OZ 2.0 eligibility

Detroit Opportunity Zones

Detroit, Michigan has 337 census tracts eligible for OZ 2.0 status. Demographics, eligible tract list, and state filing tracker.

337

Eligible Tracts

639,111

City Population

$34,762

Median Household

31.5%

Poverty Rate

How OZ 2.0 applies to Detroit

Detroit sits within Michigan, which has not filed OZ 2.0 nominations with Treasury yet. The state's lead agency is Michigan Economic Development Corporation (MEDC). Michigan has 860 census tracts eligible under OZ 2.0 — it can nominate up to 215 to Treasury.

337 eligible tracts fall in Detroit's constituent county (Wayne County) per the IRS Rev. Proc. 2026-14 appendix — the same county totals shown on the state page. OZ 2.0's tightened eligibility criteria — median family income at or below 70% of the state/metro reference (down from 80% under OZ 1.0), with the contiguous-tract option eliminated — means fewer Detroit neighborhoods qualify than under the 2018 OZ 1.0 map. How states choose OZ 2.0 tracts →

For investors targeting Detroit, the OZ 2.0 tax benefits — rolling 5-year deferral, 10% basis step-up (or 30% for Rural QROFs in qualifying rural tracts), and 100% federal-tax-free exclusion of QOF appreciation after a 10-year hold — apply to investments made on or after January 1, 2027. See the full OZ 1.0 vs 2.0 comparison →

What Detroit's demographics imply: with a median household income of $34,762 and a 31.5% poverty rate, Detroit is likely to keep a meaningful share of Opportunity Zone tracts in higher-poverty census areas, while higher-income neighborhoods that qualified through the contiguous-tract pathway under OZ 1.0 will lose zone status under OZ 2.0.