Detroit, MI, October 20, 2025
Detroit is advancing a range of affordable housing initiatives that combine adaptive reuse of historic buildings with new construction and preservation efforts. Major projects include conversion of a landmark industrial plant into hundreds of mixed-rate units with retail and co-working space, smaller community developments targeting households at 40%–80% of Area Median Income, and new rental properties with long-term affordability commitments. City-led funding and public-private partnerships prioritize mixed-use, mixed-income multifamily housing, supportive housing for vulnerable residents, and resources for community-based developers to stabilize neighborhoods and support economic growth while maintaining historic character.
Detroit’s Affordable Housing Initiatives: Recent Developments and Future Plans
Detroit is making significant strides in addressing the urgent need for affordable housing through various construction projects that aim to foster stable communities and support urban revitalization. Recent initiatives include plans to build multi-unit residences equipped with energy-efficient features to accommodate the city’s growing demand for affordable living spaces.
Recent Developments
In October 2024, funding was announced for the construction of 450 new housing units in both Detroit and Wyandotte, spearheaded by Governor Gretchen Whitmer. This initiative aims to enhance the housing supply and assist in lowering housing costs in the region. Notably, this includes the transformation of the historic Fisher Body Plant in Detroit into hundreds of new units of quality, affordable housing alongside commercial space. The funding involves an $8.5 million performance-based loan and a $1.5 million performance-based grant, facilitating the development of 433 market-rate and affordable housing units along with over 26,700 square feet of retail space and 17,685 square feet of co-working space.
Additionally, in July 2025, there was an announcement regarding funding for the building and preservation of 484 affordable rental homes in Detroit. This funding will assist in redeveloping existing communities, such as the Villages of Parkside – Phase IV, which will comprise 10 one-bedroom, 23 two-bedroom, 16 three-bedroom, and five four-bedroom units. These units are targeted for tenants earning between 40% and 60% of the Area Median Income (AMI).
Ongoing Projects
In August 2025, Flux City Development broke ground on a new affordable housing community called The Ribbon, located in Detroit’s East English Village neighborhood. This $8.2 million project consists of 18 units, with 14 designated for individuals earning at or below 80% of the AMI, and four units allocated for those at or below 60% of the AMI. The affordability of these apartments is committed for the next 25 years. The development will also host retail space for local businesses, contributing to the economic growth of the surrounding area.
Future Plans
Looking forward, the City of Detroit has earmarked funds through the U.S. Department of Housing and Urban Development to enhance public-private partnerships. The focus is on producing mixed-use, mixed-income multifamily housing developments throughout the city’s neighborhoods. These endeavors will involve both new construction and the adaptive reuse of existing structures, with an emphasis on preserving affordability in both rent-restricted and naturally occurring affordable multifamily housing. Plans include developing supportive housing for homeless individuals and families, as well as creating opportunities for first-time, small-scale, community-based organizations.
Background Context
Detroit has been grappling with a pronounced shortage of affordable housing, prompting intensified efforts from public and private sectors to mitigate this issue. The city’s initiatives are designed to provide stable housing options for residents, aid urban revitalization efforts, and ensure that long-standing Detroiters across all income levels can reside in any neighborhood of their choice. These projects emphasize not only the construction of new housing units but also the rehabilitation of existing structures to maintain the city’s historical integrity while addressing modern housing requirements.
FAQ
What is the Fisher Body Plant redevelopment project?
The Fisher Body Plant redevelopment project involves converting the iconic Fisher Body Plant in Detroit into hundreds of new units of quality, affordable housing and commercial space. The funding comprises an $8.5 million performance-based loan and a $1.5 million performance-based grant, supporting the creation of 433 market-rate and affordable housing units, along with over 26,700 square feet of retail space and 17,685 square feet of co-working space.
What is The Ribbon project in Detroit’s East English Village neighborhood?
The Ribbon is an $8.2 million affordable housing community located in Detroit’s East English Village neighborhood. The project comprises 18 units, with 14 reserved for those earning at or below 80% of the Area Median Income (AMI), and four units designated for those at or below 60% of the AMI. The affordability of these apartments is guaranteed for the next 25 years. The development also includes retail space to be occupied by local businesses, contributing to the community’s economic growth.
What initiatives is the City of Detroit undertaking to address affordable housing?
The City of Detroit has allocated funds through the U.S. Department of Housing and Urban Development to strengthen public-private partnerships. These efforts aim to produce mixed-use, mixed-income multifamily housing developments in the city’s neighborhoods through both new construction and adaptive reuse of existing structures. The focus is on preserving affordability in both rent-restricted and naturally occurring affordable multifamily housing, developing supportive housing for homeless individuals and families, and providing opportunities for first-time, small-scale, community-based organizations.
Key Features of Detroit’s Affordable Housing Initiatives
| Project | Location | Units | Affordability | Completion Date |
|---|---|---|---|---|
| Fisher Body Plant Redevelopment | Detroit | 433 housing units, over 26,700 sq ft retail, 17,685 sq ft co-working space | Market-rate and affordable units | Ongoing |
| Villages of Parkside – Phase IV | Detroit | 54 units | 40% to 60% of AMI | Ongoing |
| The Ribbon | Detroit’s East English Village | 18 units | 80% and 60% of AMI | Fall 2024 |
| City of Detroit Initiatives | Detroit | Various developments | Mixed-income and affordable units | Ongoing |
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Author: STAFF HERE DETROITMI WRITER
DETROIT STAFF WRITER The DETROIT STAFF WRITER represents the experienced team at HEREDetroitMI.com, your go-to source for actionable local news and information in Detroit, Wayne County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as Movement Electronic Music Festival, Detroit Grand Prix, and America's Thanksgiving Parade. Our coverage extends to key organizations like the Detroit Regional Chamber and Focus HOPE, plus leading businesses in automotive and healthcare that power the local economy such as General Motors, Ford Motor Company, and Henry Ford Health. As part of the broader HERE network, including HEREGrandRapids.com, HERENorthville.com, HERENovi.com, and HEREPlymouth.com, we provide comprehensive, credible insights into Michigan's dynamic landscape.