October 3, 2022 - DetroitMi.gov
Mayor Duggan and LISC Detroit kick off renovation of 30 units of deeply affordable housing near 7 Mile/Mound
Le Chateau Apartments will be rebranded 7 Mound Apartments, bringing more quality affordable housing to Farwell neighborhood in D3 at 40%-50% area median income.
$1.6 million project will see all residents get fully remodeled apartments through Detroit Housing for the Future Fund.
DETROIT – Mayor Mike Duggan, City Council President Mary Sheffield, and Councilmember Scott Benson joined Local Initiatives Support Corporation Detroit (LISC Detroit) and developer Minyon Properties today to kick off renovations on 30 deeply affordable apartments in Detroit’s Farwell neighborhood in District 3 that will see their homes get full makeovers and the affordability extended for at least the next 14 years.
When completed next summer, Le Chateau Apartments, 19225 Mound Road, will be renamed the 7 Mound Apartments, and will feature 30 deeply affordable units, with five apartments at or below 40 percent AMI and 25 at 50 percent AMI. That means one-bedroom apartments will be as low as $671 a month All residents will be able to stay in their units during the renovation.
The renovations were made possible by the LISC-managed investment vehicle Detroit Housing for the Future Fund (DHFF), an unprecedented effort to preserve and create affordable housing in neighborhoods across the city. Minyon Properties – a Black-owned, Detroit-based developer – also is receiving a Developers of Color Fund grant through DHFF. Le Chateau is the seventh project to tap the DHFF since the private investment fund was launched in 2020.
“All over the city, we are working to create and preserve affordable housing and ensure that our neighborhoods have quality places that Detroiters can afford to call home,” said Detroit Mayor Mike Duggan. “The Detroit Housing for the Future Fund is a critical tool providing sorely needed resources that help us ensure that deeply affordable housing options exist in neighborhoods across Detroit. It also is helping to renovate a number of the smaller apartment buildings we often see in our neighborhoods and keeping residents in their homes.”
Added Councilmember Benson: "With each new development project like this, Detroit is becoming an even greater city. This investment brings another opportunity for additional affordable housing, quality of life, and a better neighborhood."
Minyon Properties received a loan of $1.6 million from DHFF to renovate the building. Renovations began a couple of weeks ago, and when completed all 30 one-bedroom floor plans will have updated kitchens and bathrooms, new flooring, and new HVAC systems in each unit. In addition to the interior renovations, the property will also offer an ADA-compliant parking lot and walkways for those with disabilities. The building will also get a new roof, new paint and significant masonry repairs and energy-efficiency upgrades.
“This pandemic shattered the capacity of many to maintain adequate living expenses and housing,” said Katonya Jones, managing director of Minyon Properties. “As a permanent cost-efficient living facility, this low-income requirement allows residents of this community to benefit significantly by having affordable living environments in a safe and secure establishment.”
To date, six other DHFF projects are under construction in neighborhoods across the city, with 203 out of the 241 combined units among them reserved as affordable housing. Two of those projects are to be completed in the next few weeks.
The DHFF was launched with a capitalization of $48 million, anchored by a $15 million commitment from JPMorgan Chase and a $10 million guarantee from The Kresge Foundation. DHFF is managed by LISC Detroit and LISC Strategic Investments and is a part of the larger Affordable Housing Leverage Fund, which is an initiative in partnership with the City of Detroit’s Housing & Revitalization Department.
“LISC is committed to ensuring Detroit is a place where everyone can find long-term, quality, affordable housing,” said Camille Walker Banks, executive director of Detroit LISC. “The DHFF is making some projects possible that wouldn’t have happened before, and we are just getting started. Look for more affordable housing announcements and openings happening in neighborhoods all over Detroit very soon.”
“As an advocate for affordable housing, the push toward housing that is low-cost and economical throughout the city represents a commitment to safety and stability that all Detroiters deserve,” said Council President Sheffield. “Keeping residents in their homes and in the city they love has always been a priority of mine and it brings me joy to see it becoming a priority to developers and investment partners around Detroit."
About the Detroit Housing for the Future Fund
The Detroit Housing for the Future Fund (DHFF) is a private investment fund launched in 2020 focused on investing in the development and preservation of affordable housing in Detroit. The DHFF is managed by Local Initiatives Support Corporation (LISC) Strategic Investments and LISC Detroit. DHFF was created in partnership with the City of Detroit’s Housing & Revitalization Department as part of the Affordable Housing Leverage Fund (AHLF) initiative. The DHFF deploys flexible loan capital and private grants to complement and leverage public investment through the City of Detroit and Michigan State Housing Development Authority, as well as tax credits and other affordable housing finance tools.
For investor inquiries and more information about LISC Strategic Investments, please visit https://www.liscstrategicinvestments.org/detroit-housing-for-the-future-fund
About Detroit LISC
Detroit LISC is a local organization founded in 1990, within the Local Initiatives Support Corporation network that includes 38 offices in urban areas across the country as well as a rural office that serves more than 44 states. National LISC, founded in 1979, is the largest national community development financial intermediary, combining corporate, government, and philanthropic resources to help community-based organizations revitalize their neighborhoods.
LISC’s mission is to help forge resilient and inclusive communities of opportunity across America. The goal is that every low-income community has the chance to thrive. LISC equips struggling communities with the capital, strategy, and know-how to become places where people can thrive. Working with local leaders invest in housing, health, education, public safety, and employment — all basic needs that must be tackled at once so that progress in one is not undermined by neglect in another. Sharing our expertise of 41 years, we bring together key local players to take on pressing challenges and incubate new solutions. With them, we help develop smarter public policy. Our toolkit is extensive. It includes loans, grants, equity investments and on-the-ground experience in some of America’s neediest neighborhoods.
About Minyon Properties
Minyon Properties LLC’s mission is to provide affordable and quality living environments to all of those who are in need. We are focused on providing a wide variety of special needs populations with affordable and specialized housing. The demographics we serve include but are not limited to; disabled, veterans, seniors, sober living, transitional housing, re-entry, low income, and other special needs populations. Minyon Properties LLC believes that housing is a universal necessity that creates positive change for all of humanity. Our mission and philosophy stems from four key components: Respect, Empathy, Self-Learning and Pride of Ownership.
Minyon’s goal is to impact the quality of life in the City of Detroit by contributing to preserve 10,000 units and re-developing 2,000 new units of affordable housing by 2025. Minyon Properties will create job opportunities for Detroiters in HVAC, plumbing, electrical and carpentry from our future construction and re-development projects. Our affordable housing communities will partner with numerous local and state nonprofits as well as governmental entities in order to best meet the needs of our communities.