Detroit - Jefferson-Chalmers Neighborhood
Rental Property Investor · Washington D.C. · Member since 2019 · 41 posts · 42 votes
Hello all,
I am a new investor who is also new to investing in Detroit. I am in the process of closing on two properties in Fitzgerald that I plan to rehab and rent out. I have also had my eye on Jefferson-Chalmers as I read that the neighborhood is being zoned as a historic district. Does anyone have experience with investing in this particular neighborhood? I did see that flooding is a concern and I was also wondering if any investors have information on which parts of the neighborhood are prone to flooding. Thanks!
Yes. Those are fine. Along with Morningside is up and coming in the area.
@Danielle Evans. Yes you’re correct. This area does have frequent flooding issues. The areas South of Jefferson. Alter rd. &. Scripts areas. But there are a lot of investors interested in the area
@Danielle Evans. Yes you’re correct. This area does have frequent flooding issues. The areas South of Jefferson. Alter rd. &. Scripts areas. But there are a lot of investors interested in the area
Thanks for the information! Another forum poster also noted that you may be required to use more expensive materials as well (due to the historic designation) which can up the rehab price significantly. I may look for neighboring areas but I really do like that neighborhood, especially the canals. What are your thoughts on the Marina District and Islandview?
Yes. Those are fine. Along with Morningside is up and coming in the area.
Yes. Those are fine. Along with Morningside is up and coming in the area.
Awesome. I will be sure to check out Morningside as well.
To add to the OP @Danielle E. , yes I have heard that the rehab costs can be significantly more expensive in the historic districts. While walking the blocks of Boston Edison, I had a chance to spend a day with a property owner as he was rehabbing himself and one thing that he did point out was in such district you have to use only zone approved paints/colors as well as windows. Particularly the windows and the molding as such would HAVE to be tempered glass and wood frames. In any other district you could use vinyl etc, but in historic districts most cases your home needs to be as original as possible on the exterior.
I too am looking to invest in the Fitz, Bagley and Russell Woods area. Will be heading back out to DTW this weekend. Hope this helps and congrats on your closings! Please share your diary with the community when you have chance.
Fitzgerald and Morningside will be your best bet for begginers and new to the market. Jefferson and Chalmers has blew up just not too long ago. You want to invest in an area that is on the up and up. Managing a Historic district renovation in Detroit being OOS May not be the best option. I’m also in the Morningside and Fitzgerald myself. Morningside has been better for me out of the two.
To add to the OP @Danielle E. , yes I have heard that the rehab costs can be significantly more expensive in the historic districts. While walking the blocks of Boston Edison, I had a chance to spend a day with a property owner as he was rehabbing himself and one thing that he did point out was in such district you have to use only zone approved paints/colors as well as windows. Particularly the windows and the molding as such would HAVE to be tempered glass and wood frames. In any other district you could use vinyl etc, but in historic districts most cases your home needs to be as original as possible on the exterior.
I too am looking to invest in the Fitz, Bagley and Russell Woods area. Will be heading back out to DTW this weekend. Hope this helps and congrats on your closings! Please share your diary with the community when you have chance.
Yes,
I am sure that can become ridiculously pricey. I am familiar with the historical restorations that Nicole Curtis has done in the city and I saw that some renovations were quite problematic. It would be awesome to get together with some other Fitz and Bagley investors and compare notes! I am waiting for a closing date still but I should hopefully be closing by mid October. Have you completed any other renovations in the area? I am concerned about the winters as I know that Detroit is notorious for the cold weather! How do you handle running into winter weather? One of my purchases was through the Detroit Land Bank and I am concerned about not getting an extension (you typically only get 6 months with DBLA) or not getting the renovation complete before it snows.
Fitzgerald and Morningside will be your best bet for begginers and new to the market. Jefferson and Chalmers has blew up just not too long ago. You want to invest in an area that is on the up and up. Managing a Historic district renovation in Detroit being OOS May not be the best option. I’m also in the Morningside and Fitzgerald myself. Morningside has been better for me out of the two.
Alex,
Thanks for the info! Yes, it is a great neighborhood but the historic designation requirements and potential of running into flooding issues are turning me away from wanting to invest there. I will definitely be exploring Morningside next time I am up there so I can see what is going on. I was told by a Realtor that the West side is more desirable to locals (which I was shocked at due to Grosse Pointe being on the East). I'm not sure if this is a personal bias or not. Apparently, it appears that most retail options seem to be on the West Side as well. The lack of big box retailers (e.g. Target) or even a Whole Foods in or near Grosse Pointe is kind of odd to me.
Certain parts of the east and west are both great areas to invest. The realtors opinion may be due to lack of knowledge and experience or a bad experience in the east side.
It used to be horrible 10 years ago both east and west. Much quieter now.
