DETROIT: ECONOMIC RISE, FALL & REBIRTH, PART II A

[perspektuv]

I was younger at the time but remember hearing that if you lived in the suburbs and worked in Detroit, a 2% city tax was imposed. Seems that around that time is when Troy, Southfield began building larger office Suites and businesses that were downtown began moving out. Is there any relationship to all the abandoned offices downtown to this?

[plumstreetmusic]

Yes, in part. That sped up the process. However, historically the roots were planted in the 1920s when Bishop Gallagher developed the large parochial school system in Detroit. Though it provided a number of generations with a fine, affordable education, it did leave the public school system weakened. The next catalyst was the post-WWII housing boom that led to the development of numerous bedroom suburbs with attractive public school systems. The out-migration started in the 1950s before the tax.

[MisterDeSoto]

Nobody wants to buy a $4,000. house in Detroit because the city will force you to pay $4,000. a year in property taxes.

[saseassociates]

You are correct. Detroit is a mosaic of neighborhoods. Many subdivisions were designed and built during the 1920s to last for an expected 60-year automotive boom period. Because of location, location, & location as well as land and building quality, these structures are probably worth much less than $4000. .

[saseassociates]

In other areas of the city, the housing and land quality as well as the neighborhood integrity means that the current price sag, that currently affects suburban communities as well, means a lot of good bargains.

[MisterDeSoto]

Actually there are some beautiful houses built prior to World War two. They are built out of the first growth timber and are built to last hundreds of years. The postwar years brought the thousands of look alike bungalows. They need to scrap the entire bureaucratic nightmare and start over on a needs only plan.