Dexter DDA Moves Forward with Purchase Agreement for 3045 Broad St

Photo: The 3045 Broad Street property has frustrated city leaders and developers for over a decade. Once an industrial site, it has faced soil contamination, complex easements, and utility conflicts, which have deterred multiple redevelopment attempts. Photo by Doug Marrin

The Dexter Downtown Development Authority (DDA) voted Thursday morning, Oct. 23, 2025, to move forward with a purchase agreement for the long-vacant 3045 Broad Street property, marking a major step toward redeveloping one of downtown Dexter’s most persistent problem sites. Community Development Manager Michelle Aniol confirmed the decision, marking the most significant progress yet in redeveloping the long-troubled Broad Street parcel.

Ferlito Group Selected as Developer

Following months of interviews, site tours, and evaluations, the DDA’s 3045 Broad Street Subcommittee recommended entering into a purchase agreement with the Detroit-based Ferlito Group, a private real estate development company experienced in mixed-use urban projects.

The decision came after Michigan Community Capital (MCC), a nonprofit development partner also under consideration, withdrew its proposal, citing the Ferlito Group’s strong private-market readiness and its alignment with Dexter’s redevelopment goals. MCC indicated its willingness to re-engage if the deal does not proceed.

Key Terms of the Agreement

Under the proposed agreement, the DDA will sell the combined Broad and Forest Street parcels, including 3045 and 3059 Broad and 8055, 8077, and 8087 Forest Streets, for a base price of $1.46 million, or $10,000 per approved residential or commercial unit, based on an initial plan for 146 units.

The Ferlito Group will deposit $75,000 in earnest money within 48 hours of signing, with refund conditions tied to inspection results and due diligence. The agreement allows a 365-day inspection period, covering environmental assessments, utilities, and title review, critical steps given the site’s history of industrial contamination and utility complications.

To protect the public’s investment, the DDA retains reversionary rights:

• If a building permit is not secured within three years, the DDA may repurchase the property at the original price.
• If a certificate of occupancy is not issued within four years after permitting, the DDA may repurchase the site for $75,000.
  These provisions will be recorded with the county.

Developer’s Vision for the Site

The Ferlito Group’s concept plan features a vibrant mixed-use development consisting of:

• Two four-story buildings with ground-floor retail and upper-level apartments
• Seven three-story townhomes
• Approximately 2,600 square feet of restaurant space on Forest Street and 2,000 square feet of retail near the Mill Creek trailhead
• 139 residential units total, a mix of studios, one- and two-bedroom apartments
• 229 parking spaces, including a blend of covered, private, and public options

The design emphasizes pedestrian connectivity, a public plaza and pocket park, and trail access from Broad Street. Plans also include public restrooms at the trailhead, and the project aims to complement the Mill Creek Park corridor.

In a letter to the DDA, CEO Michael Ferlito described the project as a “community-driven, economically sound development” that could serve as a catalyst for downtown Dexter’s next phase of growth.

Next Steps The DDA’s vote authorizes staff and the subcommittee to finalize negotiations with the Ferlito Group and bring a completed purchase and sale agreement back for final approval.