DAN GILBERT PLEDGES $1 BILLION FOR DETROIT RENAISSANCE CENTRE

Dan Gilbert says he will contribute $1 billion to redevelop Detroit’s Renaissance Centre and part of its east riverfront. His proposal would create a non-profit organisation to own and operate the complex and a 35-acre stretch beside the Detroit River. Gilbert says his contribution would be a gift that the organisation would not repay and that he could not deduct from tax. The Renaissance Centre formerly housed General Motors’ headquarters and has become almost entirely vacant. The full redevelopment could cost $2.2 billion, with General Motors also contributing to the project.

The plan calls for the demolition of two towers facing the river and renovation of the remaining complex. It also includes housing, public spaces and riverfront attractions. Developers say the project could provide about 950 homes and create thousands of construction and permanent jobs. Jamaine Dickens, chair of the local Neighbourhood Advisory Council, said it could generate 8,000 local construction jobs. Bedrock would manage the project without charge, and the non-profit would reinvest any surplus remaining after costs, debt payments and reserves.

The proposal seeks nearly $548 million in public incentives over 30 years and faces scrutiny over subsidies and community benefits. Gilbert says the organisation would have no commercial profit motive. He said its structure would keep the redevelopment focused on public use of the riverfront. “We all share the goals of bringing new life to the Renaissance Centre, of building a thriving riverfront district for all to enjoy, and of maximising positive community impact,” Gilbert said. The proposed organisation would have 501(c)(4) status, which permits unlimited lobbying but does not make donations tax-deductible.