DETROIT—Downtown Detroit has undergone a remarkable transformation in recent years, asdevelopers have renovated dozens of buildings nowoccupied by thousands of employees. In the latest chapter of theCBD's bounce back, Capitol Park Partnership, alocal development firm, has just secured the financing necessary totransform a 13-story tower in Capitol Park, one of downtown's mosthistoric neighborhoods, into a mixed-use building.

The developers will turn the 126,000 square-foot formerDetroit Savings Bank building at 1212 Griswoldinto offices, retail and residences. The Archdiocese ofDetroit will use the first five floors for new officespace for 185 employees, retail will occupy the ground floor, andthe top eight floors will consist of 56 market-rate rentalhomes.

A diverse mix of public and private funders will provide $38.5million in construction and permanent financing. The complexfinancing structure includes: $17 million in New Marketsand Federal Historic Tax Credits, funded upfront byChase Bank; $8 million of State ofMichigan Historic and Brownfield Tax Credits with upfrontfunding from Urban Partnership Bank andLiberty Bank; $10.5 million in construction loansfrom Chase Bank and Urban Partnership Bank; and DevelopMichigan Inc., and Urban Partnership Bank will provide the$9 million permanent loan. The NMTC allocates are InvestDetroit, NCIF, and Chase Bank.