U-M Health to submit revised plan for former Kmart headquarters

TROY — Troy residents may soon partake of University of Michigan Health’s services locally after the health system purchased a portion of land that previously was a part of the former international headquarters of Kmart Corp.

The former Kmart headquarters has been vacant since 2006, when Kmart purchased Sears and moved its headquarters to Chicago. The 40-acre property at 3100 W. Big Beaver Road was purchased by the Forbes/Frankel Troy Ventures LLC, which also owns Somerset Collection, in 2009.

There have been other plans to redevelop this land plot, but, ultimately, demolition of the property began in November 2023. This March, University of Michigan Health purchased 7.28 acres of the property for $4.42 million to build a health care center.

The facility is planned to focus on specialty and diagnostic services that will be available to those in Macomb and Oakland counties.

With this news in mind, University of Michigan Health will need to submit an updated proposal, with changes to the site plan and concept drawings, to Troy’s Planning Commission. The Planning Commission had not yet received updated plans by press time, but once they do, the process could progress.

“The old Kmart HQ building is nearly demolished,” Troy Community Development Director Brent Savidant said in an email. “A development application has not been submitted.”

Once the proper paperwork has been updated and submitted, construction is expected to begin within the next few years.

Oakland County Executive Dave Coulter touted the developer’s plans to obtain Leadership in Energy and Environmental Design certification.

“I am thrilled about the University of Michigan Health’s acquisition of the old Kmart headquarters in Troy which marks a significant step forward in expanding specialty clinical services in Oakland County,” Coulter said in a press release. “Healthcare is our largest jobs sector employing one of every seven people in our workforce. This investment underscores our commitment to enhancing healthcare accessibility and innovation for our residents.”

He said that “UofM Health’s commitment to achieving LEED certification at the site of the former Kmart headquarters reflects their dedication to sustainability and environmental stewardship, setting a commendable standard for healthcare facilities.”

LEED certification is a green building certification program that encourages environmental responsibility within the construction, operation and maintenance of businesses.

“Seeking to have LEED certification is important to residents and people across the state,” Troy Mayor Ethan Baker said.

The project has many residents of Troy excited to have this previously vacant space used for a different purpose.

“This is a big win for the city to offer a state-of-the-art medical facility,” Baker said. “There’s been a lot of mystery surrounding the property, and residents are excited for movement and a spark that will lead to the rest.”

The new center will focus on adult specialties with particular attention to multispecialty cancer care, said Scott Flanders, the chief clinical strategic officer for Michigan Medicine.

About 180,000 patients from Wayne, Oakland and Macomb counties travel to Michigan Medicine in Ann Arbor for treatment each year.

With the new center, Flanders said, the goal is “meeting patients in their community and helping keep care close to home so patients don’t have to travel when there isn’t a need to do so.”

The new facility is expected to open in 2027.

For more information, visit uofmhealth.org or troymi.gov.

Bridge Michigan contributed to this report.