Chicago announces $200M in real estate developments in underdeveloped communities

Chicago announced a planned development of mixed-used real estate valued at $200 million in underserved communities as part of the mayor’s Invest South/West initiative to spur development in those areas.

Chicago’s planning department selected four projects for South Chicago, North Lawndale, Bronzeville and New City. The projects are expected to include more than 215 residential units and 40,000 square feet of commercial space on vacant or underutilized sites, according to Crain’s.

“One of my highest priorities is bringing catalytic investments to our South and West Side communities, which have gone far too long without revitalization,” Chicago mayor Lori Lightfoot said in a statement. “These new projects will allow us to do that and represent an important collaboration between our city departments and the communities we serve.”

Lawndale Redefined

United Yards is the most ambitious $51.5 million multi-use project. A joint venture of Celadon Partners and the Blackwood Group seeks to redevelop a vacant, city-owned lot at 1515 W. 47th St. with a 50-unit affordable apartment building. Additional phases will also redevelop a vacant, four-story building at 4701 S. Ashland Ave. with 30 senior rental apartments and a ground-floor coffee shop.

Lawndale Redefined project is a $31.4 million joint venture from GRE Ventures, Imagine Group, and 548 Development. Lawndale Redefined will be located on Ogden Avenue between Homan and Trumbull avenues consisting of 60 mixed-income apartments, three townhomes, retail space, and a stand-alone community center.

Galleria 89

Other projects include Galleria 89 and Legacy District. Galleria 89 is a $23.5 million project that will create a four-story building with 35 mix-income apartments and rehab an existing three-story building with 10 mix-income apartments in South Chicago.

Joint venture between KMW Communities and LG Development will develop the Legacy District, a $19.2 million project that will construct a six-story building with 12,000 square feet of commercial space and 25 mixed-income residential units in Bronzeville.

Legacy District

This is the second round of mayor Lightfoot’s announcement of investment proposal selections. The announcement of $67 million in investment proposals for the developments in Austin, Auburn Gresham and Englewood neighborhoods came in early March. The mayor’s three-year program Invest South/West Initiative plans to invest $750 million in developments across 10 neighborhoods on the South and West sides.

In March, Lightfoot also proposed an overhaul of Chicago’s Affordable Ordinance. She called for doubling the amount of required affordable units in new construction, which opponents said it will discourage development.

The city will review the proposed developments with the Plan Commission and the City Council. The projects are expected to be approved on an accelerated timeline of less than six months and start construction by 2022.

[Chicago Tribune] — Connie Kim