Habitat for Humanity Detroit is closing its two restore locations and laying off most of those employees.The organization says it was hit hard by the loss of government funding and a decline in sponsorships.
Habitat for Humanity Detroit also faced several mounting financial issues on top of the lack of funding. Their homeowners had a mortgage delinquency rate of 40 percent, they have a number of empty homes which still cost money to maintain.
While the organization declined to announce an exact number of workers that would be affected by the sudden layoffs tied to restructuring efforts, the executive director described it’s current staffing as a “skeleton crew.”
“It’s incredibly tough,” said Ken Cockrel Jr., the executive director. “I think, ideally, the goal is to be in a position where in a month or not too long afterward hopefully we can bring some of those folks back.”
Regardless if short-term changes, as well as long-term plans to restructure the charity, work the reality is Habitat for Humanity Detroit will be a leaner organization moving forward. Cockrel told 7 Action News that the concept of restore locations will not go away, but that new locations will be explored.
“We want it to be a place where your grandmother is going to feel comfortable shopping,” said Cockrel Jr. citing that at least one of their retail locations was in a bad enough area that it was preventing people from wanting to donate, or drop-off items, let alone shop there.
While restructuring and re-planning how the charity moves forward, Cockrel Jr. said it’s important to note that the sky is not falling.
The group is still planning to continue it’s three-decade long legacy in Detroit, however, Cockrel Jr. said that the footprint may change noting that their service area has untapped neighborhoods in Lincoln Park, Allen Park, Melvindale and River Rouge.
He also noted that many neighborhoods may benefit in a shift in philosophy where rebuilding existing structures could be more affordable for housing recipients.
While the charity has hit hard times, the executive director noted that now more than ever they will be relying on the public to continue their efforts to serve Detroit building decent affordable housing for clients.
He noted that donations are tax deductible, and that donations of materials are always needed.
