry, including the commercial, multifamily, institutional, and industrial building sectors. This report tracks the latest metrics related to construction spending, demand for design services, contractor backlogs, and material price trends.
MFPRO+ New Projects | Apr 16, 2024
Marvel-designed Gowanus Green will offer 955 affordable rental units in Brooklyn
The community consists of approximately 955 units of 100% affordable housing, 28,000 sf of neighborhood service retail and community space, a site for a new public school, and a new 1.5-acre public park.
Construction Costs | Apr 16, 2024
How the new prevailing wage calculation will impact construction labor costs
Looking ahead to 2024 and beyond, two pivotal changes in federal construction labor dynamics are likely to exacerbate increasing construction labor costs, according to Gordian's Samuel Giffin.
Healthcare Facilities | Apr 16, 2024
Mexico’s ‘premier private academic health center’ under design
The design and construction contract for what is envisioned to be “the premier private academic health center in Mexico and Latin America” was recently awarded to The Beck Group. The TecSalud Health Sciences Campus will be located at Tec De Monterrey’s flagship healthcare facility, Zambrano Hellion Hospital, in Monterrey, Mexico.
Market Data | Apr 16, 2024
The average U.S. contractor has 8.2 months worth of construction work in the pipeline, as of March 2024
Associated Builders and Contractors reported today that its Construction Backlog Indicator increased to 8.2 months in March from 8.1 months in February, according to an ABC member survey conducted March 20 to April 3. The reading is down 0.5 months from March 2023.
Laboratories | Apr 15, 2024
HGA unveils plans to transform an abandoned rock quarry into a new research and innovation campus
In the coastal town of Manchester-by-the-Sea, Mass., an abandoned rock quarry will be transformed into a new research and innovation campus designed by HGA. The campus will reuse and upcycle the granite left onsite. The project for Cell Signaling Technology (CST), a life sciences technology company, will turn an environmentally depleted site into a net-zero laboratory campus, with building electrification and onsite renewables.
Codes and Standards | Apr 12, 2024
ICC eliminates building electrification provisions from 2024 update
The International Code Council stripped out provisions from the 2024 update to the International Energy Conservation Code (IECC) that would have included beefed up circuitry for hooking up electric appliances and car chargers.
Urban Planning | Apr 12, 2024
Popular Denver e-bike voucher program aids carbon reduction goals
Denver’s e-bike voucher program that helps citizens pay for e-bikes, a component of the city’s carbon reduction plan, has proven extremely popular with residents. Earlier this year, Denver’s effort to get residents to swap some motor vehicle trips for bike trips ran out of vouchers in less than 10 minutes after the program opened to online applications.
Laboratories | Apr 12, 2024
Life science construction completions will peak this year, then drop off substantially
There will be a record amount of construction completions in the U.S. life science market in 2024, followed by a dramatic drop in 2025, according to CBRE. In 2024, 21.3 million sf of life science space will be completed in the 13 largest U.S. markets. That’s up from 13.9 million sf last year and 5.6 million sf in 2022.
