Sale of various City-owned properties to United Power for group sales to developers The Resurrection Project, Precious Blood Ministry of Reconciliation, Sunshine Gospel Ministries, Lawndale Christian Development Corporation and IFF Real Estate Holdings LLC under modified City Lots for Working Families Program

• Record number: SO2024-0008969
• Type: Ordinance; category: Property
• Status: Final
• Sponsor: Johnson, Brandon
• Committee: Committee on Housing and Real Estate
• Submitted Date: Apr 17, 2024
• Introduction Date: Apr 17, 2024
• Final Action Date: May 22, 2024
• Official record: Office of the City Clerk

Impact report

Written by AI from the official document. AI can make mistakes; the official document always wins.

The City would sell up to 500 City-owned vacant lots for $1 each to five nonprofit developers working with United Power to build affordable single-family homes and two-flats, under modified City Lots for Working Families rules.

Who it affects

• Working families looking to buy a home: At least 75% of the new homes must be sold at an Affordable Price, while up to 25% may be sold at market-rate prices.
• Nonprofit developers (The Resurrection Project, Precious Blood Ministry of Reconciliation, Sunshine Gospel Ministries, Lawndale Christian Development Corporation, and IFF): They could buy City lots for $1 each, have certain City fees reduced or waived, and build more than 20 homes each.
• United Power for Action and Justice: This group of 40 congregations and organizations submitted the proposal for its member developers to build homes on the lots.
• Minority- and women-owned businesses (MBE/WBE): The usual MBE/WBE requirements would be waived for this project.
• City residents seeking construction jobs: The usual City Residency Hiring Requirements would be waived for this project.
• Neighbors near vacant City-owned lots: Vacant lots listed in Exhibit A would be sold for construction of new owner-occupied homes.

What changes

• Up to 500 City-owned vacant lots would be sold in groups of 125 or less to five nonprofit developers.
• Each developer could build more than 20 homes, which is more than the program normally allows.
• Lot values would be set by "Market Valuation," an independent market value assessment of lots in neighborhood subareas, instead of "Appraised Value."
• The project would count as "Affordable Housing" under the Open Space Impact Fee Ordinance, and the 2021 Affordable Requirements Ordinance would not apply.
• Each sale depends on the City signing a redevelopment agreement with each developer.

Money

• Developers pay $1.00 per City Lot for up to 500 lots, each with a value under $175,000.
• Certain City fees listed in Exhibit B would be reduced or waived for the developers.

When: Upon passage and approval

Lobbying and money

Computed links; money near a vote is not evidence that it influenced the vote.

Who lobbied on it

• The Resurrection Project: PLANNED DEVELOPMENT FOR 26TH AND HALSTED (1 filing, Jul 1, 2023 to Sep 30, 2023; Steven Friedland; matched by client named)