SHORT-TERM INTERVENTION STRATEGY

DETROIT, July 27, 2011—Mayor Dave Bing today announced a short-term intervention strategy will be implemented as part of the Detroit Works Project using data, and input from the community, to guide decisions about where to concentrate some city services and investments.

Mayor Bing told the crowd gathered at the Odd Fellows Great Room in Southwest Detroit that the short-term intervention strategy is not a deviation from the original Detroit Works Project focus of creating a long-term vision for the city.  He said the 28 community meetings attended by nearly 10,000 Detroiters and other encounters with citizens since the project launched made it clear that action was needed in the short-term as the long-term vision is continuing to be developed.

The decision to realign how some city services and investments are allocated was primarily based on an analysis of existing market conditions in Detroit neighborhoods.  Local and national experts examined the physical conditions and market trends.  Data reviewed included conditions of housing stock, vacant land and homes, median sale price of homes, subsidized rental stock, dangerous structures, and foreclosures.

From the analysis it was determined there are three market-types in the city of Detroit: They are:

• Steady: Homes in good physical condition with the majority being owner-occupied.  Homes in steady markets typically are valued high.  There are limited vacancies in steady markets and a relatively stable population.
• Transitional: Dynamics of the market are changing; have a relatively high presence of bank-owned properties; a mix of rental and owner-occupied homes; and in a transitional market there has been some vacancy and some population loss.
• Distressed: Shows signs of long term physical decline; near absence of market activity; high vacancy rates; and high concentrations of vacant land.

“Each market is different and has its own set of circumstances,” said Mayor Bing.  “The data provides us with a clearer picture as to how our city government can be more effective at concentrating our limited resources based on the needs of the specific type of market.”

In the next 14 days the city of Detroit will begin to concentrate some services and investments based upon the specific conditions of the market.  The types of services being realigned are Blight Elimination, Infrastructure Improvements, Land Use, Beautification, and Economic Development.

Mayor Bing said the new market concentration approach “will benefit the entire city” and he reinforced that parts of the city are not being shut down, weekly trash collection is not being eliminated, and calls for police and fire services will not stop receiving a response.

To track the effectiveness of the new short-term strategy three Demonstration Areas have been identified.  All three areas have steady, transitional, and distressed market types existing within their borders.  The three Demonstration Areas are:

• Hubbard Farms / Southwest: This area is generally bounded to the north by Vernor and Toledo, to the east and south by I-75, and to the west by Woodmere.
• Boston Edison / North End/Virginia Park: This area is generally bounded to the north by Boston Boulevard and Holbrook, to the east by I-75, to the south by West Grand Boulevard, the rail road and I-94, and to the west by Linwood.
• Bagley/Golf Club/Green Acres/Palmer Woods / Sherwood Forest / University District: This area is bounded to the north by Eight Mile to the east by Woodward, to the south by McNichols and to the west by Wyoming.

In the Demonstration Areas the city will 1.) Apply the same market approach service delivery model the rest of city will be receiving; 2.) Leverage foundation, state, federal, and non-profit investments and actions along with city resources; 3) Engage and work closely with CDCs, nonprofits, block clubs, and churches to gain more knowledge about the markets in each area.

After approximately six months a new neighborhood analysis will be conducted in the three Demonstration Areas.  Findings will be used to evaluate the impact of the interventions, and adjusted accordingly to ensure the right interventions are being used to build market strength.