Detroit, MI

Midtown Detroit, long a neglected and disinvested part of the Motor City, has recently experienced an uptick in investment. Adjacent to downtown in the sprawling metropolitan area and with historic buildings and walkable streets, Midtown is attracting new residents and businesses. However, new interest meant that the local population of mostly minority residents and businesses was being sidelined.

Midtown Detroit Inc. (a non-profit community development corporation) and Invest Detroit—a CDFI that focuses on minority businesses and developers—recognized the gentrification trend and developed a plan to transform a vacant former school property into a 123,322 SF mixed-use hub for equitable entrepreneurship and minority business growth. The transformed school will be the centerpiece of the New Economy Initiative’s (NEI) efforts to build an inclusive ecosystem for Detroit’s minority entrepreneurs.

This project will create 69 construction jobs and when fully operational, the project aims to create 150 new permanent full-time jobs. NEI will provide two on-site staffers dedicated to business development and workforce training for the project’s minority business tenants, including technical assistance and a variety of other resources including inclusive access to capital, practical assistance and information, and trusted connections to business resources.

To foster minority business development and equitable entrepreneurship in Detroit, the project will reserve approximately 25,000 square feet for about 25 emerging minority-owned businesses that will pay rent at 20% below market rate. This will foster substantial employment growth for emerging businesses that would otherwise struggle to find quality, affordable space.

This institution is an equal opportunity provider.

Quick Facts 

Square Footage: 123,332 Total Commercial Square Footage

Total Investment: $44,326,733

MBS NMTC Allocation: $6,500,000

Developer: Q Factor

Owner: Invest Detroit

Allocatees: MBS Urban Initiatives CDE, Urban Action Community Development (UACD), The Community Builders (TCB), and Chase New Markets Corporation (CNMC)

NMTC Equity Investor: Chase

Architect: Push Design LLC

Direct Lender and Leverage Lender: Industry Detroit Leverage Lender, LLC

Projected Construction Jobs: 69

Projected Permanent Jobs: 150