Tuesday, May 25, 2004
Tax Credits to Create Housing, Retail and Entrepreneurial Opportunities
Governor Jennifer M. Granholm announced today that Single Business Tax (SBT) credits offered through the Michigan Economic Development Corporation will help redevelop three industrial brownfield sites in Detroit, Flint and Pontiac, spurring more than $16.5 million in private investment.
"Restoring brownfield properties is essential to continuously developing and revitalizing our urban areas," Granholm said. "These credits will make it affordable for businesses to invest and restore these properties to create jobs and housing opportunities. By attracting new investment, we will make our cities cool places to live and work."
In her 2004 State of the state address, Governor Granholm announced a focused, seven-point plan for economic growth. So far this year, the Governor and the MEDC have announced the creation or retention of approximately 14,343 jobs as a result of targeted assistance provided by the MEDC.
Brownfield SBT credits valued at nearly $1.7 million were awarded to the following projects:
- Detroit: Wayne State University Research and Technology Park, known as "TechTown," will invest more than $8.7 million for phase two of the redevelopment of an underutilized building located within the Woodward Technology Corridor SmartZone. The first phase involved renovation of the first and fifth floors of a five-story building located at 440 Burroughs. The former Chevy Creative Services building was donated by General Motors and will house an entrepreneurial center and high-tech business incubator. An SBT credit valued at $870,000 will facilitate redevelopment of the remaining floors. The project could eventually lead to as many as 1,500 high-tech jobs.
- Flint: First Street Lofts, LLC will use a $534,314 credit to help redevelop the upper floors of the former Republic Bank building in downtown Flint into loft apartments. The site is located at 460 South Saginaw Street, within a tax-free Renaissance Zone. It is the first project in an overall plan to convert empty downtown office buildings into housing, and is expected to spur more than $5.3 million in private investment.
- Pontiac: 1357 South Saginaw Street Real Estate Corp. will use a $247,535 credit to redevelop a blighted property in downtown Pontiac. The company will invest more than $2.4 million to renovate the building located at 1, 3, 5 and 7 South Saginaw Street to house retail businesses on the first floor and loft or office space on the second floor. The mixed-use project is expected to create 22 full-time jobs.
"We are working to transform brownfield sites one by one across the state," said MEDC President and CEO Don Jakeway. "These latest projects are among many that will help transform our cities into magnets for jobs and investment."
The Michigan Economic Development Corporation, a partnership between the state and local communities, promotes smart economic growth by developing strategies and providing services to create and retain good jobs and a high quality of life.