Home > Uncategorized > Detroit’s Blight Removal: Opportunity For Social Entrepreneurs to Utilize Crowdfunding?

Detroit’s Blight Removal: Opportunity For Social Entrepreneurs to Utilize Crowdfunding?

Today’s Detroit Free Press had an article about Detroit’s blight removal campaign – see it here

The article reports that through various avenues, including the Detroit Land Bank Authority:

Detroit now demolishes 200 eyesores a week,

The article goes on to report all of the challenges ahead for Detroit, including a vast amount of blighted properties still needing to be demolished, scarce trained workers, etc..

The article ends with a question: “But perhaps the biggest question confronting Detroit’s blight campaign is what to do with all the cleared land”

I answer that question with a question of my own (lawyers do that): could this be a viable avenue for local crowdfunding?

Are there groups of individuals, let’s call them “social entrepreneurs”, in Michigan who would come together to revitalize a community, one neighborhood at a time?

Maybe these entrepreneurs are investors who would be willing to work and live in the community they revitalize.

These investors wouldn’t need tens of thousands of dollars of their own funds to make a difference.

Michigan’s intrastate crowdfunding exemption (Michigan Invests Locally Exemption) limits these crowdfunding projects to a maximum of $2,000,000 per 12 months and investors are limited to $10,000 each (unless an accredited investor) – so the deal size is relatively limited.

I like Attorney Anthoni Zeloi’s proposed bill for Illinois, capping projects to $20,000,000, you can read his proposed bill, and rationale at his blog here

Could you imagine living in a neighborhood where you invested real money into, and could say:

I helped build this neighborhood

or

I helped revitalize Detroit“.

Calling all Michigan Social Entrepreneurs to weigh in.

What do you think?

email: Jeshua@dwlawpc.com

http://www.dwlawpc.com

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