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DETROIT’S SOLUTIONS
TO A CENTURY OLD PROBLEM
Building and maintaining wealth has been historically and systemically difficult for people of color in our nation. Detroit was no exception. In the 1950s and 60s, Black Bottom and Paradise Valley, predominantly black neighborhoods, were demolished for redevelopment, leaving residents without property ownership.
These types of actions drained Black wealth and denied the next generation a stepping stone to financial freedom. In partnership with the Detroit City Council and with funds from the American Rescue Plan Act (ARPA), Mayor Duggan and the City of Detroit have committed to rebuilding wealth for Detroit's Black neighbors, focusing on three key drivers: homeownership, education and entrepreneurship. Find out more from the Housing and Revitalization Department.
Generational Resilience
in Detroit's Black Community
Welcome Home, Welcome Wealth
City leadership intends to narrow the race wealth gap through projects like the Down Payment Assistance Program (DPA) that offers up to $25,000 grants for eligible first-time homebuyers. Mayor Duggan’s vision is to encourage renters to become homeowners to help Black Detroiters rebuild their wealth.
It’s working. In 2023, more than 400 Detroiters became first-time homeowners after Round One of the $12 million, ARPA-funded DPA Program.
University of Michigan. (2023). The Growth of Housing Wealth in Detroit Neighborhoods: 2014-2022.
Start Smart: Debt-Free Education
Education is a trusted path toward building wealth. But tuition costs have soared out of reach for many people of color. Mayor Duggan, along with the Detroit City Council, created the Detroit Promise Scholarship to provide last-dollar funding, ensuring eligible Detroit trade, community college or four-year university students will graduate debt-free. Detroit Promise has awarded over $10 million in educational scholarships.
When it came time for college, Jason Philpot, graduate of Cass Technical High School, rested easily, knowing the Detroit Promise Scholarship would afford his family a tuition-free education. Jason plays running back for Central Michigan University, where he studies dietetics. He is confident about his future, knowing that he will graduate unburdened by student loans.
Detroit at Work, a $100 million scholarship program, serves Detroit residents 18 and older who are seeking their first job, a career change or advancement by providing over 40 programs for career-building or entrepreneurial ventures.
Detroit Rewards Business Brainiacs
When the 300+ Black businesses were destroyed in Paradise Valley in the 1960s in the name of urban renewal, Detroit lost untold millions in generational wealth. To rebuild that loss, the City of Detroit and partners created the Motor City Match to award grants to assist new business owners from conception through ribbon cutting. These grants are expected to generate more than $102 million in business investments.
James McKissic wanted to expand the family business by moving to the Avenue of Fashion. “It was important that I live in the community where my business is.” With the Motor City Match grant, McKissic is able to fulfill his dream. He plans to leave the business to his daughter as a part of his family legacy.
With All This Success, What's Next?
Detroit stands peerless among the nation's leading cities. As it focuses on rebuilding black generational wealth, Detroit invites you to join our efforts by participating in programs and grants that build a wealth legacy for people of color.