There’s a lot of new businesses that just came up just this year in morningside along Warren and Mack. There is also the new Chrysler plant around the corner which has been bringing a lot of savvy investors to that area As well including myself.
Just have to know ur market and go with all the indicators and signs.
To add to the OP @Danielle E. , yes I have heard that the rehab costs can be significantly more expensive in the historic districts. While walking the blocks of Boston Edison, I had a chance to spend a day with a property owner as he was rehabbing himself and one thing that he did point out was in such district you have to use only zone approved paints/colors as well as windows. Particularly the windows and the molding as such would HAVE to be tempered glass and wood frames. In any other district you could use vinyl etc, but in historic districts most cases your home needs to be as original as possible on the exterior.
I too am looking to invest in the Fitz, Bagley and Russell Woods area. Will be heading back out to DTW this weekend. Hope this helps and congrats on your closings! Please share your diary with the community when you have chance.
Yes,
I am sure that can become ridiculously pricey. I am familiar with the historical restorations that Nicole Curtis has done in the city and I saw that some renovations were quite problematic. It would be awesome to get together with some other Fitz and Bagley investors and compare notes! I am waiting for a closing date still but I should hopefully be closing by mid October. Have you completed any other renovations in the area? I am concerned about the winters as I know that Detroit is notorious for the cold weather! How do you handle running into winter weather? One of my purchases was through the Detroit Land Bank and I am concerned about not getting an extension (you typically only get 6 months with DBLA) or not getting the renovation complete before it snows.
Keep stringing the landbank along. Let them know you’re doing a very fine job on the rehab and it’s taking a bit longer. I know people that have done that for a while. Personally I haven’t myself because it can be a pain in the butt trying to get the release of interest from them sometimes but I know plenty of people that have gotten releases. Some without any rehab done at all.
Certain parts of the east and west are both great areas to invest. The realtors opinion may be due to lack of knowledge and experience or a bad experience in the east side.
It used to be horrible 10 years ago both east and west. Much quieter now.
There’s a lot of new businesses that just came up just this year in morningside along Warren and Mack. There is also the new Chrysler plant around the corner which has been bringing a lot of savvy investors to that area As well including myself.
Just have to know ur market and go with all the indicators and signs.
Yes, I did notice the Chrysler Plant while I was driving along Jefferson. I've been reading up on the restoration of the Jefferson-Chalmers business corridor as well. I've seen a few new businesses here and there. Are you a local or are you investing from out of state? I am wondering about the best options as far as being present to oversee renovations and be as "hands-on" as possible. According to other forum members, most out of state investors are strictly purchasing turn-key properties and then having a property management company oversee everything. I plan to commute back and forth but I am unsure as to whether or not I should actually purchase a permanent home and devote the bulk of my energy on this city. I am currently working on setting up my wholesaling and flipping business in Baltimore as well while testing out the Detroit market to see if my rentals are successful and if Detroit is a market that I want to devote more of my energy to.
To add to the OP @Danielle E. , yes I have heard that the rehab costs can be significantly more expensive in the historic districts. While walking the blocks of Boston Edison, I had a chance to spend a day with a property owner as he was rehabbing himself and one thing that he did point out was in such district you have to use only zone approved paints/colors as well as windows. Particularly the windows and the molding as such would HAVE to be tempered glass and wood frames. In any other district you could use vinyl etc, but in historic districts most cases your home needs to be as original as possible on the exterior.
I too am looking to invest in the Fitz, Bagley and Russell Woods area. Will be heading back out to DTW this weekend. Hope this helps and congrats on your closings! Please share your diary with the community when you have chance.
Yes,
I am sure that can become ridiculously pricey. I am familiar with the historical restorations that Nicole Curtis has done in the city and I saw that some renovations were quite problematic. It would be awesome to get together with some other Fitz and Bagley investors and compare notes! I am waiting for a closing date still but I should hopefully be closing by mid October. Have you completed any other renovations in the area? I am concerned about the winters as I know that Detroit is notorious for the cold weather! How do you handle running into winter weather? One of my purchases was through the Detroit Land Bank and I am concerned about not getting an extension (you typically only get 6 months with DBLA) or not getting the renovation complete before it snows.
Keep stringing the landbank along. Let them know you’re doing a very fine job on the rehab and it’s taking a bit longer. I know people that have done that for a while. Personally I haven’t myself because it can be a pain in the butt trying to get the release of interest from them sometimes but I know plenty of people that have gotten releases. Some without any rehab done at all.
Yes, I was not aware that using the DBLA to purchase properties would be so complicated. It seems as if they own most of the properties in need of rehabbing in the city. I'm sure that local wholesalers are probably able to find much better deals since they know the market very well. I plan to learn about the Wayne County Auction process as well so that I can avoid going through the DBLA in the future.