A couple of Detroit development projects have recently been approved for loans and funding assistance from the Michigan Strategic Fund, the Michigan Economic Development Corporation
recently announced. Two projects, the construction of the M-1 Rail
and the demolition of Joe Louis Arena, will receive $16 million from the fund.
"Michigan is America’s Comeback State, and these projects add to our growing momentum," said Gov. Rick Snyder in a statement. "These new investments in our state will strengthen our communities, spur new commercial investment in our cities and fuel new opportunities for our talented workforce."
The M-1 Rail, a 3.3-mile light rail system that will stretch from downtown to New Center, is set to receive a $10 million loan from the Michigan Strategic Fund. The $10 million Michigan Business Development Program performance-based loan has been awarded as result of the $130 to $140 million in capital investment and up to 41 permanent jobs that the construction of the line is expected to create.
While some specifics for the project remain, the $10 million in loans provided by the Michigan Strategic Fund should bring the M-1 Rail closer to reality. Recently, the first phase of construction began as crews have started utility work downtown. The M-1 Rail is a curbside light rail system that will stop at 11 planned stops along Woodward.
The current home of the Detroit Red Wings, Joe Louis Arena, will be demolished once a new hockey arena has been built in the lower Cass Corridor. Though nothing has been announced for the future former home of the Red Wings, the riverfront location is poised to receive major development interest.
Anticipating major commercial investment dollars, the Michigan Strategic Fund has approved up to $6 million in Michigan Community Revitalization Program performance-based economic assistance to go toward demolishing the arena. Joe Louis opened in 1979.
Source: Michigan Economic Development Corporation press release
Writer: MJ Galbraith
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