With all this goodwill surrounding Detroit lately, it's time to check in with the dilapidated Packard Plant, purchased at auction last year. So how's it going over there? Eh, not as well as expected.
You might remember that the Packard Plant, the factory closed since the 1950s and a worldwide symbol of Detroit's decline as a manfacturing powerhouse, was sold to a Peruvian developer who promised wide-scale plans of redevelopment (including a go-kart track!) over the next 10 years or so.
Flash forward to the middle of 2014 and even though Fernando Palazuelo, the plant's new owner, has paid more than $400,000 in cash for the 3.5-million-square-foot property, he still hasn't paid more than $90,000 in back taxes to fully clear the title. Per MLive:
Palazuelo told the media at an event last month that the 42-parcel property's taxes were supposed to be handled by his lawyers, and are not something he monitors.
Should the taxes go unpaid, the property could fall back into the hands of Wayne County, which will have to re-auction the property again.
Oh, and that event last month where Palazuelo spoke to the media? He casually mentioned that he's $40 million in debt in his home country.
"So I was able to buy 22 buildings more or less downtown (Lima) and in six years paid them what we agreed to pay," he added. "Paid them, convert them, bring international banks and serious companies, companies from all over the world, and bring 15,000 jobs."
Palazuelo then added, "So I still have to recognize, unfortunately, I owe the Peruvians close to $40 million, because everything was on credit, no? So sorry, I'm not a millionaire."
"I still have very big debts," he continued. "But for the moment, I am able to pay them. Monthly."
Oy. Don't hold your breath on that go-kart track.
Photo via AP