Auto Industry out, Detroit Innovation In
Forget about the car industry, Let Detroit be a hub for innovation and real estate!
Detroit births fearless entrepreneurs and innovators. Detroit was thought of as two things for a very long time and that is the car industry (Ford, GM, Chrysler) and Motown music (You know Michael Jackson, The Temptations, Aretha Franklin). Motown has fallen off and the auto industry has died, came back to life, died, then we think it is back on its feet, it just died again. Ford stock price in January of 2011 was trading at $16.27 a share, now January of 2019 it is trading at $7.81. The other automobile companies have little to no growth in the stock market as well. People are not buying new cars like they use to, it has been a slow decline for new cars sales. The auto industry has not only hurt Detroit economy but foreign countries such as China.
This combination has helped save Detroit and will be the new wave for the city. Private funders, investment groups, and Quicken Loans have all put their money into startups. Quicken Loans announced a $1 million startup pitch contest (think of the show Shark Tank) called “Detroit Demo Day” for Detroit-based entrepreneurs that have been a hit with new companies making an impact instantly. Commercial real estate investors finally can feel confident to invest since office spaces are filling up. Residential real estate sales have shot up out of nowhere now that people are moving back into the city to live not just catch a ball game. Big business and banks have already found their spot in the city to make sure they benefit from the growth. Many local entrepreneurs have banded together for the revitalization of Detroit that brings a new culture to Detroit. New local real estate investors are doing their first flip and buying their first multi-family here. This is the new Detroit, a city of entrepreneurs.