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LEO | Gov. Whitmer Awards $72.5M in Blight Elimination Funds to Create Housing Opportunities, Strengthen Communities Across Michigan

Michigan Business Network
February 22, 2024 11:00 AM

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LANSING, MI – Today, Gov. Gretchen Whitmer announced recipients of $72.5 million in grants from the State Land Bank Authority (SLBA) to support projects that convert underutilized land into affordable housing opportunities and build safer, more prosperous communities through the final rounds of the Blight Elimination Program

“Blight elimination is vital for the well-being and future success of our state,” said Gov. Gretchen Whitmer. “Removing and rehabilitating blighted properties creates a ripple effect of positive change that not only reclaims neglected spaces but fosters economic growth, enhances safety and bolsters community pride. Our commitment today is an investment in the long-term prosperity and vitality of our state, ensuring that future generations have access to thriving, vibrant neighborhoods where they can live, work and prosper.”  

These funds are part of ongoing, statewide blight elimination efforts and were awarded in two rounds to be used for demolition or stabilization of public or privately-owned structures as well as environmental remediation or rehabilitation.  

“These dollars are not just figures on a balance sheet, they signify a tangible investment in Michigan’s future,” said Susan Corbin, director of the Michigan Department of Labor and Economic Opportunity and chair of the State Land Bank Board of Directors. “The distribution of funding in rounds three and four represent the culmination of a historic contribution to land banking and blight elimination that will make a real difference, revitalizing neighborhoods, stimulating economic growth and fostering a sense of pride and possibility across our state.”  

Under round three, $43.5 million was awarded to local county land banks and the Detroit Land Bank Authority. The Michigan legislature earmarked $2.5 million to each of the ten land banks and/or State Land Bank Municipal Partnership with the largest inventory numbers and $500,000 to each of the remaining county land banks.  

Under round four, $29 million was awarded using a statewide competitive grant program open to all land banks, as well as municipalities or counties not served by a county land bank. Of those funds, nearly $6.5 million is aimed at stabilizing structures for future reuse, which includes housing, and $7.6 million is being directed toward rehabilitation of structures, which is mostly residential. 

“Building new and rehabilitated housing in our built environment is a challenge, but we are up to the challenge and recognize that it’s an essential piece of growing our state,” said Amy Hovey, CEO and executive director of the Michigan State Housing Development Authority. A significant portion of these Blight Elimination grant dollars are being used to support affordable housing – adding another layer of support to the state’s efforts to provide innovative funding to solve problems locally and address Michigan’s housing needs.”   

Last year, round one of the program provided nearly $8 million in grant funding to address 198 properties across Michigan. Round two provided a competitive grant process with $13.5 million awarded to 43 counties for demolition, renovation, and stabilization of blighted properties. Details of all awards made in rounds one through four are available on the State Land Bank website. 

“We are committed to transforming blighted properties into community assets and affecting permanent, positive change in communities of all sizes across Michigan,” said Joseph Rivet, director of the SLBA. “We’re reshaping landscapes and ensuring that every dollar invested translates into tangible improvements that benefit our entire state.” 

To learn more about the SLBA’s efforts to improve communities across Michigan, visit Michigan.gov/landbank. 

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