Tenants of Detroit's historic Leland House Scramble to Prevent Auction
In a bid to preserve their leases and belongings, tenants at the troubled 20-story building are rushing to court in an effort to block an auction set to take place in early March. The filing comes as the building's owner seeks approval from U.S. Bankruptcy Judge Maria Oxholm to auction off the property and adjacent parking lot through an online sale.
The tenants' union, a branch of the Detroit Tenants Union, has submitted emergency motions to the court in hopes of preventing their belongings from being removed without their consent. Housing advocates argue that the auction timeline, along with a January 13th court order authorizing the removal of residents' possessions, created an urgent need for action.
"We realized very quickly that if nothing was done, tenants were going to miss the window to be heard," said Donovan McCarty, director of the Housing Justice Clinic at Michigan State University's College of Law, which is representing residents alongside private attorneys. "That's a big concern... Under the current order, the idea is that a moving company would go in and move their stuff out, but that is an invasion of privacy."
The tenants' union is seeking to pause enforcement of the court order, allow residents back into their units under supervised conditions to retrieve belongings themselves, and block any sale that does not protect their right to return if the building is made safe again.
A Delaware-based entity has been named as a $3.5 million stalking-horse bidder, setting a floor price for an asset being sold through bankruptcy. If approved, the online auction would be conducted by Ten-X and brokered by Savills, with the sale expected to close in early April.
The city's fire marshal had made the decision to block access to residents after an electrical failure knocked out power, heat, and elevators in December. Many tenants were left believing the displacement would be temporary and that they would retain access to their apartments. Instead, tenants say they were locked out, with personal belongings left behind inside the building.
Residents are worried that the quick push for an auction is designed to clear the building of residents and belongings so a future developer can start from scratch, rather than addressing long-standing issues tied to long-ignored maintenance and unpaid utilities.
The city's Housing and Revitalization Department has been providing hotel accommodations and wraparound services to displaced residents, including transportation, employment support, and housing navigation. However, tenants say relocation is not a substitute for due process or for their right to return home if conditions improve.
As the situation unfolds, advocates are urging the city to rethink its approach to distressed housing, including whether long-term tenants should have a pathway to ownership or cooperative control rather than displacement.
In a bid to preserve their leases and belongings, tenants at the troubled 20-story building are rushing to court in an effort to block an auction set to take place in early March. The filing comes as the building's owner seeks approval from U.S. Bankruptcy Judge Maria Oxholm to auction off the property and adjacent parking lot through an online sale.
The tenants' union, a branch of the Detroit Tenants Union, has submitted emergency motions to the court in hopes of preventing their belongings from being removed without their consent. Housing advocates argue that the auction timeline, along with a January 13th court order authorizing the removal of residents' possessions, created an urgent need for action.
"We realized very quickly that if nothing was done, tenants were going to miss the window to be heard," said Donovan McCarty, director of the Housing Justice Clinic at Michigan State University's College of Law, which is representing residents alongside private attorneys. "That's a big concern... Under the current order, the idea is that a moving company would go in and move their stuff out, but that is an invasion of privacy."
The tenants' union is seeking to pause enforcement of the court order, allow residents back into their units under supervised conditions to retrieve belongings themselves, and block any sale that does not protect their right to return if the building is made safe again.
A Delaware-based entity has been named as a $3.5 million stalking-horse bidder, setting a floor price for an asset being sold through bankruptcy. If approved, the online auction would be conducted by Ten-X and brokered by Savills, with the sale expected to close in early April.
The city's fire marshal had made the decision to block access to residents after an electrical failure knocked out power, heat, and elevators in December. Many tenants were left believing the displacement would be temporary and that they would retain access to their apartments. Instead, tenants say they were locked out, with personal belongings left behind inside the building.
Residents are worried that the quick push for an auction is designed to clear the building of residents and belongings so a future developer can start from scratch, rather than addressing long-standing issues tied to long-ignored maintenance and unpaid utilities.
