Brick 2-Family with Adjacent Lots

4 minutes read

Welcome to the latest offering from the Detroit Land Bank Authority (DLBA)—a rare redevelopment opportunity ideal for experienced investors, developers, and vision-driven buyers ready to take on a full-scale rehabilitation project. This offering includes a brick two-family flat in need of a total rehab, along with two adjacent vacant lots located at 4603 Meldrum and 4619 Meldrum, providing added scale, flexibility, and long-term upside.

This is not a turnkey property. It is a value-add redevelopment opportunity positioned for buyers who understand urban revitalization, proforma-based development, and the unique framework of Detroit Land Bank Authority transactions. With the right planning, capital, and execution, this project has the potential to become a meaningful residential or mixed-use asset that contributes to neighborhood stabilization while generating future returns.

The Property & Structures

At the core of this offering is a solid brick two-family flat, a classic Detroit housing style known for its durability, architectural character, and long-term appeal when properly restored. Brick construction provides a strong foundation for redevelopment and offers enduring value once renovated.

The building requires a complete rehabilitation, including but not limited to:

Structural and mechanical updates
Electrical and plumbing systems
Interior finishes
Exterior restoration
Compliance with current building codes

Because the property is being offered in distressed condition, buyers are encouraged to conduct thorough due diligence and prepare for a comprehensive redevelopment process. For the right buyer, this level of rehab allows for maximum control over design, layout, and end use—whether as long-term rentals, workforce housing, or resale units.

Included Adjacent Lots – Expanded Potential

A key advantage of this offering is the inclusion of two adjacent vacant lots at 4603 Meldrum and 4619 Meldrum. These additional parcels significantly enhance the overall development potential and set this opportunity apart from standard single-building acquisitions.

The extra land may provide options such as:

Expanded green space or landscaping
Additional parking solutions
Outdoor common areas
Future development phases (subject to approvals)
Increased property appeal and functionality

The combination of a two-family structure and adjacent land creates a larger footprint that can support more creative and impactful redevelopment strategies.

DLBA Proposal & Proforma Requirement (IMPORTANT)

All potential buyers are required to submit a proposal and development proforma in order to qualify to purchase this property. This is a mandatory requirement set forth by the Detroit Land Bank Authority.

The proposal must clearly outline:

Intended use of the property
Scope of rehabilitation and development
Estimated renovation costs
Project timeline
Financing sources
Long-term ownership or exit strategy
Community impact and stabilization goals

DLBA proposal guidelines are attached and must be reviewed carefully prior to submission. Approval is based not only on purchase price, but also on the quality, feasibility, and completeness of the proposed redevelopment plan.

This process ensures that properties are transferred to buyers who are prepared to invest responsibly and contribute positively to Detroit’s ongoing revitalization efforts.

Tax Capture Disclosure – Critical Buyer Consideration

Buyers should be aware that the Detroit Land Bank Authority is entitled to a tax capture for the five (5) tax years following the transfer of ownership. This tax capture provision is an important factor that must be considered when preparing your development proforma.

Key Points Regarding Tax Capture:

The tax capture may be incompatible with certain tax abatements and lot combinations that might otherwise be available to the purchaser.
DLBA will review requests to waive its tax capture rights on a case-by-case basis.
Approval of a waiver may require a Payment in Lieu of Taxes (PILOT).
Any required payment will be determined after reviewing:
- The submitted development proforma
- The effect of tax abatements on project financing
- The overall financial structure of the redevelopment

Because of this, buyers are strongly encouraged to work with experienced professionals—such as real estate attorneys, accountants, or development consultants—when structuring their proposal.

Who This Property Is Best Suited For

This opportunity is ideally suited for:

Experienced real estate investors
Developers familiar with DLBA processes
Buyers comfortable with full gut rehabs
Proforma-driven redevelopment teams
Long-term holders focused on neighborhood revitalization

This is not a project for first-time buyers or those seeking immediate occupancy. Instead, it is tailored for purchasers who understand layered approvals, redevelopment timelines, and the financial planning required for complex urban projects.

Neighborhood & Long-Term Outlook

Detroit continues to experience targeted reinvestment and redevelopment across many neighborhoods, driven by public-private partnerships, community development initiatives, and investor interest in quality housing stock. Brick two-family flats remain a desirable housing format due to their density, rental flexibility, and architectural appeal.

With thoughtful redevelopment, properties like this can:

Add quality housing to the market
Support neighborhood stabilization
Generate long-term rental income
Benefit from future appreciation as reinvestment continues

The inclusion of adjacent lots further strengthens the long-term outlook by providing options that are rarely available with single-building acquisitions.

Important Buyer Notes & Disclosures

Property is offered through the Detroit Land Bank Authority
Total rehab required
Proposal and development proforma are mandatory
DLBA tax capture applies for five years post-transfer
Tax capture waivers may require Payment in Lieu of Taxes
All terms subject to DLBA proposal guidelines and approval
Buyers must conduct their own due diligence

Final Thoughts

This offering represents a serious redevelopment opportunity for buyers prepared to engage in Detroit’s structured, proposal-based acquisition process. A brick two-family flat, two adjacent lots, and a framework designed to support long-term revitalization make this property a compelling option for qualified purchasers with a clear plan and vision.

If you are an investor or developer seeking a project with scale, control, and meaningful upside—and you are comfortable working within the Detroit Land Bank Authority guidelines—this property deserves careful consideration.

Review the DLBA proposal guidelines, prepare a thoughtful and detailed proforma, and take the next step toward transforming this distressed asset into a productive and valuable part of Detroit’s future.