The new office will be 3,000 to 5,000 square feet and open by the fall, said Elliot Darvick, general manager of Lyft Detroit. Lyft's 10 full-time local employees, stationed at Tech Town and 2727 Second Ave. in Midtown, will work out of the space.
Darvick would not disclose the address or neighborhood of the new space, saying negotiations are not finalized. He said he was unsure how much money would be invested in build-out of the office.
Once open, Lyft's new hub will function like the 12 others the company operates across the country. The $100 million investment will bring the number of hubs to around 30.
The Detroit hub will have a "full storefront" and function as a "driver service center" and local administrative headquarters for the company, Darvick said. Through the hub, drivers will receive assistance from a support team and discounts on vehicle services such as inspections and oil changes. The Detroit hub will also be used to host classes and special events and as community space.
Lyft Detroit has signed a deal with Belle Tire, a discount tire and auto maintenance company headquartered in Allen Park, Mich., to offer its drivers free vehicle inspections, which are mandatory to drive for Lyft. It has a similar deal in place with Pep Boys, headquartered in Philadelphia.
Lyft's new investment planned for Detroit comes amid a slew of sponsorship deals and partnerships, including with Detroit City FC, MusicTown Detroit and the Detroit Department of Transportation. Its main competitor, Uber, is growing exposure at a similar clip.
Darvick declined to say how many drivers Lyft has in Detroit but said monthly ride volume has grown fivefold since 2016, and "one could assume we scaled the driver base accordingly." He said there are plans to expand employee count at the future hub but gave no specifics.
Darvick said, "I think the growth has shown us there's a true demand for ride-sharing in the Motor City."
Kurt Nagl is a reporter for Crain's Detroit Business.