Detroit Evening Report: Detroit Land Bank Authority negotiating new contract with the city

The Detroit Land Bank Authority (DLBA) is negotiating a new deal with the city after its 2020 contract expired at the end of last year.

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The city and the land bank have been operating “in good faith” since the contract expired on Dec. 31, 2023, DLBA spokesperson Stephanie Hume told Outlier Media.

Land banks have the ability to create, hold, manage and sometimes develop property for the benefit of the community such as increasing affordable and available housing. The proposed contract, which would expire at the end of 2026, will differ from past agreements in that it gives the land bank the authority to “develop new new programs regarding unauthorized occupants in Detroit Land Bank properties,” in partnership with the city’s Housing and Revitalization Department. Hume declined to answer questions about this provision while negotiations are ongoing.

The DLBA is the largest land bank in the nation, owning more than 70,000 properties — with approximately 62,000 of those parcels vacant. The land bank is run by a five-member board of directors, four of whom are appointed by the mayor. 

Over the years, the DLBA has spent more than $265 million dollars to demolish more than 15,000 structures.

The City Council Planning and Economic Development Standing Committee is expected to discuss a new proposed contract this week. There are also considerations for a discount to Detroit residents who paid excessive property taxes due to over-assessments of their homes.

Reporting by Sarah Alvarez, Outlier Media

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