Fifth Third invests $20M in northeast Detroit neighborhoods
Add Axios as your preferred source to
see more of our stories on Google.
The intersection of Gratiot Avenue and 7 Mile Road. Photo: Annalise Frank/Axios
Fifth Third Bank is investing $20 million in one of the most historically disinvested areas of Detroit.
Why it matters: The bank's commitment comes as Mayor Mary Sheffield pushes for more investment outside downtown.
- It's part of shifting strategies to grow the Gratiot-Seven Mile (G7) and Denby/Whittier areas in northeast Detroit.
State of play: Fifth Third plans low-interest loans, grants and other resources.
- The goals are to help improve the local economy, increase access to jobs, build up small business districts and create affordable housing.
- It's part of the $400 million Fifth Third Neighborhood Program across 11 historically disinvested areas nationwide.
How it works: Under the program, the bank's spending is directed by a plan that paid community partners create with residents, according to Kala Gibson, Fifth Third's chief corporate responsibility officer. It's in the information-gathering phase here.
- The Detroit partners include the Osborn Neighborhood Alliance. The group's duplex renovation project could be a model for how to reuse vacant homes in a constructive way — and Fifth Third may be interested in replicating it, says Gibson.
- It's also spending $1 million to renovate its bank branch in G7.
Context: G7 was one of 10 Strategic Neighborhood Fund (SNF) areas targeted for revitalization under former Mayor Mike Duggan.
- Fifth Third's new spending builds on its previous $5 million investment in G7, through SNF.
- That money went toward parks, housing, street improvements and more — and it inspired the bank's national neighborhood assistance program, according to Gibson.
Backstory: G7 was hit hard during the Great Recession. It experienced population loss, evictions and lack of investment interest from government and outsiders over decades — though many longtime residents and organizations there have worked to help their communities.
- Vacant lots, business buildings and homes are a major obstacle, as well as job availability and dangerous Gratiot Avenue.
Between the lines: Sheffield has said she wants to broaden the SNF, but hasn't announced major strategic changes.
What's next: Fifth Third's work is being done in tandem with the city, which plans to kick off new neighborhood investments in the same area later this month.
- A groundbreaking is expected soon for The Hub Laundromat Cafe in the Denby neighborhood.