Imagined boundaries and lived geographies (v.1.0)

HOLC maps utilized a grading system for 'mortgage security' in an attempt to quantify areas with a perceived financial risk. Factors included "the neighborhood's quality of housing, the recent history of sale and rent values, and, crucially, the racial and ethnic identity and class of residents". The term 'redlining' was coined in the 1960s and used as shorthand for these so-called 'hazardous' areas, which were symbolized in red.

Three teams of researchers at four universities have digitized 148 of these HOLC maps...

and geo-rectified them for easy visualization within geographic information systems (GIS).

With the addition of SLBA parcel points (latitude and longitude), the results of decades of dis-investment become clear.

In urban areas across the state, between 81% and 96% of SLBA parcels are located in third and fourth grade ('C' and 'D') areas.

Scroll and zoom on the map to see these cities:

Battle Creek

Detroit

Flint

Grand Rapids

Jackson

Kalamazoo

Muskegon and Muskegon Heights

Pontiac

Saginaw

Here are two common examples of the reports used to produce the HOLC maps. In Pontiac, area 1 (the Pioneer Highlands neighborhood) was graded 'A' not only due to the presence of amenities but also the absence of "Foreign-born, Negro", and "Relief families".

Conversely, area 5 received a 'D' because of it's proximity to the city dump, "houses in poor condition", and the racial and ethnic composition of the neighborhood. In the 'Clarifying Remarks' section, it is stated in no uncertain terms that this is a "Negro area. Old. Obsolete."

The National Community Reinvestment Coalition observes that "Most of the neighborhoods (74%) that the HOLC graded as... 'Hazardous' eight decades ago are low-to-moderate income (LMI) today. Additionally, most of the HOLC graded 'Hazardous' areas (nearly 64%) are minority neighborhoods now".

Viewed today, A-1 is characterized by single-family homes with high value (some even reaching over $1 million), a very small number of empty lots, and only a few non-residential structures on the outskirts of the neighborhood.

In contrast, D-5 has home values that rarely exceed $150,000, a much higher percentage of non-residential structures located throughout the neighborhood, and numerous vacant lots.

Environmental (in)justice is another legacy of redlining. Negative environmental factors in the land, water, and air can be detrimental to human health for generations. Ranging from former industrial plants to unregulated dumps, Brownfields and other designated locations are sites of known environmental hazard.

Our previous examples of A-1 and D-5 illustrate this legacy of environmental disparity all too well.

A-1 contains, or is adjacent to, 13 active and closed sites of environmental concern with 3 Baseline Environmental Assessments (BEAs) on file. These are spatially confined along Telegraph Rd on the periphery of the neighborhood.

But D-5 has 30 sites and 14 BEAs, with many located near the few remaining residential structures in the area. While pre-1940s housing was often concentrated near factories, those with higher social and financial mobility eventually made their way to more suburban settings.

www.mcgi.state.mi.us/environmentalmapper/

These areas in Pontiac are but two examples of the lasting results of previous policies and practices. According to a 2020 report from National Community Reinvestment Coalition, "the history of redlining, segregation and disinvestment not only reduced minority wealth, it impacted health and longevity.... On average, life expectancy is lower by 3.6 years in redlined communities, when compared to the communities that existed at the same time, but were high-graded by the HOLC."

Also of note was the building of interstate highways through redlined areas. A 2018 paper shows that statistically "Neighborhoods designated as 'hazardous' on redlining maps were three times more likely than the best rated neighborhoods to be subjected to Interstate highway placement."

The Federal Highway Administration's own Underwriting Manual from 1938 even suggested that the construction of high-speed roads would act as barriers to protect white neighborhoods from "racial incursion".

One response to this heritage of economic inequity has been the designation of federal Opportunity Zones, which were created in 2017 to spur fiscal growth in distressed, low-income communities across the nation via tax credits.

Here we can see that many SLBA parcels are located within Opportunity Zone boundaries, and that these zones often intersect redlined areas.

Another tool, this one meant to overcome environmental hurdles, is the Brownfield Redevelopment Financing Act (Act 381).

Per that statute's language, any land bank-owned property can be considered a brownfield.

Linking Act 381 with land bank activities can unlock powerful mechanisms to bring new life to sites that have been left to languish.

Former window factory and surrounding residential structures before and after demolition by SLBA.

And to meet the critical need for both affordable and attainable housing across the state, the SLBA seeks to partner with municipalities and developers around the state who want to build new housing and are looking for gap financing, as well as financial institutions specifically interested in lending to developers of color so that we may encourage those rehab or new construction projects to occur strategically on land-bank owned parcels.

Small scale, incremental development of in-fill housing, aligned with local needs, is an effective operational policy with holistic benefits to individual homeowners, the surrounding neighborhood, and entire communities.

From Detroit to Muskegon Heights, the spatial link between State Land Bank Authority parcels, red-lined areas, sites of environmental concern, and Opportunity Zones can be clearly observed.

In addition to creating positive economic impact for communities as a whole, SLBA activities can help to address the systemic racism that targeted our fellow residents and whose effects are still being felt today.