Annexation petitions filed on hospital property
The process of annexing the former Northville Psychiatric Hospital property is now under way.
Township Manager Chip Snider said an official petition requesting the property be annexed to Livonia came into the township clerk’s office Tuesday morning.
The petition was signed by seven of the eight people who were installed on the 414-acre site last year and subsequently registered to vote.
The property has been the center of a dispute that dates back nearly two years. It was purchased by Real Estate Interests, Inc. and Schostak Brothers (REIS) construction from the State of Michigan for $31 million dollars after several unsuccessful attempts to sell off the property dropped the price down from $65 million.
The developers presented a concept for the land, a mixed-use project called Highwood, to the township planning commission late in 2006. The township board of trustees granted conditional approval of the conceptual plan in April of 2007, but the plan has not advanced further than that. Part of the reason is because the developer has said that the conditions attached by the planning commission and board of trustees—that they meet all original setbacks set forth in the concept plan developed prior to the sale of the property and reduce the amount of commercial use from 60 acres to 25—made the project economically unfeasible.
Initially held up with litigation, the sale was finalized in September of 2007. The developer filed suit against the township shortly after that, claiming officials had thwarted the development and seeking $100 million in damages.
Snider said the annexation attempt, long rumored but never formalized, was just another strong arm tactic from a developer who was more interested in their personal agenda than in a collaborative effort with local officials.
“I think it’s a deliberate attempt by REIS to control local politics through intimidation,” he said.
A long process
Annexation proceedings are overseen by the State Boundary Commission, which falls under the umbrella of the Department of Labor and Economic Growth.
The first step is for the petitioners—the residents on the property—to notify the municipality and accurately describe the area proposed to be annexed. They then file the petition with the manager of the boundary commission.
The boundary commission sends out a notice to the affected local and country clerks. They then review the petition and either rejects—based on nonconformance of the rules or if it contains incorrect information—or approves the petition and returns it to the petitioners. A public hearing notice is then issued to the affected municipalities, the county clerk and property owners within 300 feet. A public hearing must take place no less than 60 and no more than 220 days after the original filing.
Citizens and officials can present evidence at the hearing, which is gathered by the commission. They also have an opportunity to rebut the material presented at the public hearing.
The boundary commission then considers all the information to determine how reasonable the proposed annexation is and then decides to approve or deny it.
Because the area in question has fewer than 100 residents on it, the decision by the boundary commission is final. If there were more than 100 people living there, a petition signed by 25 percent of the electorate could have forced a ballot issue.
Legislation could help
State legislators from Northville and Canton introduced legislation last month to protect townships from annexation proceedings.
State Reps. Marc Corriveau (D-Northville) and Phil LaJoy (R-Canton) have bills pending, as does State Sen. Bruce Patterson (R-Canton). It’s unclear, however, if the legislation will be approved in time to head off the annexation, or if this proceeding would be grandfathered in under the old rules.
“Nobody can seem to answer that,” Snider said. “There’s no case law on this. We may be treading new territory here.”
Corriveau’s legislation would exempt townships and municipalities of more than 20,000 residents from annexation proceedings. LaJoy’s and Patterson’s essentially mirror each others; they provide for broader protections against townships state-wide.
Snider said it was an important issue no matter what happened in the Northville Township case.
“If we lose this and get annexed, we still have to keep our feet to the fire and make sure (the legislation) gets approved so this doesn’t happen to anyone else.”
Livonia not involved
Livonia Mayor Jack Kirksey said he has been watching the issue with interest, but neither he nor anyone else on the city council has been involved in the effort.
“It’s one of those situations where the dynamics are not of our making,” he said. “We’re not promoting it. We’re not involved in any way. It’s always been our hope that the township and the developer would work together to make something good happen”
The city government has no authority to approve or reject such an annexation, he said. He said if the annexation does occur and Livonia does then extend on the west side of Haggerty Road—nicknamed the Golden Corridor because of the success of businesses along that stretch of roadway—Livonia officials would carefully examine the proposal against the high standards of that community.
“Our city has always presented itself as being business friendly,” Kirksey said.
He and other Livonia officials are acquainted with Schostak Brothers, as well. The company constructed Laurel Place Mall—although they don’t own it any longer—and recently completed the renovation of the old Wonderland Mall at Plymouth and Middlebelt Roads.
“We’ve always found (Schostak) to be a great corporate citizen and produce a quality development,” he said.
Judge limits comments
The lawsuit between the developer and Northville Township has been assigned to Judge Sean Cox in U.S. Circuit Court. Cox has asked representatives from both sides not to discuss the matter with the media, so it is unclear where negotiations between the two sides is heading—or if it is continuing, at all.
“I’m aware of (the annexation filing), and I have no comment,” said Steve Mitchell, a spokesperson for REIS.
“The judge has asked us not to discuss it and I will honor that request,” said Township Supervisor Mark Abbo.
Cox did not return calls seeking comment.

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