City Council Approves Massive Tax Break for District Detroit Project

USIG Staff - March 2023
Source: City of Detroit - District Detroit
Source: City of Detroit - District Detroit

In March of 2023, the city of Detroit approved a tax break for the Illitch family's District Detroit plan, a massive development project aimed at revitalizing the downtown area.

The tax break, which was approved by the Detroit City Council, will provide the Illitch family with significant savings on property taxes for the next 30 years. The savings are expected to be in the tens of millions of dollars, and will be used to fund the development of the District Detroit project.

The Illitch family, who are best known as the owners of the Little Caesars pizza chain and the Detroit Red Wings and Tigers sports teams, have been investing heavily in the downtown area in recent years. The District Detroit plan, which was first announced in 2014, is a massive development project aimed at transforming the area around the Little Caesars Arena, the home of the Red Wings and the Pistons.

The project includes a mix of retail, commercial, and residential development, as well as new parks and public spaces. The Illitch family has already invested over $1.4 billion in the project, which is expected to create thousands of new jobs and attract millions of visitors to the downtown area.

The tax break approved by the Detroit City Council is a significant boost to the District Detroit project, which has faced criticism in recent years for its slow pace of development and lack of progress in certain areas. Supporters of the tax break argue that it will help to speed up the project's development and make it more attractive to potential investors.

However, opponents of the tax break argue that it represents an unfair giveaway to a wealthy family at the expense of taxpayers. Some have also criticized the District Detroit project for its lack of affordable housing and for displacing longtime residents and small businesses in the area.

Despite these criticisms, the approval of the tax break represents a major step forward for the District Detroit project and for the revitalization of downtown Detroit as a whole. With continued investment and development, the city has the potential to become a major economic and cultural hub in the Midwest, attracting visitors and residents from across the country and around the world.