The city's Housing and Revitalization Department has been providing hotel accommodations and wraparound services to displaced residents, including transportation, employment support, and housing navigation. However, tenants say relocation is not a substitute for due process or for their right to return home if conditions improve.
As the situation unfolds, advocates are urging the city to rethink its approach to distressed housing, including whether long-term tenants should have a pathway to ownership or cooperative control rather than displacement.
! I mean, can you even imagine if your school was facing an eviction notice? The thought alone is terrifying. They're not asking for much, just their stuff and a chance to return home once things get sorted out. It's so unfair that they were locked out in the first place because of a power failure 
. I wish our teachers would be more understanding and listen to our concerns. The city should really think about its housing policies before pushing for an auction 
. Maybe if we had more ownership options, we'd have less problems like this.
... detroit's leland house is like a nightmare scenario 4 its tenants... they've been locked out of their homes b/c of a power outage & now the gov't wants to auction off the whole building without giving them a chance to grab their stuff back 
. it's all so unfair... these ppl are just trying 2 survive but u gotta wonder if the system is just gonna push 'em around & let a developer come in & start fresh 
. cant we jus find a way 2 help people who r already in a tough spot? 
This Detroit Leland House auction is just another example of how the system can fail those in need 
. I mean, who needs due process when you've got a $3.5 million stalking-horse bidder waiting to swoop in and take everything 
? It's like they're trying to kick people out so some fancy developer can come in and renovate without having to deal with all the headaches 
.
. And don't even get me started on the logistics of how they're going to retrieve their belongings - an "invasion of privacy" is a pretty mild way of putting it 
.
. The city's Housing and Revitalization Department is providing some support, but it's not enough - these people need real solutions, not just a Band-Aid fix 
i mean, what's the rush for an auction? are they really just trying to get rid of all the debt and start fresh without thinking about the people who live here? 
This Leland House situation is just crazy. I mean, people get locked out of their homes, left with nothing, and now they're fighting for something that's basically their own stuff? It feels like the system is against them. And what really gets me is when people think that if you auction off a building, everything just disappears. That's not how it works. I feel bad for the tenants who are trying to hold on to what little they have.
I mean, can't the owner or whoever be all understanding and patient with these people? They're not asking for much - just their stuff back and a chance to live in a safe place again. 
That's not right, you know? 
The city should be looking out for its residents, not pushing them around like they're nothing. 
they're tryna auction off ppl's homes cuz of some electrical fail 
they were locked out of their homes & left w/ nothin 
& now the city's tryna pawn off on them w/o a fight 
like wut r they even doin? 
. That way everyone wins - the tenants get a chance to stay in their homes, and the city gets a place that's actually worth maintaining 
.
. We need more stories like this to bring attention to the struggles of long-term renters and make some real change happen 
. Newsflash: relocation doesn't cut it. These people need a safe place to call home, and they deserve better than just being shuffled around to some new hotel room. Can we please try something different here? 
. I mean, these people have been living in their homes for years and now they're being threatened with having everything taken away without even getting the chance to say goodbye 
. It's not like they didn't see this coming - the building's in shambles and the city is trying to offload it 
. I think the city needs to take a step back and rethink its approach to housing crises. Maybe instead of auctioning off buildings, we should be investing in fixing the underlying issues that led to these situations in the first place 
.
. This is just so frustrating for everyone involved 
. like what about renters rights or something? 
Can anyone just make a decision already?!
. I mean, come on, this building has been abandoned for years and it's just sitting there collecting dust and unpaid utilities. The tenants are just taking advantage of the system, expecting everyone else to foot the bill while they live rent-free. If they can't even be bothered to pay their own share, why should anyone else have to bail them out? Let the auction happen and let the market decide what happens next - it's not my problem if the building falls apart! The city is just trying to force the issue and give the tenants a way out, but really, they're just perpetuating their own dependency on public assistance.