$1 Billion in Affordable Housing in 5 years: Mayor Duggan, City Council, partners celebrate investment milestone in massive effort to build one Detroit for everyone
- 71 developments built or under construction since 2018 providing 4,646 units of affordable housing, most of which are reserved for households earning between 30% and 60% of the area median income
- City- and community-wide focus on affordable housing has prevented housing homelessness crisis, tent cities prevalent in other states
- Mayor thanks funding partners, developers and city council for prioritizing Detroit’s lower income individuals and families
More than $1 billion has been invested in affordable housing in Detroit over the past five years as part of a massive effort to ensure that longtime Detroiters of all income levels can live in any neighborhood they choose, Mayor Mike Duggan announced today.
Since 2019, a total of 71 multi-family housing projects have been built or are currently under construction. Together, they are responsible for 4,646 units of affordable housing in Detroit. Those units are a mix of 1,612 units in newly constructed apartment buildings and renovated formerly vacant buildings, as well as 3,036 existing affordable housing units in buildings that have been renovated. Along with rehabilitation of the existing homes, these homes were preserved as affordable generally for at least 30 years, ensuring that thousands of lower income households are not displaced but can remain in their homes.
The total development cost for these projects - which represent funding from the City, State, Federal Government, private funders and developers - is $1,009,177,000.
The mayor joined in a celebration today with more than 200 affordable housing developers and funding partners at the site of the project that put the city over the $1 billion investment threshold and will begin construction in the next two weeks. That project, led by Detroit developer Amin Irving, will provide 150 units of all-affordable housing on what is currently nearly 4 acres of vacant land between E. Jefferson and the Detroit River, at the foot of Van Dyke.
The $45 million development will offer 20 units for residents earning 30% or less of the area median income (AMI), 36 units at or below 50% AMI and 96 units at or below 60% AMI. The project’s modular construction helps to keep construction costs and rents low and allows for a shorter construction period.
“Over the past five years, we have seen a communitywide commitment to affordable housing that is unprecedented in Detroit and, quite possibly, the country,” said Mayor Duggan. “It is the reason you do not see tent cities in Detroit like you do in other places. We still have a lot of work to do, but I cannot say enough about the team that has led this work from the department of housing & revitalization, our partners on City Council, our funders and, of course, our developers for the incredible work they continue to do.”
The Mayor singled out HRD Director Julie Schneider, as well as her predecessors, Donald Rencher and Arthur Jemison, who previously have led the city’s affordable housing strategies, for their leadership.
The Mayor also credited several city council members for their leadership and dedication to the issue of affordable housing.
“Council President Sheffield has been a consistent advocate and support of affordable housing development in Detroit since taking office in 2014. Members Latisha Johnson, Mary Waters, Angela Whitfield Calloway and Gabriella Santiago Romero have been fully committed partners in the $203 million affordable housing plan we announced in July 2022, which gave the city the resources it needed to reach the $1 billion investment milestone,” the Mayor said.
"I am extremely proud to stand with all of our developers, partners, and residents as we celebrate this milestone in affordable housing investments which highlights the efforts to ensure the growth in Detroit is inclusive and equitable,” said Council President Sheffield. The $1 billion in cumulative investments is illustrative of our commitment to provide safe, quality and affordable housing for all Detroiters. Through advocacy, shared values and a consensus around a vision for the future, together we have forged a pathway to housing stability and economic upward mobility which provides every resident the opportunity to thrive during this period of revitalization in Detroit."
The Mayor also thanked the US Department of Housing & Urban Development, the Michigan State Housing Development Authority, Invest Detroit, LISC Detroit and others that have been among the primary funding partners on many of these projects. LISC Detroit manages the Detroit Housing for the Future Fund (DHFF), a private investment fund launched by HRD and LISC in 2020 that has invested $32.8 million in low-cost loans and pre-development grants for developers of color to support the City’s affordable housing goals.
“Behind this major milestone are the thousands of residents who are benefitting from the stability and security that comes with affordable, quality housing. These investments across 46 neighborhoods and every City Council district in Detroit, bring critical affordable housing resources that will serve Detroiters for decades to come and is central to neighborhood development strategies,” said Julie Schneider, director of the housing and revitalization department.
