JPMorgan Sinking $100M in Detroit Renewal
Effort aims to improve housing, offer job training
By Matt Cantor, Newser User
Posted May 21, 2014 8:41 AM CDT
In this July 12, 2013 file photo, JPMorgan & Chase Co. Chairman and CEO Jamie Dimon is interviewed on the floor of the New York Stock Exchange.   (AP Photo/Richard Drew, File)

(Newser) – JPMorgan is moving to help a bankrupt city get back on its feet. The bank is putting $100 million, divided between loans and grants, toward Detroit's revitalization, the New York Times reports. The money is intended to help the city with an array of projects, including housing improvements, the demolition of some 70,000 empty buildings, and job training. "I think we can make this our finest moment," CEO Jamie Dimon told the Today show.

Dimon rejects the idea that the bank's move has anything to do with a $13 billion settlement last year tied to the financial crisis. "We invest and develop communities around the world … That's what banks do." The effort began several months ago when Dimon contacted Quicken Loans boss Dan Gilbert, who has a large stake in downtown buildings, the Detroit Free Press reports. "No one’s forcing them to do this by any means," Gilbert says. Detroit Mayor Mike Duggan, for his part, calls the money a "significant start." Dimon's goal with the funding: "If it works, you'll have a healthy and vibrant economy, jobs and population, businesses will beget home ownership, better schools, and a completely revived city."

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Showing 3 of 25 comments
JERZJOE
May 25, 2014 6:39 AM CDT
I'd buy that for a dollar! there ya go!!
wei2szu
May 21, 2014 6:20 PM CDT
"$100 million, divided between loans and grants." The loans come with a first time and highly reduced interest rate of only 235%, calculated monthly.
getoffmylawn
May 21, 2014 5:24 PM CDT
Ill bet the corrupt thugs that run Detroit are rushing to open offshore bank accounts so they'll have somewhere to stuff all the money coming their way. Unless every dollar is tracked, audited, investigated, and parceled out to strenuously pre-vetted purposes, it will go down the same rat-hole that all the previous funds went. And of course the citizens will not benefit at all.