Community Development Commission approves expansion of community health centers, creation and preservation of affordable housing

February 3, 2010

The Community Development Commission today approved the sale of City-owned parcels for the expansion of two community health centers, TIF assistance to create and preserve affordable housing and acquisition authority for a parcel in Lakeview.

Molly Sullivan    312.744.2976

“These proposed developments serve as examples of how the City is working to improve access to affordable rental housing and medical care for lower income families,” Department of Community Development Acting Commissioner Chris Raguso said. “We are responding locally to our residents’ needs and creating a positive impact in each of these communities.”

Lawndale Christian Health Center

The Community Development Commission today approved an agreement for the sale of vacant property located at 3758-68 W. Ogden Ave. to the Lawndale Christian Health Center if no alternative proposals for developing the parcel are received.

Under a proposed plan, Lawndale Christian plans to construct a 64,000 square foot building with adjacent parking to expand its capacity to deliver health cares services to more patients in the North Lawndale community.

The three-story building will provide additional outpatient medical, dental and birthing rooms. Other services will include a pharmacy, fitness center and cafe.

The $20.3 million center will incorporate a number of energy-efficient features, including a green roof, low-cost lighting and low E windows. Lawndale Christian will seek LEED Gold certification for its water efficiency, use of materials and resources, indoor air quality and innovation in design.

Under the proposal approved today, the land valued at $150,000 will be sold for $1.

The nearby main health clinic has seen an increase in the number of patients in recent years and the new facility will allow for an additional 62,000 patients to be served annually.

The Beloved Community Family Wellness Center

The CDC also approved a plan to sell three vacant parcels at 6805-17 South Halsted Street to the Beloved Community Family Wellness Center (BCFWC) to provide for patient and staff parking at their newly renovated facility.

The medical facility, located at 6821 South Halsted Street, recently celebrated its grand opening after a renovation of the existing building and move from the nearby St. Bernard Hospital. The new center with the addition of convenient parking will help ensure that BCFWC remains a progressive, full-service healthcare destination for patients in the Englewood community.

The City will sell the parcels for $1 each, providing a land writedown of $77,997 for the expansion with a total project cost of $292,500.

Parkside of Old Town – Cabrini Phase II Rental

A plan was also approved to negotiate a redevelopment agreement and recommend the designation of Parkside Nine II, LP as the developer for the proposed construction of 112 units of new mixed-income rental housing as part of the redevelopment plan for Cabrini Green.

Parkside of Old Town –Cabrini Phase II Rental, will be located at 544West Division Street in the Near North TIF Redevelopment Project Area.

The planned $41 million development will provide 92 units of affordable housing, including 39 units of replacement housing for CHA residents and 20 market-rate units in a seven-story mid-rise building.

The building will provide a mix of 45 one- and 61 two-bedroom apartments as well as five three- bedroom and one five-bedroom unit designed for larger families. The first floor will feature six townhome-style units.

Amenities will include a community room, exercise room and laundry facilities, as well as ground floor commercial space. Parking will also be included on the ground floor and second level of the building.

The redevelopment plan includes "green" features such as permeable pavements, high efficiency heating and hot water systems and insulated windows, walls and roof.

The plan will complement and further current redevelopment efforts in the area by creating an attractive and affordable mixed-income community.

The project would be supported by $8.2 million in TIF assistance under the plan that will need approval from the full City Council. Other City financing sources include a $3.7 million loan; $2.5 million in low-income housing tax credits, generating $17.9 million in equity and $2.1 million in donations tax credits.

TIF funds will be bridged by $8.2 million in stimulus funds awarded to the CHA by HUD. The development will also receive $7.7 million from the CHA.

Clifton Magnolia Apartments

Also approved was a plan to designate Community Housing Partners X, LP as the developer to rehabilitate a 59-unit rental development for low -income families in Uptown with up to $4.3 million in TIF assistance.

The $16.4 million project will involve the acquisition and rehabilitation of the Clifton Magnolia Apartments, two courtyard buildings located at 4416-26 North Clifton Avenue and 4416-22 North Magnolia Avenue. Improvements will include new roofs, windows and kitchens as well as upgrades to HVAC systems.

The Clifton Avenue building contains 35 apartments in a mix of nine one-bedroom, 17 two-bedroom, six three bedroom and three four-bedroom units. The Magnolia Avenue building contains 12 two- and 12 three-bedroom units.

The project will continue to receive HUD project-based Section 8 rental subsidies for all units. The development is an example of how the City is working to maintain the availability of affordable rental housing for low-income families by preserving properties with expiring federal rent subsidy contracts.

Acquisition of Parcel Located at 3208 North Sheffield Avenue

An agreement was approved in the Belmont/Sheffield Redevelopment Area for the proposed acquisition of a parcel located at 3208 North Sheffield Avenue.

The City is seeking acquisition authority and may acquire the property. Following City Council approval of acquisition authority, the City will seek approval to solicit requests from developers to redevelop the former 95-room Diplomat Hotel in the s Lakeview community.