Mayor Daley introduces ordinances supporting business expansion, senior housing and neighborhood improvement

January 14, 2010

Mayor Richard M. Daley today introduced eight ordinances supporting the expansion and improvement of new commercial and retail opportunities, affordable senior housing and neighborhood improvement

Molly Sullivan    312.744.2976

Mayor Richard M. Daley today introduced eight ordinances supporting the expansion and improvement of new commercial and retail opportunities, affordable senior housing and neighborhood improvement

“We are working together to strengthen the economic vitality of Chicago,” Daley said.  “We will continue to play a key role in the City’s economic development by supporting the development of viable neighborhoods with affordable housing for families and seniors and the expansion of employment and economic opportunities.”

Creation of SBIF Programs
Three ordinances were introduced that authorize the creation of Small Business Improvement Fund (SBIF) programs on the South and Northwest Sides, providing $2 million in funding to help owners of commercial and industrial properties in designated TIF districts make improvements to their properties.

The 47th and King Drive SBIF program will each be funded with $500,000 in TIF assistance and include parts of the Fuller Park, Grand Boulevard and New City communities.  The 79th Street Corridor SBIF will receive $500,000 and serve parts of the Chatham and Greater Grand Crossing communities.  The Armitage/Pulaski SBIF will incorporate portions of the Hermosa and Logan Square communities and will be funded with $1 million in existing TIF increment.

The SBIF program encourages commercial and industrial business owners to invest in their property by making TIF funds available for building improvements. 

Applicants can receive reimbursement grants of up to $150,000 for both exterior and interior improvements such as new windows, floors, green and conventional roofs, heating and air conditioning systems and other energy-saving or green improvements.

SBIF currently operates within 68 TIF districts.  Funding for SBIF comes from available TIF monies in each of the areas.  To date, the SBIF program has helped more than 350 businesses with $10.7 million in project assistance.

The 79th Street Corridor TIF district is located mainly along West 79th Street from Halsted to Honore Streets and includes an industrial corridor along a railroad right-of-way along 75th Street to the north in the 17 and 21st Wards.

The Armitage/Pulaski TIF is located along Armitage Avenue from Pulaski Road to Kenneth Avenue in the 30th and 31st Wards.

TIF Neighborhood Improvement Programs
Also introduced was an ordinance an agreement with Neighborhood Housing Services of Chicago, Inc. (NHS) to administer the Humboldt Park TIF Neighborhood Improvement Program (TIF-NIP).

The City will enter into an agreement with NHS to administer up to $1 million for single-family home improvements on the City’s Northwest South Sides in parts of the 1st, 26th and 32nd Wards.

The single-family program will offer up to $22,500 in grants to qualified owner/occupants of one to four unit properties for exterior repairs and limited interior improvements to help rehabilitate their properties.  A portion of the grant can also be applied to the cost of an energy audit to determine how much energy a home uses and evaluate the measures that can be taken to improve efficiency.

The Humboldt Park TIF runs roughly along North Avenue from Western to Ridgeway avenues, Western Avenue from Division to North avenues and Division Street from Western to California avenues.

The homes must be located within the TIF boundaries and residents must meet income guidelines.

NHS will accept and process applications, assist homeowners with getting estimates, determining the scope and monitoring the renovation work.

SBIF Refunding
Two other ordinances authorize additional funding for two existing Small Business Improvement Fund (SBIF) programs in the Austin and Lincoln Square communities, providing additional funding to help owners of commercial and industrial properties make improvements to their properties.

The Madison Austin SBIF program will be funded with $750,000 from the Madison Austin TIF district and include parts of the 28th and 29th Wards.  The Western Avenue North SBIF will be funded with $1 million from the Western Avenue North TIF district.

The SBIF program encourages commercial and industrial business owners to invest in their property by making TIF funds available for building improvements. 
Applicants can receive reimbursement grants of up to $150,000 for both exterior and interior improvements such as new windows, floors, green and conventional roofs, heating and air conditioning systems and other energy-saving or green improvements.

Oakwood Shores
The next ordinance acknowledges the intent to issue up to $13 million in housing revenue bonds for the construction of 76 units of affordable senior rental housing in the Oakland community.

Oakwood Shores Terrace Associates LP plans to build the Oakwood Shores Senior Apartments at 3750 S. Cottage Grove Ave. in the 4th Ward.

The $ 18.9 million development is a continuation of the comprehensive revitalization of the former Ida B. Wells, Madden Park, and Clarence Darrow Homes public housing developments and is part of the CHA’s Plan for Transformation. 

Testa Produce Inc.
Another ordinance acknowledges the intent to issue up to $15.2 million in Recovery Zone Facility Bonds for the construction of a 73,000 square foot produce distribution facility at 4555 South Racine Avenue in the City’s New City community.

The $20.5 million project will be designed to include state-of-the-art distribution technology for efficient material handing and include freezer, dry storage and office space in the 11th Ward.
Testa Produce is a family-owned business that has operated in Chicago since 1912.  The new facility will replace an outdated facility and retain 120 jobs and create a minimum of 20 new jobs.
The building will be designed with the goal of achieving Leadership in Energy and Environmental Design (LEED) certification for the use of environmentally-friendly practices in its construction and operation.

News Release Facts