MICHIGAN—Dearborn Mayor Abdullah Hammoud says the city is moving forward with hundreds of millions of dollars in redevelopment projects that are aimed at clearing stubborn blight and creating new places to live in one of Michigan’s tightest housing markets.
Hammoud highlighted the projects last month during the grand opening of the Edsel B. Ford Experience Center, a space used largely for Ford Motor Co. events and employee gatherings.
“Dearborn is the fastest growing city in Michigan and we are a place where all can come and thrive,” Hammoud said in a press release following the event. “We are leveraging every tool and support for projects that serve our community’s needs and enhance quality of life.”
All told, the projects represent a mix of more than $180 million in public investment and private development across the city. Among the biggest-ticket items: adding hundreds of new housing units to a market where fewer than 2% of homes are currently vacant—a shortage that has driven intense competition for real estate and pushed prices higher across Dearborn.
“Putting in an offer on a house is highly competitive. You’re getting 30 to 45 offers on a single home,” Hammoud told The ‘Gander in March. “It’s a vicious cycle that keeps feeding itself.”
For now, the housing push is focused largely on Dearborn’s east side.
That includes a new residential neighborhood being built on 21 acres of city-owned land near Carhartt’s world headquarters, which will feature about 300 homes and apartments. Separately, Waza Construction is building 111 new townhomes and the city is also creating a plan to construct dozens of new homes on nearly 40 city-owned parcels in the Lonyo neighborhood.
The city is also clearing the way for future development at a 20-plus-acre site near Michigan Avenue and I-94, and demolition is underway at Village Plaza, a 12-story office tower on Michigan Avenue that has sat vacant since 2018. Hammoud described the abandoned structure as a symbol of stagnation and its teardown as a signal that new development is possible.
“For so many, this stood as a sign of complacency within the city,” Hammoud told the Detroit News last month. “The imagination is now kicking in, and basically all ideas are possible.”
A recent city study found Dearborn will need roughly 1,500 additional housing units by 2035. About 600 of those units have already been approved or are actively in development. Hammoud also says local housing investments should focus not just on affordability, but ownership.
“We always talk about the affordable housing crisis, but we never pair it with the homeownership crisis,” Hammoud told The ‘Gander in March. “If we just create renters out of everyone, that’s where we really begin to work against the overall health of our communities.”
To attract developers and speed construction timelines, the city is pre-reviewing and approving concept plans for city-owned sites before formally soliciting bids—a process officials say can shave months off permitting. The city also rolled out a new online platform to speed things up.
In a press release, Jordan Twardy, Dearborn’s economic development director, said the streamlined approach is designed to reduce uncertainty for developers and expedite growth.
“Our efforts make the desired outcome clear and reduce approvals through city-funded pre-work to shave months off the process and make development stronger and easier,” he said.
And it’s not just housing. City officials said an architecture firm is actively leading work on the former Hyatt Regency site on Town Center Drive, as well as a mixed-use office building on vacant land at Michigan Avenue and Howard Street. A local business, Just Play, also prompted a city ordinance change to allow indoor recreation facilities in more commercial spaces.
The city plans to solicit developers for its pre-approved sites in late 2026 and early 2027.
READ MORE: Abdullah Hammoud wants local residents to shape Dearborn’s future
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