Detroit

Vacant Fairlane Lot Finally Scores $31 Million Townhome Makeover

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Published on April 18, 2026
Vacant Fairlane Lot Finally Scores $31 Million Townhome MakeoverSource: Google Street View

A long-vacant patch of land near Fairlane is finally getting a major makeover. Dearborn's City Council has signed off on a roughly $31 million plan to build 111 townhomes, mixing one- to four-bedroom units and reserving 29 "attainable" homes for households earning up to 120% of the area median income.

Project details and amenities

The development, proposed by Smart Town North LLC, will bring fifteen three-story townhome buildings to about 7.67 acres at 15625 Lundy Parkway. Every unit is set to include an attached garage and access to shared green space. Plans call for approximately 46 one-bedroom, 38 two-bedroom, 22 three-bedroom and five four-bedroom homes, plus a clubhouse and pool on site. City documents put the private investment at roughly $30.9 million and note that land-use approvals are already in place, per the City of Dearborn.

Developer and council reaction

Smart Town North LLC lists Mohamed Sohoubah as its manager, and the project arrived at the council with both optimism and caution in the air. Councilman Kamal Alsawafy praised the plan as one that turns underutilized property into something that strengthens the tax base and brings long-term value to the community. Councilman Mustapha Hammoud, on the other hand, warned that the incentives tied to the project could make the deal financially risky, according to MLive.

Brownfield incentives and city finances

To get the project moving, the city approved a Brownfield Tax Increment Financing package that would reimburse up to $11,459,064 in eligible development costs over 28 years. A city fiscal review concludes the plan should be roughly cost-neutral for Dearborn while the incentives are in effect, projecting about $5.68 million in revenue to the city versus approximately $4.99 million in service costs over the life of the deal. After local approval, the developer is expected to seek state approval to capture non-local taxes. The agreement also requires the developer to run the homeowners' association and maintain private infrastructure on the site.

Under the brownfield deal, 29 of the townhomes must remain attainable for qualifying households for 22 years. The agreement also allows for about 49% of the units to convert from rental to owner-occupied later in the incentive period. Officials are eyeing a 2026 construction start, with build-out running into 2027 or 2028, according to MLive.

Why this matters locally

City planners say the project lines up with Dearborn's housing goals at a time when countywide data show a painful squeeze on lower-cost units. The Wayne Metro Community Needs Assessment found that nearly half of renter households in Wayne County are cost-burdened and that the supply of adequate, affordable housing has fallen to about half of what it was two decades ago. Those trends are a big part of why local officials have been pushing for a wider range of housing options, per Wayne Metro.

With council approval in hand, Smart Town North can now finalize its reimbursement agreement and pursue required state sign-offs. Neighbors can expect to see permitting and site-prep activity begin this year, while city staff say they will keep an eye on compliance with both the brownfield terms and the attainable-housing commitments as the project moves toward construction.

Detroit-Real Estate & Development