Detroit Mayor Sheffield wants to build 1,000 new homes

Mayor of the city of Detroit, Mayor Sheffield, how are you? I am great, thank you. Do you like being mayor? You've been mayor now, what, a couple months? It's been 10 months, and I am honored, I'm blessed. Every day I wake up being able to serve Detroit, and just the love and support of Detroiters has been overwhelming. You don't have any free time. Not a lot of free time, but I didn't expect to have it. We have a lot to get done. But you really can't go anywhere. Can you just go in and just walk up into a coffee shop in downtown? No, not anymore. You really can't, can you? Not anymore. I did not expect. that was actually a surprise. The impact that it had on my personal life, I did not expect that to happen so quick. But again, Detroiters are the best. The love and support here is unmatched. You're cautious, aren't you? You were a little bit worried. But you are, though, aren't you? It's like every time. Does that drain on your brain? I mean, it has to a little bit. A little. But again, I'm learning and managing and navigating it all. Ultimately, Detroiters put me here. I have work to do. And I'm just excited about the future of our city. And so that's what keeps me busy and keeps me up every night. I've seen you give a lot of speeches over the years when you're president of the city council. And now I saw this one today. Yes. I don't know if you've been happier as the mayor. You're building 1,000 homes in what, four years or so? Our goal is 1,000 homes by 2031, 250 homes per year. Every single city department that touches a home will be involved in this to ensure that we're expediting the process, making it easier for developers to build homes. And it's really about restoring our neighborhoods. We had a huge foreclosure crisis. We had a huge and a significant amount of funding towards demolition, which was rightfully so needed in our city. But now as we drive through Detroit, we see vacant lots. And we want to rebuild that and bring neighborhoods back and bring families and homeownership back into our neighborhoods. You campaigned on this issue. I did. That's a big deal for you. I did. downtown got the red set which was just approved the community development project we'll talk about that later um but these vacant lots okay so give me give me the nuts and bolts so essentially what we're doing um number one is we're making it easier to build so we have a zoning reform that is going to be before the city council very soon that would make it a buy right for developers to build on vacant lots in our city so if i'm a developer then i can bid for a vacant lot no you can you can develop by right which means you don't have to go through additional zoning requirements it is by right that you can build on that particular lot. So that makes it easier. It saves time. It reduces costs as well. We also have pre-approved designs, which means you can look through a catalog of designs and say, hey, I want to choose this one. And then you have less permitting and less cost to deal with to actually build homes. Secondly, we are going to target public resources to unlock private investment. So we're going to actually bundle properties through the land bank with our housing department to put out a request for proposals for developers to say, I want to build in these particular areas as well. let's go to the let's go to the i'm fascinated by i love this this is good stuff so uh because because you want housing housing is a big deal yeah but only about what was a 50 i think i looked about this about 50 percent of residents in detroit own their own home yeah that's a large number isn't it yeah yeah we do in detroit was a city of homeowners you know when i think about my grandfather's generation they came to detroit from down south because of homeownership because of great jobs and it was about the middle class and so yes we want more homeowners we have an amazing down payment assistance program that has helped almost 800 residents become homeowners we're going to pair that down payment assistance program also with these new homes that we're constructing as well is part of this if it's a dilapidated home are you guys going to knock the home down and then that'll become part part of it great question residents have access well what about the you know the homes on our on our street that need to be rehabbed we won't count those towards our 1,000 but we are going to be monitoring uh significant investments of a hundred thousand dollars or more in those rehabs towards you know rebuilding our neighborhoods however they won't count towards our goal so it could be more it could be more it can be more yes i mean last year i took a look here you've got about you did about a hundred homes or so yes new construction and you wanted 250 a year we want 250 we i have an ambitious goal of building up our neighborhoods we believe that detroiters are in need of housing in the city uh more more detroiters want to become homeowners and we want to grow our population and a part of that is rebuilding our neighborhood, starting with homes. Now, you've talked to developers. I know some of them are there today. They built in Indian Village and Western Village. That's a hot area. That's a really hot area. It is. Beautiful area. So if