Flex-N-Gate (FNG) is an auto components manufacturer that was looking to expand its manufacturing operations. Ford Motors and the city of Detroit worked with FNG to find a location in a highly distressed area within Detroit’s city limits. Detroit’s District 3 census tract has the city’s lowest education and income rates, as well as an unemployment rate of 27 percent. Upon realizing the extraordinary costs that environmental issues, a lack of qualified labor and local hiring ordinances for the construction presented, FNG considered other nearby cities, including in Canada, where FNG has locations and where the development cost would be significantly less.
The development’s five CDEs–Stonehenge Capital, DV Community Investment, HEDC/National Development Council, National New Markets Fund/Strategic Development Solutions and Wells Fargo
Community Development–offered NMTC allocations in order to offset expenses including environmental remediation, local construction hiring, job training and fringe benefits. Upon completion, the development will be a 494,000-square-foot manufacturing facility that will employ up to 700 people.