Tuesday, November 16, 2004
Brownfield Redevelopments to Create $106 Million in Private Investment
Governor Jennifer M. Granholm today announced that two blighted properties in Detroit will be rehabilitated and 408 new jobs created with assistance provided by the Michigan Economic Development Corporation (MEDC). The MEDC approved a total of more than $4.1 million in Single Business Tax (SBT) credits and state and local tax capture to benefit the downtown sites which are expected to generate more than $106 million in private investment.
"These highly underutilized properties have burdened Detroit for years," Granholm said. "With the backing of state assistance, these sites will create attractive new places for people to live and work in the city."
The Detroit projects are:
1001 Woodward Office LLC will partner with two other LLC entities to utilize a brownfield SBT credit valued at $3.8 million and local and state tax capture valued at up to $1 million to help redevelop functionally obsolete and blighted property located within the 1001 block of Woodward in central Detroit. The developers will demolish vacant buildings to make way for a new multi-level parking structure featuring up to 18,000 square feet of retail space on the first floor. The project includes the upgrading of an adjacent 21-story office building located at the northwest corner of Campus Martius and the conversion of the upper floors into residential condominiums. The project is expected to create up to 400 new jobs and generate more than $50.5 million in private investment.
The River Pointe Development Company Limited Partnership will redevelop a seven-acre former mobile home park located at 14630 Riverside Boulevard. The developer plans to build a combination of low- and mid-rise buildings to accommodate about 300 market-rate residential units. The development will also feature boat slips along a canal bordering the property. The project is expected to generate more than $56.6 million in private investment and create eight new jobs.
"Detroit has seen many brownfield redevelopment successes recently," said MEDC President and CEO Don Jakeway. "This revitalization is vital to the city's economic prospects, as developers continue to see good reasons for investing in new buildings to serve the growing market."
In her 2004 State of the State address, Governor Granholm announced her plan to make Michigan a global economic powerhouse in the 21st century. Thus far this year, the Governor and the MEDC have announced the creation or retention of approximately 32,034 jobs as a result of targeted assistance provided by the MEDC.
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.