I'm a builder or developer, I guess the same, I guess, do I bid then on a block of vacant lots? Yeah. So again, we will bundle properties in certain areas where the market is ready for new construction homes and developers can then bid and say, hey, I want to develop in this particular area. We also will be offering subsidies to help because Oftentimes, there's gaps that are a part of the capital stack to get this stuff done. So we'll offer subsidies as well to help those developers build those homes. Do you know the size of the homes, roughly? So one bedroom, two. It could be duplexes, townhomes. We call it one to four. And so it could be a single-family home or it can be a duplex. We want to make sure that they're new construction and they offer the ability for home ownership. But you're talking about, I mean, $200 a square foot to build a brand-new home-ish? even if it's a thousand my man it's about 200 000 a home yeah that's a lot of money it can be very costly and so the goal of what we're trying to do is reduce costs as much as possible so we're clearing out the the vacant land trying to get the site prepared which will reduce costs for the developers providing subsidies to cover the gap to keep costs low for the buyer to be able to afford these homes so our goal is to try to keep them as affordable as possible you think it's gonna be less than 200 i don't want to commit but my goal is to try to keep them again and a reasonable amount where, you know, middle-income families can afford these homes. Okay, now, I'm a middle-income family. This is not affordable housing. This is a different concept, right? All right, let's talk about the concept then. I want to buy a home. I mean, I don't know how much they cost, but they're probably in the $150 to $250 range-ish. I think it has to be. So how do I afford it? I mean, are you going to help with the down payment? Yeah, so as I mentioned, we have a down payment assistance program right now. We've helped 800 Detroiters. we are anticipated to help an additional 450 this year. I think it's important that we also acknowledge that this administration is all about economic empowerment. So while we're building new homes, we are also working on raising the incomes of Detroiters, making sure people are connected to good paying jobs, right? Good careers that they can sustain themselves and their families. We're moving families out of shelters into permanent supportive housings so that they can be prepared to purchase a home. So we're working on the income part as well too, but we're also providing the opportunity for those who are ready to purchase homes to have access to them. Will Detroiters get priority? We'll always find a way to make sure that this is set aside for Detroiters. But the details of that, we have to make sure legally we can do that. But again, we want this to be for Detroit. And we also do want to welcome those who want to come to Detroit as well, too. But we want Detroiters to have access to these homes. Is the goal, maybe it's twofold. Are you trying to get people from the suburbs to move into the city? Or is it people that are renting now to buy? Yeah, we want those who are renting, of course, in our city to have access to quality housing options, and homeownership is one of them. They should be able to achieve the American dream right here in Detroit. But also, we want people in neighborhoods where there's vacant lots all around them to be able to build up and restore their communities, and that is what this is about. I mean, if I live next to a vacant lot... Exactly. Okay, but then you're going to put a house, fairly substantial house, on it. doesn't that help the property value of my house property values will increase it will contribute to the overall fabric and real being of a neighborhood so this is a stupid question for highlights a lot of stupid questions but nevertheless do you think that because you build all these good houses that you that you may push some of the people out of the term because the rent may go up on a house if the property values go up yeah you know our goal is of course is never to push anyone out and we are only going to go into neighborhoods where community wants to see this type of development where the market is already ripe for these types of new homes again we will be working to ensure that detroiters have access to these homes to make sure that there are as affordable as possible and that we are providing some type of support through down payment assistance and we'll continue to ensure that again detroiters are not excluded but our participants let's hold that thought we're not on the mayor of the city of Detroit, Mayor Sheffield new homes in the city of Detroit, how good is that for the city of Detroit? We want to know what you're thinking uh you can text us you can call us and Detroit Talk City back after this break so you want to zoom on Fox 2, we want you to zoom on Fox 2 but we want to make you look and sound really really good so four easy steps first of all take the phone and turn it on its side we want you to fill up the entire screen then you got to look around and you've got to find the light remember We want the light in front of you, not behind you. That's good. And then, Zoom mic. We want all of And finally, turn down the television