Comprehensive Plan to Safeguard Affordable Rental Housing in Cook County
The Preservation Compact, a project of the Urban
Land Institute which has received major support from
the John D. and Catherine T. MacArthur Foundation,
announced May 31 a comprehensive series of
concrete steps that will save at least 75,000 affordable
rental apartments in Cook County, IL by 2020. The
initiatives represent a joining of forces of area real
estate, finance, philanthropic, non-profit and
governmental leaders to stem the loss of a critical
housing resource.
A key component of the plan is a Preservation Fund,
through which community development leaders LISC
and Community Investment Corp. will offer a suite of
new financing tools to assist both preservation-
minded buyers and existing rental property owners
seeking to maintain affordability. The MacArthur
Foundation has pledged $10 million in seed money to
the Preservation Fund, which will eventually swell to
$100 million with banking industry support.
"Rental housing plays a central role in the region's
economy and is as critical to its infrastructure as
highways, transit systems, schools and industrial
parks, but we have been losing this critical asset at
alarming rates for many years now. The Preservation
Compact has forged a private, public and nonprofit
partnership that has committed to working together to
reverse these trends," said Julia Stasch, co-chair of
the Preservation Compact and Vice President for
Human and Community Development at The John D.
and Catherine T. MacArthur Foundation.
Read more about the Preservation Compact.
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Greetings!
For 25 years, the Chicago Rehab Network (CRN) has
worked to further the development and preservation
of safe affordable housing in Chicago, and throughout
the state of Illinois.
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HOT STUFF: Housing Commissioner Resigns |
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Jack Markowski, the city of Chicago's housing
commissioner, resigned June 4 after 15 years on the
job, including eight as the head of the agency.
Markowski has become president of Park Bank
Initiatives, the not-for-profit real estate development
affiliate of Park National Bank.
As he left office, Markowski shared plans to work on
improving neighborhoods near bank branches and
his initial projects will be focused on the city's
Englewood and Pullman neighborhoods.
Markowski's tenure will be remembered as a time in
which housing advocates and non-profit developers
were able to engage a major city agency on issues
related to affordable housing and pressing community
needs. Though the relationship often had its
challenges, "Markowski never shied away from
focusing on the tough issues when it came to the
impact affordable housing had on the city," said Kevin
Jackson, executive director of the Chicago Rehab
Network.
Markowski helped make political leaders
understand the importance of affordable housing in
the city, Jackson said.
With his technical know how, experience as a
community activist and public official, Markowski
exhibited leadership and a willingness to discuss
issues, Jackson continued. "We hope the next
commissioner will keep the open door policy that
made for significant partnerships with the
city and frank discussions on points of difference,"
Jackson said.
"Disagreements on some issues did not prevent
Markowski from working with community groups and
we hope his successor operates the same way," he
added.
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Affordable Requirements Ordinance and DOH Quarterly Report and Hearing |
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On Thursday, June 7, the Department of Housing
presented its First Quarter Progress Report before the
city council's Committee on Housing and Real Estate.
DOH reports an aggressive production strategy for
2007 compared to previous years, with a goal of
12,309 units with $543,185,199 in total commitments
for 2007.
Commissioner Jack Markowski also announced that
Cary Steinbuck, former executive director of the
Rogers Park Community Council, will be the new
executive director of the Chicago Low-Income
Housing Trust Fund. We look forward to working with
Ms. Steinbuck and the Trust Fund staff to establish a
reporting process to track the activities of the program.
The Chicago Rehab Network attended the hearing to
present its analysis before the Committee. For many
years, CRN has commended the Department of
Housing's commitment to transparency. No other city
department provides this level of reporting on its
activities and holds open forums for the public. With
the recent passage of amendments to the Affordable
Housing Ordinance, especially the inclusion of zoning
triggers, a new opportunity exists to involve other
departments, such as Zoning, Planning, and
Buildings, and work together to foster a culture of
open and transparent city government.
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Click here to read our Analysis of the DOH Quarterly Report |
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Membership Meeting Highlights |
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Members of the Chicago Rehab Network gathered at
Grace Place (637 S. Dearborn Avenue) on May 24 to
convene CRN's quarterly membership meeting.
Representatives from member organizations reported
on recent activities and accomplishments - from
acquisitions and development activities to
employment training, organizing and, with some
organizations, adjusting to new aldermanic
leadership.
CRN's membership meetings typically include a
group of dynamic speakers to talk to members about
various issues important to the affordable housing
community. Members were able to engage Cook
County Commissioner Mike Quigley, Dena al-Khatib
of the Chicago Citywide Land Trust Program, and
Darrell Price of Access Living.
Commissioner Quigley has been a staunch advocate
for increased transparency within the Tax Increment
Financing program. He presented a new report, "A
Tale of Two Cities," which highlights the increasing
use of TIFs as an economic development tool in the
city of Chicago and Cook County - most especially
as a critical source of financing for affordable housing
developments. Commissioner Quigley urged
members to advocate for better accountability and
transparency in the TIF process. Click http://ww
w.commissionerquigley.com for more information.
