Read "63 Alfred st: where capitalism failed". It will give you a pretty good idea of what befell this once amazing neighborhood. Very interesting book for anyone interested in architecture and sociology. Summary:

63 Alfred Street: Where Capitalism Failed: The Life and Times of a Venetian Gothic Mansion in Downtown Detroit is more than the tragic history of a grand residence built 130 years ago that has fallen into virtual ruin today, used by crack dealers and the local homeless for the past 40 years. 63 Alfred Street is an extremely critical examination of the urban decay that has plagued Detroit's inner city, and the factors that cause it. Author John Kossik, a former resident of Detroit, compares the inner city's social ills to a Hydra - just like the mythical monster of legend, it has many heads [[causes), which must be tackled as a whole and dealt with properly or else they will regrow. Kossik names many culprits in Detroit's degredation, from the demolishing of vibrant neighborhoods to create road systems that encouraged white flight, to a tax burden that drives out young families and keeps them from returning, to a culture of entitlement amid union auto workers that cripples Detroit's auto industry, to Detroit's unhealthy dependence on the auto manufacturing industry in the first place, and more. Kossik doesn't have all the answers, but through his judiciously researched blend of history and sociology, he hopes to spread greater awareness of the problem and aid the search for solutions. A thoughtful and invaluable study of seemingly intractable social problems, 63 Alfred Street is highly recommended.