Detroit: A developing bankruptcy success story
December 20, 2014
Back in 2013, Detroit set a new and unwanted record, becoming the largest city in US history to declare bankruptcy. All said and done, the city ended up with $18.5 billion in bankruptcy debt.
In just a year, Detroit has already begun showing signs of significant improvement and poising itself for economic reform and repositioning.
The city found out the repercussions of putting all of its eggs into the automotive basket, and for this reason while moving forward Detroit will be seeking to diversify revenue streams.
Companies like Yahoo and Quicken loans already call Detroit home, with the latter having over 12,000 employees there.
The chairman and founder of Quicken loans, Dan Gilbert, has put $1.5 billion into the restoration of downtown, scouting out cities nationwide to get modeling ideas.
For all the good, comes the bad as well. The many abandoned homes which plagued the city during the downturn still remain vacant despite a booming construction market due to bureaucratic hurdles and construction shortages. Foreclosures have persisted, and schools continue to remain behind national averages.
City residents found Mike Duggan fit for the mayor’s office, who has begun making good on the many promises made during the campaign trail. No small victory has been his ability to drop the murder rate 18 points in his 12 months since assuming office.
Although Duggan’s honeymoon ended in June after finding himself on the bad side of local farmers, he continues to find support among the city and hopes to rally residents together in returning Detroit to its former glory.
One thing is for sure, that compared to just one year ago Detroit today finds itself with safer streets, closer ties and brighter prospects. And it was their well thought out bankruptcy plan which made it possible.
Attorney Lawrence P. Bellomo is a trusted legal advocate who has practiced in Laguna Hills for over three decades. He continues to be the attorney of choice for individuals in need of an exceptional family, divorce or bankruptcy attorney in Orange County, California.