like I'm going to do right now. We want to hear you, not the TV. All right, let's review these easy steps. First, flip it, light it, unmute it, and turn. Then you are ready to Zoom on Fox 2. remember you can be a part of Fox 2's Detroit Talk City and the sports office just zoom in live Detroit Talk City are you excited for Project 1000 a thousand homes brand new being built in the city of Detroit it's been a campaign promise by the mayor of the city of Detroit, Mayor Sheffield thank you so much for joining us all right we do want to hear from you you can text us or call us 313-765-8844. All right, want to take some texts? Let's do it. Let's do it. We have a couple of them. Here's the first one. I am a Detroit native living in Clinton Township, wanting to buy a home in the city within the next 45 days. Are there any grants to help the middle class people? I applied for a Move Detroit program, but wasn't accepted. So the Move Detroit program is actually a new program to get Detroiters to stay, return, and move to Detroit. That was a partnership with Gilbert Foundation, and we're very excited about that because we've helped over 313 Detroiters get access to down payment assistance, business support, and more, but it's only for a targeted amount of people. So I would say to this particular person, we do have the down payment assistance program, which gives up to $25,000 to eligible Detroiters who are interested in purchasing their first home. to please reach out to our housing services department, and that is 1-866-313-2520. We would love to find ways to support you to become a homeowner here in the city of Detroit. Do they have to live in the city of Detroit to get that $25,000? You do, but she says she lives in Clinton Township. Oh, you're in Clinton Township waiting to come back home to Detroit. Yes. You know, let me, I would love to work with her to see if there are some ways to support, but the Move Detroit coalition that we just announced was a way to attract people like her to come back to Detroit. The city officials in Clinton Township say, wait a minute, stay over here. And we want you back home, so we'll find a way to find some support for you. All right, let's take another text here. Project 1000, awesome. But with the rise of new homes, is there a plan to better our transit system? Good question. Most definitely. I'm very excited that the millage was just recently approved. That millage will give us, as a city, an additional $8 million to invest in our transit system here in the city of Detroit. We actually plan to enhance and bring now something called microtransit to Detroit, which is almost like a rideshare program that will supplement our DDOT system here in the city of Detroit. As you all know, we've made major improvements in our transit in Detroit. We have over 40 new buses on the road. We're improving our efficiency and routes in Detroit, and we will continue to make those major investments. We've updated shelters and seating throughout Detroit as well, too. And that is something that's always on our radar as a city to make the system more efficient for our riders who use the system. And the transit system is a big key to moving around the city as well. We did the Joe Louis Greenway. That's another thing you're going to connect. There's all kinds of things going on. Do we have no more time? We're out of time. Let's take a moment. Everyone wants to talk to you. Here it is. Are you focusing on middle class? uh what about lower class citizens how are you going to help them yeah i mean most of my work really is about empowering um you know low-income families in Detroit to achieve economic mobility we as i mentioned we have targeted through our Homeless to House initiative nine million dollars in our general fund to move individuals and families in shelter into permanent supportive housing and so i'm very very proud of that program we also are consistently pushing for affordable housing throughout every project in the city of Detroit. Hold that thought. Let's do it. We've got a lot more time here. The mayor of the city of Detroit, Mary Sheffield, is with us and the Zoom room is open. Are you excited for Project 1000? More after the break. Advertising. Detroit Talk City, I'm your host, Charlie Light. And are you excited for Project 1000? A thousand, I know they're the mayor of Detroit, a thousand homes, new homes being built by the 2031 winter term. It's actually going into the next term. So we'll have to see, you know, if I stay or whoever else comes after I have to continue. Oh my gosh. All right. Let's take some text messages. All right. Let's take this one here. I just signed my lease for the fourth year on section eight in Warren, but would love to own a home and would love to use my first time homebuyer grant in Detroit am I eligible for the Project 1000 yeah so project 1000 as you know is just we just announced it today and so we're in the process now of building the home so it will take some time for us to actually have the homes ready for residents and people to move into them and so i would say just stay tuned we are actively and aggressively building homes starting in 2027 we should start producing hopefully that 250 per year but again the down payment assistance program I just want people to understand if you live in