Detroit's Leland House Faces Certain Doom as Residents are Given Just Days to Vacate Due to Outdated Electricity Bill, Leaving Many without a Place to Call Home.
A devastating development has struck the historic Leland House in Detroit, leaving hundreds of residents at risk of losing their homes due to DTE Energy's decision to cut off electricity. The utility company informed tenants that it will shut down power on Wednesday, December 3, unless they pay a $43,000 deposit or make other arrangements.
For years, the Leland House has struggled with safety failures and mounting debt, making it nearly uninhabitable for its residents. The building's owner, Michael Higgins, had initially promised to spend $120 million on renovations but failed to follow through, leaving the building in disrepair.
DTE Energy stated that they work closely with customers to avoid shutoffs but declined to provide further information on individual circumstances. In contrast, a spokesperson acknowledged their goal is always to help customers find solutions before any disruptions occur.
Meanwhile, city officials are taking swift action against Higgins and his ownership group for operating the building as a public nuisance. The Detroit Law Department secured permission from U.S. Bankruptcy Judge Maria Oxholm to proceed with its state public nuisance case despite the building's Chapter 11 filing earlier this month.
Wayne County Circuit Court Judge Annette Berry had previously ordered the owners to complete emergency repairs, but those efforts failed to materialize. As a result, the city filed an emergency motion last week asking the judge to hold the defendants in contempt, and a hearing is scheduled for December 5.
City officials have pledged to help residents relocate after gaining consent from Leland House's attorneys to allow their Housing and Revitalization Department direct access to speak with tenants and coordinate relocation assistance. The Leland City Club, which operates within the building, will close until further notice.
Birmingham-based Tir Equities LLC has expressed interest in purchasing the property but insists that repairs must be completed first and outstanding bills settled before any sale can proceed.
As the deadline approaches, officials from both DTE Energy and the ownership group are scrambling to find a solution to prevent power shutoffs. A representative from Luis Ramirez stated, "We obtained financing... however we are concerned the funds for DTE will not be available from the lender by December 3."
With just days left, many residents remain uncertain about their future living arrangements. If DTE cuts off electricity as scheduled, the Leland House will become uninhabitable, leaving its long-term tenants facing an uncertain and precarious situation.
For years, the city has warned Higgins's ownership group about the building's condition, which includes broken elevators, inoperable smoke detectors, and common areas with temperatures as low as 40 degrees. Despite repeated warnings, little progress was made towards addressing these issues until now.
A devastating development has struck the historic Leland House in Detroit, leaving hundreds of residents at risk of losing their homes due to DTE Energy's decision to cut off electricity. The utility company informed tenants that it will shut down power on Wednesday, December 3, unless they pay a $43,000 deposit or make other arrangements.
For years, the Leland House has struggled with safety failures and mounting debt, making it nearly uninhabitable for its residents. The building's owner, Michael Higgins, had initially promised to spend $120 million on renovations but failed to follow through, leaving the building in disrepair.
DTE Energy stated that they work closely with customers to avoid shutoffs but declined to provide further information on individual circumstances. In contrast, a spokesperson acknowledged their goal is always to help customers find solutions before any disruptions occur.
Meanwhile, city officials are taking swift action against Higgins and his ownership group for operating the building as a public nuisance. The Detroit Law Department secured permission from U.S. Bankruptcy Judge Maria Oxholm to proceed with its state public nuisance case despite the building's Chapter 11 filing earlier this month.
Wayne County Circuit Court Judge Annette Berry had previously ordered the owners to complete emergency repairs, but those efforts failed to materialize. As a result, the city filed an emergency motion last week asking the judge to hold the defendants in contempt, and a hearing is scheduled for December 5.
City officials have pledged to help residents relocate after gaining consent from Leland House's attorneys to allow their Housing and Revitalization Department direct access to speak with tenants and coordinate relocation assistance. The Leland City Club, which operates within the building, will close until further notice.
Birmingham-based Tir Equities LLC has expressed interest in purchasing the property but insists that repairs must be completed first and outstanding bills settled before any sale can proceed.
As the deadline approaches, officials from both DTE Energy and the ownership group are scrambling to find a solution to prevent power shutoffs. A representative from Luis Ramirez stated, "We obtained financing... however we are concerned the funds for DTE will not be available from the lender by December 3."
With just days left, many residents remain uncertain about their future living arrangements. If DTE cuts off electricity as scheduled, the Leland House will become uninhabitable, leaving its long-term tenants facing an uncertain and precarious situation.
For years, the city has warned Higgins's ownership group about the building's condition, which includes broken elevators, inoperable smoke detectors, and common areas with temperatures as low as 40 degrees. Despite repeated warnings, little progress was made towards addressing these issues until now.