Detroit Secures Funding for New Affordable Housing Projects

A view of new affordable housing projects in Detroit.

Detroit, December 24, 2025

Detroit has received four Low-Income Housing Tax Credit awards from MSHDA, facilitating the development of nearly 200 new affordable housing units. Key projects include Woodward + Adams, Bagley Central, Gardenview Apartments, and Gardenview Townhomes, which collectively aim to provide supportive housing for low- and moderate-income residents. These initiatives align with the city’s broader strategy to tackle housing affordability, having invested significantly over the past several years.

Detroit, Michigan

Detroit has secured four Low-Income Housing Tax Credit (LIHTC) awards from the Michigan State Housing Development Authority (MSHDA), enabling the development of nearly 200 new affordable and supportive housing units across the city.

Key Projects and Funding Details

The awarded projects include:

  • Woodward + Adams: Located within the historic Central United Methodist Church, this $18 million development will provide 39 supportive housing units for residents experiencing homelessness. The project received a $1.65 million LIHTC award over ten years.
  • Bagley Central: Part of the larger $30 million HUD Choice Neighborhoods grant in Corktown, this project will offer 43 affordable units and 11 market-rate units for households earning 30–80% of the Area Median Income (AMI). The first phases are expected to open in 2027, with a $1.65 million LIHTC award over ten years.
  • Gardenview Apartments: Redeveloping vacant land along the Southfield Freeway near Tireman, this project will include 53 affordable one- and two-bedroom units for households earning 60% AMI, with 27 units receiving project-based rental assistance. The development received a $1.398 million LIHTC award over ten years.
  • Gardenview Townhomes: Also on the Southfield Freeway site, this development will feature 48 affordable two- and three-bedroom units for households earning 40–80% AMI, with 22 units receiving project-based rental assistance. The project received a $1.474 million LIHTC award over ten years.

Impact and Background

These developments are part of Detroit’s ongoing efforts to address housing affordability. Over the past six years, the city and its partners have invested $1.7 billion into affordable housing construction, with more than $1 billion more planned as part of the city’s Payment in Lieu of Taxes (PILOT) program to expedite affordable housing development. The new projects bring Detroit closer to its goal of $2 billion in affordable housing development within six years.

The LIHTC program, administered by MSHDA, provides tax incentives to developers for building or rehabilitating housing for low- and moderate-income residents. These credits help reduce financing costs, making it possible to offer lower rents and ensure long-term affordability. Developers can claim credit against their tax liability annually for up to 10 years.

Additional Information

For more details on these projects and other affordable housing initiatives in Detroit, visit the City of Detroit’s official website.

Frequently Asked Questions (FAQ)

What are the key projects announced in Detroit’s affordable housing initiative?

The key projects include Woodward + Adams, Bagley Central, Gardenview Apartments, and Gardenview Townhomes, collectively adding nearly 200 new affordable and supportive housing units across the city.

How much funding did Detroit receive from MSHDA for these projects?

Detroit received four 9% Low-Income Housing Tax Credit awards from MSHDA, totaling over $6.1 million annually for 10 years, supporting the creation or preservation of 183 affordable housing units in the city.

What is the LIHTC program and how does it benefit Detroit?

The Low-Income Housing Tax Credit (LIHTC) program, administered by MSHDA, provides tax incentives to developers for building or rehabilitating housing for low- and moderate-income residents. This program helps reduce financing costs, making it possible to offer lower rents and ensure long-term affordability, thereby addressing housing affordability in Detroit.

How does this initiative fit into Detroit’s broader affordable housing efforts?

These developments are part of Detroit’s ongoing efforts to address housing affordability. Over the past six years, the city and its partners have invested $1.7 billion into affordable housing construction, with more than $1 billion more planned as part of the city’s Payment in Lieu of Taxes (PILOT) program to expedite affordable housing development. The new projects bring Detroit closer to its goal of $2 billion in affordable housing development within six years.

Key Features of Detroit’s Affordable Housing Initiative

Project Name Location Number of Units Funding Details Expected Completion
Woodward + Adams Central United Methodist Church 39 supportive housing units $1.65 million LIHTC award over 10 years Not specified
Bagley Central Corktown 43 affordable units and 11 market-rate units $1.65 million LIHTC award over 10 years First phases expected to open in 2027
Gardenview Apartments Southfield Freeway near Tireman 53 affordable one- and two-bedroom units $1.398 million LIHTC award over 10 years Not specified
Gardenview Townhomes Southfield Freeway near Tireman 48 affordable two- and three-bedroom units $1.474 million LIHTC award over 10 years Not specified

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