ANN ARBOR, Mich. (WXYZ) — The University of Michigan's planned acquisition of a large portion of Concordia University's unused Ann Arbor campus is drawing pushback from city leaders concerned about the impact on the local tax base.
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Ann Arbor City Council passed a resolution raising concerns about the 140-acre purchase, which is subject to approval by the University of Michigan Board of Regents. Council members say the deal would prevent another buyer from contributing to the city's tax base. Both the University of Michigan and Concordia University hold tax-exempt status.
As a tax-exempt institution, the University of Michigan publicly acknowledged plans to acquire the property on Geddes Road, near the Huron River, with direct access to US-23. The university has not said how the property would be used, but provided a statement:
The University of Michigan has reached an agreement to purchase an approximately 140-acre parcel at 4090 Geddes Road from Concordia University, pending approval by the U-M Board of Regents on May 21.
The agreement follows outreach earlier this year from Concordia representatives who asked U-M to consider acquiring the property and expressed a desire that the campus continue to serve educational purposes. The negotiated purchase price is $60 million, subject to Board of Regents approval, environmental review and completion of due diligence.
As the purchase moves forward, the university will evaluate how the site may support long-term educational, research or health-related priorities consistent with its mission. As one of the world’s leading research universities and health systems, U-M plans decades in advance to ensure it has the space and capacity needed to support evolving academic, research and community needs.
Any future plans for the property will follow careful review and due diligence. The university looks forward to working with local officials, neighbors and community stakeholders as this process moves forward.
This potential purchase is not unlike other strategic land acquisitions U-M has made in recent years. In 2018, the university acquired the Fingerle Hardware property, which allowed for the future relocation of Elbel Field and development of Wolverine Village Phase I, scheduled to open in August 2026. In 2009, the university acquired Pfizer’s former Ann Arbor research campus and transformed it over time into the North Campus Research Complex, now a major center for biomedical research and innovation.
Mayor Chris Taylor said the deal removes valuable land from the city's tax rolls.
"The acquisition of the Concordia property by the University will keep the 187 acres off the tax rolls. That 187 acres of valuable, useful land would have been a great benefit to the city's tax base and enabled us to entitle substantial housing, perhaps park land, perhaps other commercial uses."
47 acres of the property appear to remain with Concordia. Concordia University also provided a statement on the sale:
Concordia University Wisconsin and Ann Arbor [are] working toward final approval of the proposed sale of its Ann Arbor Geddes Road property to the University of Michigan. Final approval is expected following action by the University of Michigan Board of Regents on Thursday, May 21.
This action follows more than a year of careful prayer, discernment, and consultation with university leadership, stakeholders, and representatives of the broader church community.
Ann Arbor operations and core academic programs are continuing at Concordia’s campus location at 3475 Plymouth Road.
Current Concordia Ann Arbor students will continue their academic programs as planned at the Plymouth Road campus, with no interruption to degree completion or student support.
The Plymouth Road campus is home to Concordia’s graduate healthcare programs in Physical Therapy, Occupational Therapy, and Physician Assistant Studies, along with online academic programs serving teachers and school leaders throughout Michigan, including an online Lutheran education program.
The sale of the Geddes Road property enables Concordia to focus resources on sustaining high-quality academic programs and student experiences while addressing the financial realities facing higher education nationally. We are encouraged that the property will continue to be used for educational purposes well into the future under the stewardship of the University of Michigan.
Ann Arbor leaders have also expressed a desire to see more housing included in the University of Michigan's future plans for the property, following the city's own failed attempt to purchase property from Concordia.
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