
FERNDALE CITY MANAGER SAYS DOT DEVELOPER "IN BREACH OF CONTRACT"
​
At the May 11th Ferndale city council meeting Ferndale City manager Colleen O'Toole told council that the developer for the DOT mixed use development "are in breach of contract".
The comment came during discussion of financing for the city's proposed mixed use parking garage on 9 Mile.
The revelation fuels ongoing speculation that the city is or will be seeking legal action against the developer Versa Wanda LLC.
Versa Wanda was contracted to build office space on top of the structure, apartments on the west side of the structure and retail on the bottom floor. To date only the retail has partially been completed. The no bid deal was orchestrated by former Ferndale city manager and now fired Royal oak City Manager Joe Gacioch in 2019 after the city was unable to find a developer through the bidding process.
Currently the cities once profitable Auto parking fund is functionally bankrupt having to rely on the general fund to balance the books. In 2025 the auto parking fund had a $333,618 deficit.
x