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Wednesday, March 22, 2017
Michigan Strategic Fund supports mixed-use project on Detroit’s east side; developers anticipate more economic activity for area
LANSING, Mich. – A new mixed-use, mixed-income development is being built in the historic West Village neighborhood of Detroit with support from the Michigan Strategic Fund, the Michigan Economic Development Corporation announced today. The project, “The Coe,” aims to bring additional development to the area while attracting residents to an up-and-coming neighborhood on Detroit’s east side.
MSF approval of a $730,933 Michigan Community Revitalization Program performance-based grant will contribute toward the total capital investment of $3.9 million. When completed, the project is expected to create five full-time equivalent jobs.
“The Coe will fill in a long-vacant lot in the West Village neighborhood of Detroit and serves as a promising sign of the continuing redevelopment of Detroit, especially beyond the core downtown areas,” said Michigan Economic Development Corporation Chief Executive Officer Steve Arwood. “We look forward to the momentum of this project and the additional investment it will encourage in other Detroit neighborhoods.”
Coe Van Dyke LLC plans to construct The Coe, a mixed-use development on a vacant lot located at Van Dyke Street and Coe Avenue in the traditional commercial center of the historic West Village neighborhood. The project will include market-rate and affordable rental housing with commercial space on the first floor.
The Coe is expected to add density to the historic neighborhood, bring additional investment to the area, and demonstrate to other developers that projects outside of downtown and Midtown can be profitable.
In addition to the MSF grant, the development is receiving funds totaling $1.29 million from Invest Detroit’s Strategic Neighborhood Fund Initiative and $1.906 million from Capital Impact Partners’ Detroit Neighborhoods Fund.
Invest Detroit, a nonprofit organization that supports economic development opportunities in underserved communities, primarily in the City of Detroit, has launched a $30 million Strategic Neighborhood Fund in partnership with the City. The Strategic Neighborhood Fund serves as a revolving loan, grant and equity investment tool to promote the revitalization of Detroit neighborhoods. The Coe is the first project to receive funding from the Strategic Fund Initiative.
“MCRP funding from the MEDC was vital to complete the capital stack for developing The Coe, which represents the first mixed-use, mixed-income project supported by the Strategic Neighborhood Fund. We congratulate developer Cliff Brown of Woodborn Partners for their significant contribution to the vibrancy of Detroit’s West Village and greatly appreciate the partnership support of the MEDC and Capital Impact Partners,” said Dave Blaszkiewicz, president and CEO of Invest Detroit. “Collaborative support from the public, private and philanthropic sectors is critical to the overall success of this comprehensive initiative to create density, jobs and sustainable economic growth.”
The city of Detroit is supporting the project with a Commercial Rehabilitation Tax Abatement valued at approximately $236,700 over a 10-year period. Sachse Construction is the construction manager, Christian Hurttienne Architects is the architect of record, and Broder & Sachse Real Estate is the property manager.
“The Detroit Economic Growth Corporation is committed to helping neighborhood redevelopment such as the Van Dyke & Coe project and growing the capacity of Detroit-based developers,” said DEGC Executive Vice President for Real Estate Moddie Turay. “Woodborn Partners is a local firm leading this project, and its participation demonstrates its own growth and the commitment of Detroit-based developers to rebuild our neighborhoods.”
About Woodborn Partners
Woodborn Partners is a Michigan-based, minority-owned full service development company committed to changing people's lives through real estate development. The firm specializes in developing projects that bring safety, appeal, and value to their surrounding communities. For more information on Woodborn Partners, visit http://www.woodbornpartners.com/.
About Michigan Economic Development Corporation (MEDC)
The Michigan Economic Development Corporation is the state’s marketing arm and lead advocate for business development, job awareness and community development with the focus on growing Michigan’s economy. For more information on the MEDC and our initiatives, visit www.MichiganBusiness.org. For Pure Michigan® tourism information, your trip begins at www.michigan.org. Join the conversation on: Facebook Instagram LinkedIn, and Twitter.
