DETROIT, MI (WXYZ) — A vote by Detroit City Council on the Hudson's site tax break was removed from Tuesday's agenda at the request of Bedrock. The vote was also postponed last week.
Bedrock released the following statement about the move:
Following Bedrock’s request, the vote on the Hudson’s Site Development has been removed from today’s City Council agenda to be taken up at a later date.
In 2017, the City Council voted unanimously to give the critical initial approval to the matter in question. Since then, in addition to proceeding in good faith with the development of the Hudson’s Site, Bedrock and the Rock Family of Companies have created thousands of more jobs in the City, brought abandoned building after building back to life, and committed an unprecedented $500 million to Detroit’s neighborhoods—much of which has already been put to work paying off back taxes for thousands of Detroit families, funding critically needed home repairs for senior citizens and the disabled, supporting Detroit-based minority contractors, and providing legal aid for families facing eviction.
As officials have emphasized, the abatement under review only freezes taxes that would otherwise go to the Downtown Development Authority—and could only be used for downtown development purposes. Nonetheless, it is clear more time is needed for this matter to work through the process.
We have always worked in a spirit of partnership with the City of Detroit, and we remain confident that the approval provided in 2017 will be honored. We look forward to the continuation of this process and to seeing Council affirm its support for this transformational investment.
Billionaire developer Dan Gilbert is asking the city of Detroit for an additional $60 million tax break for his ongoing Hudson's skyscraper project.
Gilbert began building the Hudson's project in 2017 and already received about $200 million in government incentives to build the 48-story building.
Some think the city needs this money more than Dan Gilbert, but Detroit Mayor Mike Duggan is backing the tax break for the billionaire developer.
"There has really been a lot of misinformation," Duggan said.
According to Mayor Duggan, the tax cuts directly impact the downtown development authority, noting that the impact to Detroiters would be minimal.
"And it is not taking any money away from schools, libraries, neighborhoods, that money couldn't be spent there anyway," he said.
Mayor Duggan says just building the project creates 7,500 jobs and when it's finished, it will create 2,000 more and those would be permanent.
"Dan is losing money so the city can make money. That's the true story of the Hudson project."
Gilbert is investing $ 1 billion and is borrowing $400 million to finish the project in 2 years.
The Hudson's project would bring offices, a hotel, restaurants, retail, and residential space to downtown Detroit.
Gilbert has done almost 100 downtown development projects over the years.