Of the 4,646 affordable units that make up the $1 Billion investment:
- 39 have rents affordable to households earning 120% AMI or less
- 649 have rents affordable to households earning 80% or less of AMI
- 1,682 have rents affordable to households earning 60% or less of AMI
- 1,381 have rents affordable to households earning 50% or less of AMI
- 895 have rents affordable to households earning 30% or less of AMI
Housing is considered affordable when the costs do not exceed 30% of a household’s monthly income. Below is the current HUD Area Median Income Chart for Detroit area:
|
1 Person |
2 People |
3 People |
4 People |
5 People |
6 People |
7 People |
8 People |
|
|
30% AMI |
$19,900 |
$22,750 |
$25,600 |
$28,400 |
$30,700 |
$32,950 |
$35,250 |
$37,500 |
|
50% AMI |
$33,150 |
$37,900 |
$42,650 |
$47,350 |
$51,150 |
$54,950 |
$58,750 |
$62,550 |
|
60% AMI |
$39,780 |
$45,480 |
$51,180 |
$56,820 |
$61,380 |
$65,940 |
$70,500 |
$75,060 |
|
80% AMI |
$53,050 |
$60,600 |
$68,200 |
$75,750 |
$81,850 |
$87,900 |
$93,950 |
$100,000 |
Donald Rencher, who served as Group Executive for Planning, Housing and Development for the City for several years before leaving in late 2023 to become President and CEO of the Hudson-Webber Foundation, expressed his pride in the city’s commitment to affordable housing.
“In 2018, the City of Detroit launched a mission to safeguard low-income residents from displacement, aiming to create inclusive housing options amidst Detroit's economic resurgence. This achievement was fueled by public-private partnerships, dedicated elected officials, and vigilant residents who continuously made their voices heard,” said Rencher. “However, challenges persist. Detroit still faces significant poverty, with affordable and stable housing playing a key role in overcoming economic hurdles. Yet, the lack of subsidies hinders progress. As we drive Detroit's growth, ensuring inclusivity and prioritizing affordable housing as a cornerstone of economic development is crucial.”
Development Partners
Almost Midtown, LLC
Alternatives for Girls
American Community Developers
Bagley Development Group
Bridging Communities
CADS III Management
Cass Corridor Neighborhood Development Corporation
Catholic Charities for SE Michigan
CCIH
Century Partners
CHN Housing Partners
Cinnaire
COTS
Communities of Hope
Davis Veterans Village, AMAC Development, Anchor Team
Detroit Blight Busters
Detroit Catholic Pastoral Alliance (DCPA)
Develop Detroit
DHC Three
Ethos Development
Flux City, LLC
Full Circle Communities
Gabriel Management Group LLC
Ginosko Development
Grandmont Rosedale Development Corporation
Hosey Development
Inkwell Partners
Invest Detroit
Jacobs Street LLC
Jefferson East Inc
John Stanley, Inc.
Jonathan Rose Companies
Kipling Development
Larc Group
Life Builders
Lighthouse MI
Mariners Inn
MHT Housing
Minyon Properties
MiSide
MRK Partners
N’Namdi HoldingsNeighborhood Service Organization
Nova Development
Osborn Neighborhood Alliance
Preservation of Affordable Housing (POAH)
Presbyterian Villages of Michigan
Robert Kabbe
Roxbury Group
Ruth Ellis Center
S&S Development Group, LLC
Sam Thomas
Southwest Detroit Business Association
Timeless Properties
URGE Development Group
U-SNAP-BAC
Wallick Communities
Woodborn Partners
“As I reflect on my first affordable housing investment done in Detroit in 2006, I can’t help but think about how far Detroit has come,” said developer Amin Irving. “Back then, it seemed everything was reactive without any real consistent procedures. Now, under this administration, there are tangible goals and transparent processes all within the context of a citywide strategy. Eclipsing $1 Billion of economic investment in affordable housing since 2019 is a testament to the hard work that Mayor Duggan and the City Council have demonstrated.”
