A legal battle is intensifying in Michigan as state and local authorities unite to challenge federal immigration expansion within their borders. The dispute centres on a controversial federal initiative to transform a massive commercial property into a secure holding facility.
By filing a high-stakes lawsuit, officials aim to permanently block the project, citing severe structural deficiencies and a lack of transparency.
Michigan Leads Legal Challenge to ICE Expansion
A strategic shift at U.S. Immigration and Customs Enforcement (ICE) has stalled a massive expansion effort, with the agency backing away from a proposal to house 10,000 detainees in single industrial warehouses. The sudden reversal unravels a cornerstone of the $38 billion (£28.81 billion) fast-track detention initiative championed by former Homeland Security Secretary Kristi Noem earlier this year.
Following legal pushback from Michigan and a Detroit suburb, federal authorities have notified a judge that a recently acquired Romulus warehouse will be sold. Local officials report that similar industrial conversion plans are also collapsing in Social Circle, Georgia, and the El Paso suburb of Socorro.
ICE confirms plan to sell Romulus warehouse rather than turn it into an immigrant detention center. Filing is part of Michigan lawsuit by AG Dana Nessel and city pic.twitter.com/96tEf0ds7k
— Jonathan Oosting (@jonathanoosting) June 23, 2026
These three cities are part of a broader group of 11 locations where the federal government poured a collective $1.074 billion (£0.81 billion) into commercial properties.
Recent media disclosures indicated that federal immigration authorities intend to divest themselves of seven of the 11 acquired properties. The offloading process will involve either transferring ownership to other federal departments or placing the real estate directly on the open market.
ICE Retreats From Warehouse Detention Strategy
While DHS refrained from validating those reports, the department issued a statement clarifying that its current focus is 'moving swiftly to utilize EXISTING detention space with our state and county partners.'
Claire Trickler-McNulty, a former ICE official who served under the Obama, Trump and Biden administrations, condemned the logic of retrofitting commercial structures for immigration custody, branding the strategy as 'Wildly foolhardy'.
A primary catalyst for the backlash was that Noem's property acquisitions were executed largely behind closed doors, blindsiding and infuriating local municipalities. Many communities only discovered ICE's intentions after the agency had already finalised deeds or lease agreements for the prospective holding facilities.
Following Noem's dismissal, her successor, Markwayne Mullin, moved swiftly to implement a moratorium on purchasing additional commercial warehouses.
Romulus Project Faces Growing Opposition
Leaked agency records obtained by The New York Times indicate that the Salt Lake City facility is slated for disposal or transfer to other departments. The confidential paperwork lists several other targeted locations facing a similar fate, including the controversial Romulus site, a facility in New Jersey, and duplicate properties across Georgia and Pennsylvania.
Michigan Attorney General Dana Nessel openly condemned the initiative, stating that it would have been an 'abomination' to convert the massive 249,000-square-foot Romulus property into an immigration facility. The industrial site had initially been acquired for $34.7 million (£26.29 million) with that exact conversion strategy in mind.
'The ICE warehouse proposal was every bit as ill-conceived as it was cruel and unnecessary, and I am relieved that this chapter is coming to a close,' Nessel, a Democrat, said.
Municipal leaders in Social Circle, Georgia, confirmed last week that Republican U.S. Representative Mike Collins had informed them of a federal shift. According to the update, the Department of Homeland Security has abandoned its plans to establish an ICE detention hub within the community.
Other Detention Hub Plans Also Unravelling
During a recent visit to the El Paso area, acting ICE Director David Venturella informed local officials that the agency is walking away from its original plans for three Socorro warehouses. According to Representative Veronica Escobar, who attended the meeting, the federal government spent a massive $122 million (£92.45 million) purchasing those industrial spaces before deciding to pivot.
Speaking at a news conference, the El Paso Democrat explained that ICE is abandoning its original blueprint to detain 8,500 migrants inside those facilities. Instead, the agency wants to rebrand the site as an 'ICE campus'. While the location will still hold a smaller, unspecified number of detainees, it is now slated to house administrative offices and specialised training facilities for federal agents.
