The Detroit City Council voted 7-1 to approve a Renaissance Zone permit for Detroit Medical Center, exempting the hospital and buyer Vanguard Health Systems from most city, county and state taxes for 12 years, according to a report in the Nashville Business Journal.
Nashville, Tenn.-based Vanguard signed a letter of intent last month to purchase DMC and promised to invest $850 million into the hospital system.
The permit will also allow Vanguard to be taxed at a reduced rate for three years following the 12-year exempt period, according to the report. The application now goes before Detroit's economic development authority for approval. Vanguard expects to close the deal on the DMC purchase by June 1.
Read the Business Journal's report on Vanguard's purchase of DMC.