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Detroit mayor offers homes to cops for $1,000 down

CBC – Feb. 18, 2011
Detroit Mayor Dave Bing is offering police officers who live outside the city vacant homes at dirt-cheap prices — with $1,000 down payments — in a bid to counter urban flight and boost public safety.

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In addition to the low down payment, the city plans to spend up to $150,000 per home to renovate them for the officers.

City officials say the situation is dire: although they don't have an exact count, vacant properties are littered across the city.

"It's one of the largest challenges we face," said Karla Henderson, a city executive in Planning and Facilities.

Henderson said the situation is so bad that officials are comparing the situation in Detroit to the Hurricane Katrina catastrophe in New Orleans, except Detroit's demise was slower.

Bing was in the Big Easy earlier in the week to compare notes with the New Orleans Mayor Mitch Landrieu on how to revitalize their cities. Bing commented that Detroit has lost more than half its population since peaking at nearly two million in the 1950s.

And the recent political scandals involving former mayor Kwame Kilpatrick left Detroit with no one to steer the sinking ship.

"There was not a real strategy in the city of Detroit as to how we were going to combat foreclosures, how we would repopulate these areas," Henderson told CBC News. "The city just stood still."

Bing's administration is trying to move things forward one police officer at time.

Under the plan announced Feb. 7, police officers can purchase city-owned vacant homes with just $1,000 down.

"It's a fantastic deal," said Joy Santiago, a Detroit real estate broker. "Financing is always an issue right now with the economy the way it is."

Santiago said the move is already creating a buzz.

Detroit's East English Village will benefit from the plan. It's considered a stable community where only about two to three homes per block are empty.

Neighbours say a stronger police presence will not only boost security, it will also help property values that have tanked over the years.

Resident Eric Duncan said his home is only worth $30,000 these days, down from $170,000 15 years ago.

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"What we need is less vacant houses, more security, better schools," said Duncan.

Duncan says the renovation funds are a good idea.

"They can live plush, that's great," Duncan said. "Let's face it, everybody has to be here to make it work, you know. Once we become segregated ... we all need to be together, that's the way it works."

If all goes well, city officials said they'd like to offer the program to people in other departments with the final goal of adding some life to the area, and revving up the Motor City.

Bing plans to present a study on April 1, outlining more details on how he'll encourage former Detroiters to return to the city.