JPMorgan Chase & Co. Announces $100 Million Commitment to Support Detroit’s Economic Recovery
- May 23, 2014
Detroit—JPMorgan Chase & Co. unveiled a $100 million, five-year commitment to support and accelerate Detroit’s economic recovery and strengthen its communities. This long-term investment is the Firm’s largest commitment to a city and among the largest corporate commitments to Detroit. It builds upon the Firm’s deep roots as one of Michigan’s leading financial services providers and corporate citizens.
JPMorgan Chase has spent the past several months working closely with Detroit’s community and government leaders to learn about their priorities and vision for the city. The investment provides long-term financial and hands-on support for organizations that are working to address the city’s most urgent challenges.
With more than 80 years of experience serving Southeast Michigan and some of the region’s largest commercial businesses, JPMorgan Chase’s unprecedented commitment includes:
- Investing in Detroit’s Community Development: JPMorgan Chase is putting its community development banking expertise to work for Detroit by providing $40 million in flexible, long-term debt capital and $10 million in grant capital to two leading non-profit community development lenders, Invest Detroit and Capital Impact Partners. This commitment will finance critical projects to help turn around struggling neighborhoods and grow small businesses. Financing will provide and leverage capital for residential, commercial and retail development projects that often lack access to conventional financing, spurring others to invest.
- Tackling Blight: Confronting blight is a critical lynchpin in Detroit’s revitalization. Working with the Detroit Land Bank Authority and the Blight Task Force, JPMorgan Chase is committing $25 million to help accelerate the city’s ambitious efforts to end residential blight, restore properties to productive use, and stabilize and revitalize neighborhoods. This commitment will also fully fund the second phase of the Motor City Mapping project, which has been credited with helping city leaders document blighted parcels, and will develop a critical tool to ensure residents have a voice in their neighborhood’s future. Finally, the Firm will seed a Rehab Loan Pilot Program for families to rehabilitate homes they purchase through the city’s Neighbors Wanted property auction.
- Strengthening Workforce Readiness: JPMorgan Chase is committing $12.5 million to better link the city’s workforce development efforts with employer needs and give Detroit residents access to training in the skills employers are seeking. Working with partners such as the Detroit Employment Solutions Corporation and the Workforce Innovation Network, this commitment will identify growing economic sectors and create collaborative programs to train workers and develop career pathways.
- Growing Small Businesses: JPMorgan Chase is committing $7 million to support Detroit’s small business clusters, including Bizdom and Eastern Market. These clusters are connecting small businesses and entrepreneurs to the resources and expertise they need to get their companies off the ground, catalyzing broader growth and employment – both downtown and within the neighborhoods.
- Seeding Future Economic Growth: JPMorgan Chase is committing $5.5 million in strategic initiatives that are important to Detroit’s future economic growth by investing in the new M-1 rail line and bringing the Global Cities Initiative, a Joint Project of Brookings and JPMorgan Chase, to Detroit. The commitment will also support other local organizations working to revitalize the city.
JPMorgan Chase’s commitment builds upon the promise and progress of recent efforts by other businesses and foundations that have been working together to drive Detroit’s economic recovery. The Firm intends to measure outcomes and share best practices from Detroit that can be valuable tools for other cities as they work to strengthen their own prospects for economic growth.
Finally, JPMorgan Chase is applying the experience and skills of its employees to help Detroit’s nonprofits strengthen their capacity to solve the community’s toughest problems. Through the JPMorgan Chase Detroit Service Corps, dedicated teams of volunteers will put their business expertise to work, providing capacity building and technical assistance to help local nonprofits find solutions to challenges they have identified.