The Citywide Community Land Trust has been in
effect since 2006. The program is an innovative
approach to address affordable housing needs by
keeping homes affordable for the long-term through a
ground lease or restrictive covenant. Homes in the
land trust are also kept affordable for future owners by
placing a maximum resale price that is designed to
give homeowners a fair return on their investment,
while keeping the homes affordable for subsequent
buyers. Dena al-Khatib, CCLT director, presented an
overview of the program and provided valuable
information for both home buyers and developers
participating in CCLT program. More information
about CCLT can be obtained by contacting Dena al-
Khatib at 312-742-0621.
People with disabilities face an even greater
challenge finding safe, affordable, and accessible
housing. Darrell Price, of Access Living, a non-profit
group that advocates for people with disabilities,
spoke about continuing efforts to push for integrated
housing and full access to housing programs
receiving government assistance. Access Living
recently lobbied with National Adapt in Washington
D.C. to raise awareness of institutional bias against
people with disabilities that is fostered by the lack of
integrated, accessible, and affordable housing. For
more information about Access Living, visit
www.accessliving.org.
Chicago Rehab Network members are non-profit,
community development corporations and housing
advocacy organizations dedicated to the creation and
preservation of affordable housing.
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New Member Spotlight: CRN Welcomes the Spanish Coalition for Housing |
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We would like to congratulate the Spanish Coalition
for Housing on becoming the newest member of the
Chicago Rehab Network. The Spanish Coalition has
had a long history of success within Chicago's Latino
community, serving the west side and Pilsen.
The organization was created in 1966 and in 1973
became the first organization in Chicago to be certified
as a housing counseling agency by the Department of
Housing and Urban Development. It remains the sole
Hispanic agency enjoying that distinction today.
With a 27-member staff and around a $1.6 million
budget the Spanish Coalition for Housing is able to
positively impact the communities it
serves. Its mission is to "provide low and
moderate income families with the necessary tools
needed to acquire and maintain safe, decent
affordable housing."
In order to complete this mission, the organization
employs a variety of programs. The programs offered
include Pre- and Post-Purchase Counseling,
Foreclosure Prevention Counseling, Housing Initiative
Program, Advocacy Assistance, Housing Choice
Voucher Program Mobility Counseling, and the
Chicagoland Bilingual Landlord Association.
The CRN board recommended the Spanish Coalition
for Housing for membership at CRN's May 2 board
meeting. At our most recent quarterly membership
meeting held May 24, CRN members voted
unanimously to add the Spanish Coalition for Housing
to our membership rolls. Now that the membership
process is complete, the Spanish Coalition
represents a powerful addition to an already strong
network.
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Click here for more about the Spanish Coalition for Housing |
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CRN Empowerment Series Nearing End |
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With just one workshop left in the Chicago Rehab
Network's annual "Community Development and
Empowerment Series," participants have begun to
draw lessons and acquire a more comprehensive
understanding of the development process. In
the "Single Family and Multifamily Housing
Development" workshops, held at the offices of the
Community and Economic Development Association
of Cook County (CEDA), instructors and experienced
practitioners Teresa Prim and Linda Greene led
participants through the entire development process,
reiterating special challenges posed by the goal of
affordability. Students appreciated time spent on
major topics, including subjects like site selection and
site control, and more conceptual issues, such as the
relationship between developers and architects, or
contractors.
In the June 7-8 workshop on Project and Construction
Management, veteran practitioner and recent CNDA
award winner Angela Hurlock of Claretian Associates
provided a thorough introduction to developer
responsibilities during construction. Day one was
generously hosted by the Community Affairs arm of
Charter One Bank, while day two saw participants
touring ongoing developments in the Lawndale and
Bronzeville neighborhoods. It included a full tour of
two "green" houses by Genesis Housing as well as a
rental rehab project being undertaken by the
Lawndale Christian Development Corporation.
The Empowerment Series will wrap up on June 21-22
with the "Property/Asset Management and Tenant
Services" workshop.
For more information on the work of Genesis Housing
Development Corporation, go to
http://www.genesis
hdc.org/. For more info on the
LCDC, visit www.lcdc.net.
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We Need the People Who Need Affordable Housing |
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Housing Illinois is an unprecedented coalition of over
40 housing advocates, planning organizations, faith-
based service and advocacy groups, foundations,
development intermediaries, nonprofit developers,
public agencies, and financial institutions organized in
2001 to develop a communications outreach
campaign that will generate the civic will to increase
the supply and acceptance of affordable housing
throughout the metropolitan Chicago area and the
state of Illinois.
