Detroit’s skyline tells a story. The high-rises, the vacant lots, the historic architecture still standing resilient—it’s a city built from hard work, dreams, and perseverance. But as Detroiters know, housing remains at the heart of the city’s future. On Tuesday, the Detroit City Council made a unanimous decision that could shift the landscape of affordable housing in the city. Mayor Mike Duggan, who has long championed housing as a top priority, stood alongside mayors from across the Midwest in a powerful call for the federal government to place housing as its highest priority.
In a city with a population of nearly 80% Black residents, Detroit faces unique and complex housing challenges. For years, residents have voiced concerns over rising rents, aging housing stock, and the limited availability of affordable housing. This ordinance represents a meaningful attempt to address these issues and provide a path toward safe, affordable homes for more Detroiters.
The ordinance, known as the Fast Track PILOT (Payment in Lieu of Taxes) program, promises to make affordable housing development more feasible for local builders by cutting through red tape and offering substantial tax incentives. Under this program, developers can secure a 15-year tax break, renewable for another 15 years, providing the kind of stability necessary to fund long-term projects. Duggan emphasized the unique opportunity this ordinance presents: “If you build more housing and guarantee those rents will be subsidized, you can build it easier and faster in Detroit than any place else,” he said.
For Detroiters earning around $39,000 annually or less, this initiative could be a game-changer. The ordinance proposes that developers pay just $100 per year in property taxes on one-bedroom units rented at rates affordable to this income level—a stark contrast to the original $600 tax structure. This reduction could spark a surge in affordable housing projects across the city, potentially adding $1 billion to the already significant $1 billion Duggan has touted in affordable housing investments over the past five years.
This move by Detroit’s City Council comes at a critical time, not only for the city but for the nation. Affordable housing has become a pressing issue in urban centers from coast to coast. Cities like Detroit, which endured decades of economic hardship, see the struggle for affordable housing as intertwined with a larger fight for equitable community development. Duggan, in his third term and seen as a potential candidate for governor, has continued to place housing at the forefront of his agenda. But he is not alone in his call for change.
Tuesday’s announcement occurred during a conference organized by the U.S. Conference of Mayors, bringing together leaders from Michigan and Ohio in a bipartisan show of unity. Mayors representing both urban and suburban communities rallied behind the call for a “Marshall Plan” for housing—an ambitious, large-scale federal initiative similar to the one that rebuilt Europe after World War II. Columbus, Ohio’s Mayor Andrew Ginther voiced the urgency, stating, “We are demanding a Marshall Plan for housing in the first 100 days of the next administration, regardless of who wins this election.”
The united front was striking. With mayors of differing political affiliations, from cities that don’t often mix during football season, as Ginther lightheartedly noted, there was a sense that housing had transcended politics. Leaders advocated for increased federal investment in programs such as the Low-Income Housing Tax Credit, Community Development Block Grants, and Section 8 vouchers. For cities like Detroit, these federal programs are lifelines that have sustained many housing initiatives for years.
Lima, Ohio Mayor Sharetta Smith spoke to the complexities underlying the housing crisis. She described it as a “three-headed monster”—the trifecta of stagnant wages, an aging housing stock, and an excess of undeveloped lots. It’s a stark assessment that highlights the reality for many working-class Detroiters and low-income families who are simply trying to make ends meet while keeping a roof over their heads. The housing affordability crisis has become a vicious cycle, fueled by issues both economic and structural, and it will require substantial investment to overcome.
The national spotlight on affordable housing has been growing in recent months, particularly as Vice President Kamala Harris has emphasized it in her campaign. Harris has proposed incentives for builders and first-time homebuyers, approaches that mirror some of the goals of Detroit’s PILOT ordinance. Former President Donald Trump, meanwhile, has advocated for policies like building on federal lands and reducing immigration, arguing it would increase housing availability. Economists, however, have raised concerns about Trump’s approach, noting that deporting immigrants could gut the construction industry, which heavily relies on immigrant labor.
While the political debates continue to rage at the national level, Detroit’s new ordinance brings housing solutions to the local stage. Alongside the affordable housing ordinance, the City Council also passed a rental compliance ordinance aimed at improving safety standards in rental properties. At the time the ordinance was introduced, city officials reported that only about 10% of Detroit’s rental units were up to code. This new regulation seeks to address that gap by holding property owners accountable and ensuring residents live in safe, quality housing.
As John Roach, a spokesperson for Mayor Duggan, explained, the compliance ordinance is expected to take effect sometime next year, while the PILOT program could roll out sooner. This dual approach—expanding affordable housing while enforcing quality standards in existing units—aims to tackle the housing crisis from multiple angles.
In a city with deep-rooted economic disparities, these ordinances carry the hope of a more just and equitable Detroit. They also mark a step toward breaking down the barriers that have long kept Black and low-income Detroiters from accessing quality, affordable housing. The passage of these measures reflects a commitment from Detroit’s leaders to not only address housing but also to create lasting change for future generations.
As Detroit moves forward, these policies represent more than just legislation; they represent an opportunity for transformation. The fight for housing equity will not end with these ordinances. But for a city and its people, who know struggle and resilience better than most, this is a pivotal moment. The hope is that this new chapter will set Detroit on a path where all its residents—regardless of income or background—have a place to call home.
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