Detroit, you have access to that. Charlie, we did mention about making sure that people understand the importance of, you know, we have a lot of residents who are renting right now. And they spend $1,200, $1,300, $1,400 in rent where they can actually use that and pay a mortgage and become a homebuyer. I've said that thousands of times. If you're paying $1,200, $1,300 in rent, you can get a loan. You can get a loan. Most banks will give you the loan. And built by the city of Detroit, backed by the mayor, how can you lose? How can you lose? Unbelievable. All right. Let's take another text here. Will this affect the ability for homeowners to have priority to purchase the vacant lots next to their homes? That is a great question. No, we never want a situation where we have, especially generational Detroiters that have been next to vacant lots who have been maintaining those lots and are trying to get access to them, but they're prevented because of development. So to answer that no, we want to make sure that residents who want those vacant lots next to them can use them for the uses that they see best for we're only bundling lots again that are not being utilized and that can benefit the overall market to uh to build these new homes yeah so you so you've got a lot of i mean you've got to come up with different plans for each area divide the divide the plans and it's going to be all within the whole city Detroit our goal is to have these in every council district so that no district is left out or no neighborhood is left behind but we also have to go based on where the market is right and ripe for a new construction homes. What do you think the hottest district is in Detroit? All of them. I would never pick one over the other. Every area of our city has something special to offer. I try. I'll do another text here. I want to know where do you go to apply for affordable housing? Great question. I would always direct people to go to our housing resources hotline number. That is 1-866-313-2520. If you call that number, they can help direct you to what is available, what opportunities we have as it relates to affordable housing as well too. And there also is a website that people can go to to see affordable housing opportunities and they can direct you to that website as well. And just so we're clear, affordable housing is a different concept than the Project 1000. That is different. You know, affordable housing typically is rental apartments for Detroiters that are below 80% of the area median income. This Project 1000 is, we do want to make it affordable, but it is primarily for new home owners who are purchasing new homes here in Detroit. But if you've got a bundling of the developers, you've already have the designs, you've got the banks. I mean, that's a lot of work taken down. It should lower the price. I was thinking of the text here. I know Detroit has a reparations task force. Are there any plans to couple that with Project 1000? This is actually a very great question. And our administration, as you know, I led the reparations movement in Detroit. We put it on the ballot. Over 70% of Detroiters voted in favor of it. we do have the recommendations from the task force and we're figuring out ways now how to implement some of these things one of which could be do we prioritize you know uh legacy detroiters to have access to these homes as you mentioned already and so that is something that we can continue to discuss and see if it's feasible but we'll love to figure out how to maybe implement something like that find a great great question that's a great question find a bank guarantee the the uh the down payment right and it's all it's it's in question um you want to talk about property tax reform real quick. That's another part. I just wanted to mention that because when we talk about homeowners, you have to pay property taxes. And we know that we have some of the highest property taxes in the country in Detroit. This is also something I campaigned on. And I just wanted to let Detroiters know that we are working so hard to have a comprehensive package that we bring forward next year to our state legislature that will, number one, structurally reduce property taxes for Detroit, but then also create a new revenue stream to bring in revenue to Detroit to offset the reduction in property taxes. So we hope that 2027 will be a very fruitful year of a lot of tense discussions around property taxes here in Detroit. Are you looking forward to going to the legislature? We are, and we know that it will be different, and hopefully to our favor to actually make some good changes. But a couple of property tax reform would be good for the city of Detroit and overall for the state of Michigan, though. Overall for the entire state, yeah. But Detroit significantly will hopefully see a reduction. What's the most fun thing you've done as mayor? Our young people. Spending time with our youth. They are so inspired by my election to mayor and to see their faces and really to see themselves in me that they can do it as well, just always excitement, it's always fun. Have you married anybody as mayor? You can do that now. Have I? Have you married anybody? No, I have not married anyone. Call her. You would do that. I would. Thank you. Thank you, Charlie. I appreciate it.