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Check out this clip that promotes affordable housing. |
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Mayor Touts New Initiative to Preserve Affordable Rentals |
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Mayor Richard M. Daley recently announced a new
three-year initiative designed to preserve at least
6,500 affordable rental units through an investment of
$12 million and an allocation of $150 million in tax-
exempt bonds. "One of the biggest challenges facing
our city is making sure that every family has a home it
can afford, so Chicago can continue to have residents
of every age, income and background," Daley said at a
June 6 news conference in front of an apartment
building at 3126-30 W. Palmer Blvd., which is being
kept affordable with city assistance.
"Here in Logan Square - and across the city - the
supply of affordable rental housing is shrinking as
some apartment buildings deteriorate; others raise
their rents; and still others are converted into condos.
And as construction costs continue to rise, it is
impossible to build new affordable apartment
buildings in the city and make a profit. So our best
course - and really our only course - is to preserve
what we already have," said the mayor. The Lorington
Apartments, located at 3126-30 W. Palmer Blvd. and
at 2630-44 N. Spaulding Ave. contain 54 units,
ranging in size from one to four bedrooms.
Under the state's Federally Assisted Housing
Preservation Act, the buildings' owner notified tenants
that the federal subsidies were expiring and he
intended to raise rents. The tenants contacted the
Logan Square Neighborhood Association, which
worked with the City Department of Housing and The
Community Builders, a preservation developer, to
keep rents affordable for families earning less than 60
percent of area median income, or $45,240 for a
family of four.
The mayor was joined by leaders from the Logan
Square Neighborhood Association and Chicago
Rehab Network staffers for the announcement.
Daley also announced plans to introduce an
ordinance designed to help apartment buildings
remain affordable.
Daley's ordinance is modeled after a 2004 state law
requiring building owners to give tenants 12 months'
notice before subsidies expire, so the tenants have
time to seek a developer who would keep the building
affordable. Under the mayor's ordinance, the owner
also would have to notify the city, which could look for
an affordable developer. If the owner sought to sell to
a market-rate developer, the affordable developer
would have the right to match the purchase price. The
Chicago Rehab Network was instrumental in getting
the state law passed.
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Takin' Note |
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Congratulations to Joy Aruguete, executive director
of Bickerdike Redevelopment Corporation, on her
appointment to the Enterprise Advisory Board.
Enterprise's Network Advisory Board is comprised of
leaders in the affordable housing and community
development industry. The board advises Enterprise
on practitioners' needs in the field, lending policies
and New Markets Tax Credits and provides feedback
on Enterprise's existing efforts and new initiatives to
revitalize communities. Enterprise's mission is to see
that all low-income people in the United States have
the opportunity for fit and affordable housing and to
move up and out of poverty into the mainstream of
American life. Enterprise is a national organization
that helps build affordable housing for low-income
Americans through providing financing and expertise
to housing developers, including loans, tax credit
financing and asset management services.
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Kim Jackson, executive director of the Lawndale
Christian Development Corp., was featured in a
recent Chicago Defender article. The article
referred to Jackson's years of work in the community
and experience managing and refurbishing buildings
in the area. We add our best wishes to those who
are looking forward to Kim's successful tenure at
LCDC.
The Center for Neighborhood Technology's
first Open House to showcase analytical and hands-
on tools created by CNT staff was a resounding
success. Almost 150 people filled CNT's first floor on
Thursday, May 10. Read more here.
The CRA Coalition Grants and Investments Task
Force would like Chicago-region community
organizations to participate in a survey to measure the
demand for CRA-qualified grants and investments
provided by Chicago-area financial institutions. With
this information, the task force will be able to assess
needs and priorities and determine whether these
funds are sufficiently helping underserved
communities. To access the survey go to http://www.
woodstockinst.org/grants.
Congratulations to the Woodstock Institute and
National Housing Law Project! The John D. and
Catherine T. MacArthur Foundation announced March
29 that eight organizations in six countries received
the second annual MacArthur Award for Creative and
Effective Institutions.
We wish to congratulate two groups for their work and
success:
- National Housing Law Project - Oakland,
California: Over four decades, the National
Housing Law Project has become a nationwide
leader in legal advocacy for some of the lowest-
income Americans - those living in federally-assisted
housing. The organization provides legal assistance
for tenants, trains attorneys in the intricacies of
housing law, monitors and engages in precedent-
setting, housing-related court cases, and analyzes
federal policy and pending legislation for its affordable
housing implications.
- Woodstock Institute - Chicago, Illinois: By
broadening access to responsible credit and well-
priced banking, financial and insurance services,
Woodstock has expanded economic opportunity for
individuals and strengthened low-income
communities, both in Chicago and nationally.
Woodstock research and policy recommendations
have helped to preserve a strong Community
Reinvestment Act, even as regulators and financial
institutions attempt to weaken it, and increased
consumer protections against abuses in lending and
financial services industries.
In 2006, the Chicago Rehab Network was among the
first recipients of the MacArthur Award for
Creative and Effective Institutions.
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