EntSun News

Popular on EntSun


Similar on EntSun

Chicago: Mayor Brandon Johnson, Department of Housing Announce $300 Million Investment in Affordable Housing

EntSun News/11088358
CHICAGO ~ Chicago Mayor Announces $300 Million Investment in Affordable Housing Developments

Chicago Mayor Brandon Johnson and the Chicago Department of Housing (DOH) have announced a significant investment of over $300 million in 15 affordable housing developments across the city. This investment is part of the 2025 Qualified Allocation Plan (QAP), which sets the rules for accessing City assistance and federal Low-Income Housing Tax Credits (LIHTC).

The QAP, released every two years, is a crucial funding source for affordable housing development. Through a public-private partnership, investors provide equity for low-income rental properties in exchange for a federal tax credit over several decades.

In a statement, Mayor Johnson expressed his commitment to making "housing as a human right" a reality for every Chicagoan. He emphasized that this investment will not only empower families to establish roots in the city but also ensure long-time residents can stay in their communities. The mayor also highlighted the importance of increasing housing accessibility and equity to provide security and dignity for all residents.

More on EntSun News
The 15 developments will create or preserve 1,223 housing units, with 1,164 of them being affordable. This includes 445 family-sized units with 2- or 3-bedrooms and 130 units affordable to households earning just 30% of the area median income (AMI). Additionally, 13 out of the 15 projects are Equitable Transit-Oriented Developments (eTOD), promoting sustainable and accessible housing options.

Two Chicago Housing Authority (CHA) developments are included in this investment, providing a total of 566 units with 426 being affordable. Three senior housing developments are also part of the plan, along with two projects in partnership with the Department of Planning and Development Request for Proposals.

Lissette Castaneda, DOH Commissioner, commended the development teams for prioritizing affordable housing amidst Chicago's current housing crisis. She noted that these developments will bring over a thousand units to communities that are experiencing rising rates of displacement. Castaneda also highlighted the power of LIHTC in ensuring that developments reflect the needs of lower-income residents.

More on EntSun News
The total development costs for these 15 projects are estimated at $711 million, incorporating both public and private resources. This includes approximately $16 million in LIHTC, which is expected to generate $100 million in private equity, and an estimated $300 million from City financial assistance. Projects that receive LIHTC or City assistance enter into agreements guaranteeing 30 years of affordability for tenants.

The 2025 awardees include developments in various neighborhoods such as Near South Side, South Shore, Chatham, Calumet Heights, West Englewood, Woodlawn, Washington Park, Lower West Side, Logan Square, North Lawndale, West Garfield Park, Uptown, Edgewater, and Rogers Park.

These developments will be the first to benefit from process improvements made through Mayor Johnson's Cut the Tape initiative. As a result of these improvements, it is expected that control costs will increase and development will be accelerated. The closing on these projects is now anticipated within 18 months.

This investment marks a significant step towards creating a more fair and sustainable housing market in Chicago. It prioritizes affordability and stability while promoting community-driven development. With this investment and continued efforts towards housing accessibility and equity, Mayor Johnson's administration is working towards ensuring all Chicagoans have access to stable housing and a dignified life.

Filed Under: Government, City
Show All News | Disclaimer | Report Violation

0 Comments

Latest on EntSun News