TECUMSEH — Another building is being planned for the Tecumseh Business and Technology Campus.
Casa Villa Construction of Clinton LLC will build its second building at the campus off East Chicago Boulevard on the city’s east end. Casa Villa, which is based in Clinton Township in Macomb County, built the campus’ first building, which is now occupied by Dorin USA LLC, a refrigeration compressor maker. Like that first building, Casa Villa will construct the new building on speculation that it will find a tenant for it.
At its meeting Monday, the Tecumseh City Council voted 7-0 to sell 7 acres just south of the Dorin USA parcel to Casa Villa for $1 in anticipation of the property going on the tax rolls and generating property tax revenue. The agenda review form in the council’s information packet says the cost of new development and the current Tecumseh market does not fully support a market-rate development.
There are security requirements included in the deal, city manager Dan Swallow said, including a specific development timeline, a $100,000 irrevocable standby letter of credit and a right of reverter recorded with the deed. The city would be able to draw on the line of credit should Casa Villa not complete the project, and the right of reverter would allow the city to take the property back if Casa Villa does not proceed with the project.