MSF Approves $6.7M For Volkswagen, Detroit; Creates New Program

(Source: MIRS.news, Published 01/27/2026) The Michigan Strategic Fund (MSF) board approved more than $4 million for Volkswagen Group of America, $2.7 million for an innovation district in Detroit and $1.5 million for a new community program.

The Volkswagen Group of America was approved for a Michigan Business Development Program grant as it announced it would consolidate technical activities into a “newer” facility in Auburn Hills. Volkswagen Group of America CEO Kjell Gruner thanked Gov. Gretchen Whitmer and the Michigan Economic Development Corporation (MEDC).

“Michigan has long been an important home for Volkswagen Group of America. We’re thrilled to be able to continue our presence in the state, reinforcing our commitment to our people and advancing our technical capabilities in the state,” Gruner said.

The MSF board also approved the $2.7 million that would see $2.125 million go to the Michigan Central Innovation District and $575,000 go to the Wayne State University Research and Technology Park, which is known as TechTown Detroit.

MSF Board member Britany Affolter-Caine was recused from the vote and discussion during Tuesday’s meeting.

“Relationships, legacy and the opportunity for innovation matter. I remain grateful to the MSF board for their support of Michigan’s prosperity today and for generations to come, as evidenced by their approval of Volkswagen and MEDC programs and services related to small businesses and furthering Michigan’s growing entrepreneurial ecosystem,” said MSF Board Chair Quentin Messer Jr.

The board also approved the Public Spaces Community Places program and the allocation of $1.5 million from the Small Business Support Services portion of their budget to cover the program.

MEDC Regional Managing Director Paula Holtz said the program has been around for 11 years and was created with the help of the Michigan Municipal League.

It is a match program open for public spaces that can be awarded up to $50,000, or $75,000 for a universally designed project.

“We have created everything from bike trails to pocket parks, farmers' market pavilions and public sculpture projects. Honestly, if a community can dream it, we can really try to make it happen through this program, which has been pretty special,” Holtz said.