Damn, the Detroit News is full of great stories this morning [[M-1 rail is the other).
Lot of good things happening at the same time. And, of course, don't forget the new arena which is another big catalyst.
http://www.detroitnews.com/article/2...it-investments
That's big. It looks like serious, national capital is finally flowing back into the city.
It's nice to see Buffett using some of his wealth and power to try and create positive change. Hopefully it'll post results. It always amazes me how badly large sums of money can be wasted.
As always, am cautiously optimistic. The announcement is great, but let's see what we get for follow-through. I know people are taking note of Dan's investments and the fact that he seems to be making out very well here, but it's all in execution.
Table #1 at London Chop House anyone? ;)
http://www.freep.com/article/2014052...oit-investment
Over the next 5 years, JP Morgan Chase will invest:
$50 million into investment capital [[funding for development projects) through Invest Detroit and Capital Impact Partners.
$25 million into blight removal for the city, including $5 million to the DLBA and $5 million for rehabilitation loans for homeowners purchasing homes in the auctions.
$12.5 million towards workforce training programs for city residents including Detroit Youth Employment Consortium, Focus: HOPE, The Greening of Detroit, and Workforce Intelligent Network.
$7 million for small business including a startup kitchen in Eastern Market, loans for small businesses in Techtown, and support for training programs within Dan Gilbert's Bizdom.
$1.5 million towards the M1-Rail project as well as $1 million to Midtown, Inc to offset the impact of construction towards businesses along the route.
I like the loans targeting the land bank rehabs. Maybe those auctions will actually have a positive impact.
I hope that unemployed young men and women are hired to removed the blight. Young people as well as older need jobs within the city limits so they could get to easlly and have money in their pockets
A bank that was just fined $13 billion for fraud a few months ago spending $20M a year x5 for PR in a state where they have 600 locations. Got it.
interview on the Today Show this morning.
Sounds interesting.Quote:
Originally Posted by Maof
http://www.today.com/money/jamie-dim...ign-2D79695458
I'm a little leery of this being somewhat of a PR stunt given the banking industries terrible reputation, but then again if a PR stunt is investing $100 million in the city...then stunt away, folks.
I just hope someone in the current administration reads the fine print before signing anything with these guys, and we don't have repeats of deals gone sour as with previous administartions.Quote:
Originally Posted by stinkytofu
I agree. While I think Jamie Dimon at a minimum should be out of a job or perhaps in jail, please perform some more stunts like this. Just image if instead of committing fraud and having billions in fines, they had no fines and invested the billions in Detroit.Quote:
Originally Posted by stinkytofu
$20M a year is exactly like Matt said, "A drop in the bucket." U-M spent $100M to develop their facility in Northville and it's barely a blip on our radar. Anyone talking or posting about this is just feeding into the PR campaign that it is.
Really can't stand Matt Lauer but I thought it was pretty ironic how he ended the piece by stating this guy's salary was just raised to exactly the same amount, an amount expected to impact an entire city. It would have been cool if the guy was asked to break down how he intends to spend his 100 million over the next 5 yrs. - 30 million for housing, 10 million for travel, 20 million for meals, 5 million for shoes, etc.
Good news, mmm... I remember about 8 months ago when bankruptcy guy predicted rather accurately just this very kind of investment if the bankruptcy was handled in a timely manner, instead of getting dragged out for years with all the capital sitting on the sidelines waiting to see what shakes out.
Not only is the amount just a drop in the bucket, but for some reason, I doubt getting a loan from JPMorgan will be any easier than getting a loan from any local bank. Banks, especially JPMorgan, are out there to make money. I highly doubt a guy with bad credit or a low paying job who buys a home in Boston-Edison from the land bank for $1,000 would qualify for that $100,000 rehab loan to rehab the property in 9 months. And if it's a rehab grant [[very skeptical it would be a grant), I highly doubt all the paperwork would be approved to get the money to rehab the property in 9 months. As the old saying goes, it's much ado about nothing.
The would be the headlines for all over the world.
BIG RICH BANK CORP BAIL OUT MOTOWN!
Looks like those protesters got your wish. The 1 percent finally give in to main street.