Detroit, which covers 139 square miles, is a relatively large city by land area. This land area was not particularly remarkable during the city’s peak economic period in the 1950’s, in which the city was home to a population of almost 2 million people. However, the subsequent economic decline has resulted in an astounding exodus, leaving the 2010 population at 714,000. Today, Detroit’s land density more closely resembles the densities of newer, sprawling, Sunbelt cities like Dallas and San Jose, rather than industrial peers like Chicago.
The economic costs of this degree of sprawl are daunting. Even as the tax base has declined, government services such as mass transit, lighting for roadways and snow removal are being spread over Detroit’s outsized land area and are thus more expensive than should they be for a city of its current size. Moreover, as opposed to low-density Sunbelt cities, Detroit’s landscape is populated by approximately 60,000 abandoned properties. Detroit’s rental and home vacancy rates are the second highest of all U.S. cities, behind only Las Vegas (http://www.forbes.com/2009/02/12/cities-ten-top-lifestyle-real-estate_0212_cities_slide_16.html). These vacant properties attract crime and simultaneously dampen enthusiasm for economic development while requiring high levels of police services.
These steadily mounting public costs are currently being addressed by Detroit’s mayor, Dave Bing, through an initiative called Detroit Works (http://detroitworksproject.com/). The goal of the initiative is to provide an incentive for the formation of denser city neighborhoods. Mayor Bing hopes that this goal can be accomplished by scaling public services according to the economic viability of each city neighborhood. Demonstration zones are currently being setup in all three neighborhood types, defined as distressed, transitional, and steady, in order to track the effectiveness of the new system. Large funds are also being put towards the demolition of 10,000 dangerous, abandoned homes by 2013.
In addition to government initiatives, private funds from investors and entrepreneurs are being put towards ventures like Techtown, a business incubator, through Southeast Michigan’s New Economy Initiative (http://neweconomyinitiative.cfsem.org). Interestingly, the same concerns regarding gentrification that were raised during class have been raised by critics of these new programs. Critics claim that the benefits of these programs are primarily being captured by yuppies coming in from the suburbs and that the needs of the the city’s poorer residents, who make up the majority of the city population, are being overlooked.
I was curious if investors and developers would pounce on Detroit. I have heard that houses there go for $1 at auction sometimes because no one wants them. I am wondering though what makes as house dangerous as you mentioned in your blog? Are the abandoned houses so run down that they have to be condemned? I am also wondering how many squatters actually end up living there. Anyway, I am looking forward to what Detroit looks like in the future. Entrepreneurs willing to take a risk have an opportunity to start neighborhoods from scratch. Perhaps some day it will be a highly desirable city (and hopefully one that factors in the needs of the poor).
ReplyDeleteI love the optimism of the Mayor of Detroit. Let's not sit and whine and worry about the future. Let's create a better future for Detroit. I honestly see Detroit becoming one of the key destination cities in the future because they are making changes and improvements to the city that the "next" generation will see as desirable. Though the population loss and the abandoned lots could be looked at in a bad way, it also can be looked at locations for opportunities. How many other cities get the chance to start over again and correct all the wrongs that once were?
ReplyDeleteOne of my favorite things Detroit is doing is related to urban farming and agriculture: http://www.matternetwork.com/2011/8/urban-farming-in-detroit.cfm. Detroit has become a national leader in the development of small scale, inner city food production.
I think an area becomes a crime concern anytime there's lots of vacant buildings. There could be squatters there, and worse, smugglers of all kinds could potentially use them. Generally not a good thing. So I've heard about Detroit's efforts to bulldoze some homes in certain neighborhoods. I wonder if it's feasible or acceptable for the city to literally shrink: just redraw its official borders to leave out areas that have been abandoned. I guess there could be some heavy legal entanglements there, especially if there are areas that are mostly abandoned but a few people still live in, but it would save the cost of having to extend city services to those areas.
ReplyDeleteVery interesting! I think the idea Mayor Bing has about creating denser city neighborhoods makes complete sense. Now that the population has greatly declined, it is just not efficient to provide a great deal of services to a few individuals spread throughout a large area.
ReplyDeleteAlso, while gentrification is a problem, it can also be part of the solution. When a business decides to relocate the incentives of the location (business climate, labor force skill, etc.) are much more effective in sealing the deal than any sort of local government incentives (tax breaks, subsidies, etc.). So, if some of the benefits are being taken by people who can increase the pool of talented laborers in Detroit, perhaps the city will have more success in attracting new business development to the region. (That being said, I certainly understand that gentrification has many negative effects and that individuals who don't necessarily need the benefits are taking them might not be beneficial to the current Detroit residents..)
Andrew, I wonder more if instead of shrinking, maybe Detroit fragments (i know that term as a lot of negative connotations, but I mean it in the sense of the activity you guys did in class on thursday). Detroit could have a major downtown and the other smaller city centers.
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