Process for Purchasing Publicly Owned Land or Property

Read This First

For a successful application, have the following completed or prepared before you proceed:

  • Have a property/site already identified 
  • City of Detroit taxes paid (or there is a payment plan in place)
  • Blight tickets paid (or there us an agreement in place)
  • City-owned or Detroit Land Bank Authority property/properties identified. 
  • Proposal for the intended use of the property/properties is prepared and ready to submit 
  • Estimate of total development costs and timeline of projects

Please note, property sales are subject to review and require City Council approval. Applying for a property does not guarantee you will be able to purchase the property. 

What’s the process like?

  • Getting started
  • Prepare for land/property purchase
  • Apply for land/property
  • Approval process
  • Closing 
  • Compliance

 

Step by Step

 

Identify property to purchase

Marketed Properties

  • RFP Properties
  • DLBA Properties
  • Map of All Publicly Owned Properties

Prepare to submit application

Determine the details of your projects

  • Use – What do you plan to do with the property?
  • Necessary approvals – Is what I’m proposing to do allowed under current zoning? What permits and licenses will be needed? 
  • Construction timeline 
  • Estimated cost

Make sure you are current on property taxes & blight tickets

Apply to purchase

RFP Properties – See RFP details for submission process. 
Marketed Properties – Reach out to the listing broker to submit proposal and offer. 
DLBA Properties – Visit BuildingDetroit.org to view properties and apply. 
All Other Properties – Visit BuyProperty.Detroitmi.gov to apply.

 

 

Initial application review

  • Is the property available to purchase? 
  • Are there other applications for the property? 

In-depth review

  • Allowable & Desired Use
    • Project allowed by zoning (by right)&
    • Project allowed conditionally
      • Prepare and submit special land use application to BSEED
    • Project not allowed by zoning
      • Meet with the City Planning Commission and the Planning & Development Department to determine your options
  • Applicant Capacity & Previous Experience
  • Project Feasibility
  • Offer Amount

City Council/DLBA Board review and approval

City Council reviews and approves all City land sales and go through the Planning & Economic Development (PED) committee. Be prepared to respond to questions from City Council members and attend the PED committee meeting (virtual or in person)

Closing

  • Conditions to close
    • Special Land Use permit or rezoning, if required
    • Preliminary Plan Review/Design Review
  • Detroit Building Authority closing
  • Title company closing 

Compliance

  • File the Property Transfer Affidavit (link to PTA form on Assessor’s site)
  • If a structure, contact Detroit Water and Sewerage Department to set up a water account (provide DWSD phone number)
  • If you signed a development agreement as part of your purchase, you will need to satisfy the requirements of that agreement in order for the City to release its interest in the property.
  • For some sales, a property reverter is part of the sale. A reverter gives the City the ability to take the property back into City ownership if the terms of the agreement are not met. For example, if no progress has been made to develop and improve a property after the agreed deadline.