Hey friends,
I heard the weekend was pretty eventful. Something about a President not running for a second term? Then the Democratic Party rallying around VP Kamala Harris?
Before we get into the latest stuff around town, here's a link to my conversation on our podcast with political journalist Steve Friess on the view from Michigan on the developments, possible VP contenders and more. The road to the White House runs (in part) through Michigan, so it's something we'll watch.
On to the rest of the stories. As always, my thoughts on stories are in italics.
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📰 What to know
✈️ The U.S. Department of Transportation has launched an investigation into Delta Air Lines following a recent tech outage, leading to worldwide flight disruptions.
Delta has been slow to recover, canceling more than 1,000 flights daily from Friday to Monday. There were added cancellations Tuesday.
Reports say the airline is cooperating with the investigation and working to restore its service, but the outage is expected to still have impacts through the rest of this week. This is a bigger story locally as Detroit Metro Airport is a major Delta hub. [CNN] [New York Times]
☕️ Fourteen East Cafe in Detroit is closing their doors after 14 years. Known for its coffee and community events, the cafe faced a number of challenges. They made it through QLINE construction, as well as having to relocate from their spot near the DIA to the Wayne State's Mike Ilitch School of Business just before the pandemic. The last day is Friday, August 2. [Fourteen East]
◻️ Southland Mall in Taylor is for sale after a loan default. Although one of the few older malls in Metro Detroit that isn't a total ghost town (net operating income was up), it also has challenges (it's barely worth what's left on the loan). [Crain's Detroit]
I've actually used this mall a few times and know there's a listener of the podcast that works there. It gives me huge nostalgia vibes when I visit, as I'm of the generation where mall culture was a thing.
🚇 The Detroit People Mover is temporarily closing this fall to replace 7,000 feet of track, or about 20% of the loop. The planned shut down will run from Labor Day to just before Thanksgiving. Follow the link to learn more about near what stations there will be new track. [Urbanize Detroit]
🚙 Despite bi-partisan changes to auto insurance law, Detroit drivers still face some of the highest insurance rates in the country. That's according to a report by Outlier Media and The Markup.
The reforms took effect in July of 2020 and aimed to reduce rates by preventing insurers from using ZIP codes to set prices. But insurers have found ways around this by using smaller geographic areas like census tracts.
Before the reforms, Michigan had the highest car insurance rates in the country, with Detroit drivers paying more than $6,300 per year (on average). Post-reform, the average rate dropped by $1,000 but remains the most expensive among major cities.
If you want the cheapest rates in Michigan, the investigation found you'd need to live in a city that was, on average, 87% White. Insurers defend their pricing, citing risk variations across different regions. [Outlier Media]
I was at the bill signing, and was covering this when it was being pushed through. The math and the details didn't make sense to me at the time, but everyone wanted things to be "bi-partisan." In my experience, "bi-partisan" is good and all but it isn't a magic word that automatically means "good policy."
🐱 Whisker, an Auburn Hills-based startup that focuses on high-tech litterboxes, is expanding. The company has hired more than 100 new employees and aims to add 40 more engineers by next year. Whisker’s Litter-Robot did $180 million in sales last year. The company plans to release new products next year. [Crain's Detroit]
I know there's a lot of mental energy spent around automotive in this area, but I love seeing a diversity of industries.
Eye spy: The AC Hotel under construction
🏗️ The 10 story, 150+ room AC Hotel by the Roxbury Group is coming along. It's on Woodward just south of Mack in Detroit.
On the right of the first photo is the old Bonstelle Theater (and before that, one of a couple former sites of Temple Beth El). I’m glad to see so many details on that again that were covered up over the years. It’ll be event space.
Last I heard, it was set to open by the end of this year.
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Until next time — Remember that you are somebody.
-Jer