Bedrock plans to partner with Meridian Health on the acquisition
November 17, 2014 [DETROIT] – Bedrock Real Estate Services today announced the company has signed a purchase agreement for the landmark 15-story, one million square-foot Compuware Building located at One Campus Martius in the heart of downtown Detroit’s thriving central business and technology district. Bedrock plans to partner with Meridian Health, a health maintenance organization (HMO) and pharmacy benefits manager owned by the Cotton family, on the acquisition of the prominent high-rise building. Compuware headquarters will remain in the building and Meridian will establish its new corporate headquarters in the Compuware Building. Meridian plans to relocate 400 employees from its Detroit offices at 777 Woodward and 1001 Woodward by spring 2015 and expand to 2,000 employees by 2019.
“The Compuware Building has served as the nucleus for 21st century Detroit for more than a decade thanks to the vision of Peter Karmanos and the Compuware team’s commitment to transform downtown Detroit into a dynamic, high-tech corridor,” said Dan Gilbert, Founder and Chairman of Rock Ventures and Quicken Loans. “We look forward to partnering with Meridian and the Cotton family, who are significant stakeholders in Detroit’s ongoing resurgence, to ensure that two of Michigan’s fastest growing and new economy companies will remain and grow their employee bases in downtown Detroit for the long-term future.”
“Selling our headquarters property has always been a key component of our corporate transformation plan as a mechanism to best leverage our assets in achieving sustainable, long-term success for our company,” said Compuware CEO Bob Paul. “I want to stress that this transaction in no way diminishes our current or future commitment to the City of Detroit and its revival.
“The signing of a long-term lease to remain in the building is a clear indication of our commitment to the city. We’re extremely proud of the leading role we have played in Detroit’s ongoing turnaround. Looking forward, we will continue to support the community and invest in the city’s rebirth, including the M1 rail project and other important initiatives,” added Paul.
Meridian Health intends to occupy five floors in the Compuware Building encompassing approximately 330,000 square feet. Compuware will occupy approximately 130,000 square feet. Plante Moran, one of the nation’s largest certified public accounting and business advisory firms recently opened a significant office on the building’s third floor.
Since 2010, the Compuware Building has also been home to Quicken Loans, Bedrock and the Rock Ventures family of companies housing a portion of its 12,000-plus team members working in the city’s vibrant urban core. Quicken Loans, the nation’s second largest retail home lender, will occupy an additional floor and add 60,000 square feet to its existing space totaling approximately 300,000 square feet. Bedrock will oversee management, leasing, and day-to-day operations of the building following closing, expected by the end of this year.
“The Cotton family and our affiliated companies are proud to partner with Dan Gilbert and his family of companies to invest in and revitalize Detroit,” said Sean Cotton, Chief Administrative Officer at Meridian Health. “This partnership made the most economic sense of any opportunity we explored. The Compuware Building is the perfect setting for our employees to work together under one roof. The central business district provides exactly the kind of family oriented work environment we were looking for.”
The Compuware Building is bordered by Woodward and Gratiot Avenues and Farmer and Monroe Streets. The acquisition includes an adjacent parking deck with 2,600 spaces which is also home to the Cadillac Center Station of the Detroit People Mover. Distinguishing features of the Compuware Building include a breathtaking glass atrium which spans the height of the entire building, a 14-story water sculpture (considered one of the tallest in the world), and an outdoor observation deck on the fifteenth floor with panoramic views of the city.
“The Compuware Building is an incredible asset to downtown Detroit and we are pleased to add this beautiful property to Bedrock’s growing real estate portfolio in conjunction with Meridian Health,” said Jim Ketai, CEO and co-founding partner of Bedrock Real Estate Services.
The Compuware Building overlooks Campus Martius Park, a two and a half acre public square and year-round entertainment venue which currently features a popular ice skating rink and Detroit’s Christmas tree. The impressive high-rise has eight restaurants (including Hard Rock Café and Texas de Brazil), retail shops, a fitness center, and a daycare facility. Other tenants include Huntington Bank, Detroit Medical Center, Heritage Optical, Fedex Kinko’s and a variety of other retailers and office tenants.
The building was constructed at the former site of Kern’s department store just south of the old Hudson’s building, in the late-modernist architectural style using glass, granite, and limestone. The architect of record was Rossetti and the associate architect was Hamilton Anderson. The building opened in 2003 and is considered by many to be the most significant office building built in downtown Detroit in the last several decades.
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About Meridian Health Plan
Meridian Health Plan is Michigan’s largest Medicaid HMO, providing health care to Medicaid enrollees through a contract with the Michigan Department of Community Health. Founded in 1997 as Health Plan of Michigan, Meridian is a family-owned, family-operated group of health plans and related companies based in Detroit. Meridian employs more than 900 people in eight states coordinating health and pharmacy benefits for 600,000 members. Learn more at: www.mhplan.com
Compuware Corporation, the technology performance company, provides software, experts and best practices to ensure technology works well and delivers value. Compuware solutions make the world’s most important technologies perform at their best for leading organizations worldwide, including 46 of the top 50 Fortune 500 companies and 12 of the top 20 most visited U.S. web sites. Learn more at:www.compuware.com
About Quicken Loans
Detroit-based Quicken Loans Inc. is the nation’s second largest retail home mortgage lender. The company closed a record $80 billion of volume across all 50 states in 2013. Quicken Loans generates loan production from web centers located in Detroit, Cleveland and Scottsdale, Arizona. The company also operates a centralized loan processing facility in Detroit, as well as its San Diego-based One Reverse Mortgage unit. Quicken Loans ranked “Highest in Customer Satisfaction among with Primary Mortgage Origination” in the United States by J.D. Power for the past five consecutive years (2014, 2013, 2012, 2011 and 2010), and highest in customer satisfaction among all mortgage servicers in 2014.
Quicken Loans was named among the top-30 companies on FORTUNE magazine’s annual “100 Best Companies to Work For” list for the last 11 consecutive years, ranking #5 in 2014. It has been recognized as one of Computerworld magazine’s ’100 Best Places to Work in IT’ the past ten years, ranking No. 1 in 2014, 2013, 2007, 2006 and 2005. The company moved its headquarters to downtown Detroit in 2010, and now more than 10,000 of its 12,000-plus team members work in the city’s urban core. For more information about Quicken Loans, please visit QuickenLoans.com, on Twitter at @QLnews, and on Facebook at:Facebook.com/QuickenLoans
About Bedrock Real Estate Services
Detroit-based Bedrock Real Estate Services is a full-service real estate firm specializing in purchasing, leasing, financing, developing and managing commercial space. Since its founding in 2011, Bedrock has located more than 120 tenants to Detroit’s Central Business District into both office and retail spaces. In addition, Bedrock and its affiliates have invested more than $1.5 billion in more than 65 properties in downtown Detroit. For more information, visit www.bedrockmgt.com