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Some rents in downtown Detroit, Midtown and Corktown may not be on par with Manhattan, but they are starting to compare to other big cities like Chicago.
That could get worse, and that may spell bad news for low income residents, writes Candice Williams of The Detroit News:
City officials fear Detroit could lose as many as 10,000 affordable housing units in buildings with expiring low-income housing tax credits in the next five years, threatening massive displacement of renters.
A bulk of properties are coming up on the end of a 15-year compliance or renewal period now through 2023, according to the city. Most at risk are areas ripe for redevelopment, including downtown, Corktown and Midtown.
Margaret Dewar, a professor with the University of Michigan who has researched the issue of low-income housing tax credits, believes the figure could be as many as 7,000 housing units through 2022 and a major threat to the city's low-income housing stock.
Williams writes that the loss of tax credits could leave property owners wondering if it's worth renting out their properties. Instead, they might be tempted to sell to developers who would increase rents with market-rate units.
