Wednesday, August 23, 2006

Two Detroit redevelopment projects get tax credits

Two proposed development projects in downtown Detroit have moved a step closer to becoming a reality.

Last Tuesday, MEGA - the Michigan Economic Growth Authority - approved a $6.8 million brownfield Single Business Tax credit (SBT) that will be used to renovate the
Fort Shelby Hotel at 525 West Lafayette in Detroit.

MCP Development LLC plans to turn the historic, 1918-building into a 204-room Doubletree Guest Suites Hotel with 63 luxury apartments. A 38,000-square-foot conference center is also part of the project plan, which will roll out in two phases.

The Albert Kahn-designed building, which has stood vacant for nearly three decades, is set to receive a $68.9 million makeover. An estimated 374 new jobs will result.

Broderick Tower

MEGA also awarded a $3.9 million brownfield SBT to Motown Construction Partners LP for its plans to redevelop the nearly-vacant Broderick Tower in Detroit's Grand Circus Park area.

Formerly known as the Eaton Building, the Broderick Tower will contain first-floor dining and retail, three floors of commercial space and 29 floors of apartments. The project has more than $38 million in private investment behind it and is expected to create 95 new jobs.

Created in 1995 to promote economic growth and job creation, MEGA tax credits have generated more than $11.5 billion in private investment and created nearly 120,000 jobs in Michigan.

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