Ilitch-backed redevelopment project in District Detroit gets $6.5M loan from state

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September-26-23, 02:25 PM
Airforceguy

Ilitch-backed redevelopment project in District Detroit gets $6.5M loan from state

Plans call for the billionaire Ilitch family's real estate development arm, Olympia Development of Michigan, along with Lansing-based housing finance firm Cinnaire Solutions to redevelop a total of "170 residential units into a mixed-use, mixed-income project in the Midtown neighborhood of Detroit," according to a briefing memo from the Michigan Economic Development Corp. to the Michigan Strategic Fund, which controls the state's economic development funding.
https://s3-rd-prod.crainsdetroit.com...20Street_i.jpg

Quote:

The redevelopment of the seven buildings near Henry Street and Cass Avenue, within the Ilitches' long-stalled District Detroit development would include 84 apartment units reserved for those making 60% of the area median income — about $39,780, according to figures from the Michigan State Housing Development Authority — with the rest of the units being rented at market rates. The $6.5 million loan from the state's Michigan Community Revitalization Program would add to the capital stack for only the market rate component of the redevelopment, according to the memo.

"Market conditions in the City of Detroit continue to make development challenging," reads the briefing memo, explaining the "demonstrated need" for the public funding. "Market rate rents have continued to lag construction inflation costs."

Henry Street Renaissance LLC, an Ilitch-owned entity, would wholly own the market rate component of the planned project.

https://www.crainsdetroit.com/real-e...65m-loan-state
September-26-23, 05:26 PM
gratiotfaced

This project was supposed to start in January. I'll bet almost anything it will still be sitting here in a year's time. Stop throwing money at people with a clear track record of failure.
September-26-23, 05:43 PM
Danny

Yeah right with more delays. What are those 'leethes' up to now!
October-29-23, 03:22 PM
Franksgoodnephew

Wait a minute!! The city is STILL giving money to another billionaire??! What about the failure of the LCA businesses around the arena?! And to THIS guy??! Remember Tiger Stadium??
November-06-23, 02:26 AM
Gistok

Looks like the Wayne County owned land between Woodward and Comerica Park is still in discussions with the Ilitches. Olympia wants to take the money that it will pay for the county land to build towers on, and have the county use that money to be reinvested in District Detroit... i.e. they want to pay for the land, and then get the money back in some fashion for future Comerica Park upgrades...

Ilitch organization said to want Wayne County's land sale proceeds for Comerica upgrades [[msn.com)
November-06-23, 07:37 AM
401don

Quote:

Originally Posted by Gistok

Looks like the Wayne County owned land between Woodward and Comerica Park is still in discussions with the Ilitches. Olympia wants to take the money that it will pay for the county land to build towers on, and have the county use that money to be reinvested in District Detroit... i.e. they want to pay for the land, and then get the money back in some fashion for future Comerica Park upgrades...

Ilitch organization said to want Wayne County's land sale proceeds for Comerica upgrades [[msn.com)

"Okay. We agree to let you take the money out of our right pocket as long as you put it in our left pocket." "Oh yeah, we want interest on it while it's changing pockets."