AUBURN HILLS, Mich. (FOX 2) - Detroit Pistons owner Tom Gores announced Monday that his company has entered an agreement to redevelop the Palace of Auburn Hills and the land surrounding the former home of the Pistons.
Gores announced Tuesday that he has entered into a joint venture Livonia-based Schostack Brothers & Company, a fourth-generation family business that's been in Michigan since 1920, to redevelop the Palace and the surrounding land.
According to the announcement, Schostak Brothers will be the lead partner and manage the future mixed-used development. The announcement said that the land is expected to include corporate offices, research & development and technology companies. Financial terms were not disclosed.
Though the press release never used the words "sold" or "demolition", it has been reported by Crain's Detroit that demolition will start this fall.
Pistons VP of Public Relations, Kevin Grigg, said that the "expectation is that The Palace will be decommissioned some time this fall once the team completes its move to the new team headquarters in Detroit – the Henry Ford Detroit Pistons Performance Center".
Gores said this is following up on his 2016 promise, when it was announced the Pistons would return to the city of Detroit.
"We promised the people of Auburn Hills and Oakland County that we would find a solution that would be good for the community and make a positive economic impact," said Gores. "Partnering with a proven, well-respected developer like Schostak Brothers is an important step in delivering on that promise."
Gores said he will keep his vested interest in the project because he believes strongly in the potential of the site and future of the area.
When the arena opened on November 5, 1988, it was a state-of-the-art facility - and stayed that way throughout its life.