Monday, November 14, 2005
Michael Shore, MEDC
Tax Credits to Help Transform Vacant Properties
Governor Jennifer M. Granholm today announced that two blighted areas in Detroit will be transformed into new residential developments in the city. The projects, slated for a west side neighborhood and a neighborhood near Indian Village, are expected to attract more than $6.2 million in private investment with the help of state brownfield Single Business Tax credits approved by the Michigan Economic Development Corporation.
"Creating affordable housing in Michigan's cities is essential to revitalizing our urban areas," Granholm said. "These two developments will bring residents back into Detroit and spur additional commerce and job creation."
The projects are:
English Village Lofts LLC will invest more than $4 million to redevelop the now- vacant St. CharlesSchoolinto a 21-unit condominium complex. The developer will use a tax credit valued at $200,000 to reconfigure the interior of the building and build an additional story. The city will assist the project through a Neighborhood Enterprise Zone designation which offers significant local tax savings to the developer.
West Town Homes I LLC, a partnership between the Community Planning Association and the Urban Entity Group LLC, will use a tax credit valued at $326,600 to revitalize blighted clusters of properties in a neighborhood located near Greenfield Roadand Tireman Street. The developer plans to invest more than $3.2 million to build 23 single-family homes. The city has designated the area a Neighborhood Enterprise Zone and offered a $1.4 million grant.
"Detroit has been a big winner when it comes to the states brownfield redevelopment program," MEDC President and CEO James Epolito said. "These projects are just two of many that represent the building blocks of the city's ongoing transformation."
In her 2005 State of the State address, Granholm emphasized the importance of making Michigan a global economic powerhouse in the 21st century. Since January 2005 the Governor and the MEDC have announced the creation or retention of more than 63,000 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. For more information on the MEDC's initiatives and programs, visit the Web site at www.michigan.org.
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