Investment Partners
Housing and Revitalization Department
Michigan State Housing Development Authority
LISC
Capital Impact Partners
Cinnaire
Invest Detroit
Enterprise
Michigan Economic Development Corporation
Detroit Economic Growth Corporation
Federal Home Loan Bank of Indianapolis
US Department of Housing and Urban Development
Detroit Housing Commission
Kresge Foundation
JPMorgan Chase
Hudson Webber
Citizens Bank
CIBC Bank
Flagstar Bank
First Independence Bank
PNC Bank
KeyBank
Blue Cross Blue Shield of Michigan
Penske Corporation
Huntington Bank
Fifth Third Bank
Ford Motor Company
Bedrock
Marble Cliff Capital
Alden Torch
Bank of America
National Equity Fund
CREA
Alliant Capital
Key Community Development Corp
71 Projects, $1 Billion invested
- Pablo Davis 9200 W Vernor Hwy
- Parkview Place 1401 Chene St
- Parker Durand 8003 Kercheval St
- NSO: The Sanctuary 3426 Mack Ave
- Marlborough Apartments 910 + 1031 Marlborough St
- University Meadows 4500 Trumbull St
- Roberts III 3901 Grand River Ave
- The Freelon at Sugar Hill 81 Garfield St
- Friendship Meadows 1001 Leland St
- Orchestra Place 100 Parsons St
- Cathedral Tower 80 E Hancock St
- OSI Art Apartments 3820 Grand River Ave
- West Boston Apartments 3220 W Boston Blvd
- Transfiguration Place Apartments 13300 Syracuse St
- Ruth Ellis Clairmount Center 61 Clairmount St
- Milwaukee Junction 258 E Milwaukee St
- Lakewood Manor 14200 Kercheval St
- Northlawn Gardens 9545 Northlawn St
- Midtown Square Apartments 93 Seward St
- Sawyer Art Apartments 7303 W Mcnichols Rd
- Lifebuilders II 15044 Bringard Dr (multiple addresses)
- Brush Watson: Beaubien 454 Watson St
- Belnord 324 Hendrie St
- Charlotte 10210 2nd Blvd
- DreamTroit 1331 Holden St
- Marwood + Marston 53 Marston St
- Morton Manor 20000 Dequindre St
- Savannah-Wilshire 250 W Grand Blvd
- Xavier Square 3115 Alter Rd
- Rev. Dr. Jim Holley Residences 9001 Woodward Ave
- The Weber 655 Hazelwood St
- The Residences at 150 Bagley 150 Bagley St
- Morningside Commons II 3530 Wayburn St
- Jefferson Meadows 13101 Freud St
- Le Chateau 19225 Mound Rd
- The Shirley 1442 Calvert St
- The Brooke on Bagley 2420 Bagley St
- Trumbull Crossing 5500 Trumbull St
- Springwells 2316 Lawndale St
- Jefferson Square 541 Dickerson St
- Cathedral Arts Apartments 10201 Woodward Ave
- Bowin Place Apartments 15400 W Seven Mile Rd
- MLK on 2nd 3515 2nd Ave
- Hubbard Farms Apartments 465 W Grand Blvd
- 1403 Junction 1403 Junction St
- The Ribbon 16530 E Warren Ave
- Minock Park Place 9710 W Outer Dr
- La Joya Gardens 4022 W Vernor Hwy
- Kingsley Arms 646 Hazelwood St
- Lee Arden 660 Hazelwood St
- Dr Maya Angelou Village 16711 Burt Rd
- The Beauton 503 Horton St
- The Anchor at Mariners Inn 445 Ledyard St
- Left Field 2610 Cochrane St
- Lifebuilders III 16516 Fairmount Dr (multiple addresses)
- 5800 Michigan 5800 Michigan Ave
- Mapleridge Duplexes 13623 Mapleridge St (multiple addresses)
- Benjamin O Davis Veterans Village 4777 E Outer Dr
- Brush Watson: Beaubien 454 Watson St
- Orchard Village 21722 Orchard St
- The Residences at St. Matthew 5970 Audubon Rd
- Islandview Townhomes 2251 Sheridan St (multiple addresses)
- Merrill Place 1312 Seward St
- Van Dyke Center 8100 Gratiot Ave
- 60 Harper 60 Harper Ave
- Van Dyke Village 1775 Van Dyke St
- Dr. Violet T. Lewis Village 17370 Meyers Rd
- McDonald Square II 2900 E Vernor Hwy
- Brainard Street Apartments 680 Brainard St
- The Claire 100 Clairmount St
- 7850 East Jefferson 7850 E Jefferson Ave