Detroit's Demolition Effort Under Fire as Land Bank Inventory Dwindles.
The city of Detroit has made significant strides in its effort to clear out abandoned homes since Mayor Mike Duggan took office in 2014. Over the past decade, the city has demolished approximately 27,000 vacant houses and sold another 19,000 for renovation, exceeding the initial targets set by the city.
In 2014, Detroit's land bank authority had an estimated 47,000 abandoned homes under its control. However, this number has dwindled to just 942 as of this month, according to a final report released by Duggan ahead of the closeout of Proposal N, a voter-approved bond program that funded the second phase of demolitions.
While the city has made significant progress in clearing out vacant properties, an ongoing environmental cleanup effort is now tied to the final closeout of Proposal N. Contaminated soil used at some demolition sites has raised concerns, and officials are working with environmental consulting firm Mannik & Smith Group to test every site where contaminated soil is suspected.
According to Duggan, 240 of the remaining homes are slated for demolition within the next six months, while 702 are expected to be sold to buyers willing to renovate them in 2026. The city has set aside $15 million in Proposal N closeout funds to address soil remediation, making it unlikely that the cleanup will affect Detroit's finances.
Despite the challenges, Duggan says the effort is one of his administration's most satisfying accomplishments. "Homeowners who stayed in Detroit and never left were the ones who gained the most wealth," he said. A University of Michigan study released earlier this year found that Detroit homeowners gained a total $4.6 billion in home equity between 2014 and 2023, with appreciation recorded in every neighborhood.
However, the investigation into Iron Horse's operations is ongoing, and contractors who intentionally used unapproved soil sources may face fraud charges. The state Department of Environment, Great Lakes, and Energy (EGLE) is overseeing the investigation, which has intensified this year after investigators determined that contaminated soil may have been used at dozens of residential demolition sites.
While the city continues to make progress in its effort to clear out vacant properties, the ongoing environmental cleanup effort raises questions about the effectiveness of the city's approach. As the final closeout of Proposal N nears, officials must ensure that the cleanup is thorough and that responsible contractors are held accountable for their actions.
The city of Detroit has made significant strides in its effort to clear out abandoned homes since Mayor Mike Duggan took office in 2014. Over the past decade, the city has demolished approximately 27,000 vacant houses and sold another 19,000 for renovation, exceeding the initial targets set by the city.
In 2014, Detroit's land bank authority had an estimated 47,000 abandoned homes under its control. However, this number has dwindled to just 942 as of this month, according to a final report released by Duggan ahead of the closeout of Proposal N, a voter-approved bond program that funded the second phase of demolitions.
While the city has made significant progress in clearing out vacant properties, an ongoing environmental cleanup effort is now tied to the final closeout of Proposal N. Contaminated soil used at some demolition sites has raised concerns, and officials are working with environmental consulting firm Mannik & Smith Group to test every site where contaminated soil is suspected.
According to Duggan, 240 of the remaining homes are slated for demolition within the next six months, while 702 are expected to be sold to buyers willing to renovate them in 2026. The city has set aside $15 million in Proposal N closeout funds to address soil remediation, making it unlikely that the cleanup will affect Detroit's finances.
Despite the challenges, Duggan says the effort is one of his administration's most satisfying accomplishments. "Homeowners who stayed in Detroit and never left were the ones who gained the most wealth," he said. A University of Michigan study released earlier this year found that Detroit homeowners gained a total $4.6 billion in home equity between 2014 and 2023, with appreciation recorded in every neighborhood.
However, the investigation into Iron Horse's operations is ongoing, and contractors who intentionally used unapproved soil sources may face fraud charges. The state Department of Environment, Great Lakes, and Energy (EGLE) is overseeing the investigation, which has intensified this year after investigators determined that contaminated soil may have been used at dozens of residential demolition sites.
While the city continues to make progress in its effort to clear out vacant properties, the ongoing environmental cleanup effort raises questions about the effectiveness of the city's approach. As the final closeout of Proposal N nears, officials must ensure that the cleanup is thorough and that responsible contractors are held accountable for their actions.