Aurora hotel to be renovated for low-income seniors

A low-income senior housing apartment, the historic former Aurora Hotel, in suburban Aurora will be getting rehab after more than 20 years since it was developed.

The city set aside $400,000 of its Community Development Block Grant funds with details pending on how much the city will contribute to the project at Galena Boulevard and Stolp Avenue, according to Chicago Tribune.

There are “multiple issues going on at this property,” Chris Ragona, Aurora Community Development manager, told aldermen at a City Council Public Health, Safety, and Transportation Committee meeting when discussing this year’s block grant funding.

The one-time luxury hotel, opened in 1917 and listed on the National Register of Historic Places, was developed into a 56-unit affordable housing in 1996 for senior citizens 60 years old and older. The subsidized complex charges $500 monthly rent, well below the average rent of $1,499 for a 900-square-foot apartment in Aurora, according to rentcafe.com.

At the time of the development, the property owner received aid from multiple state and federal sources, including $750,000 for compliance with historic preservation guidelines. The City Council also voted to extend a $550,000 loan to the owner with a 1 percent interest rate as part of the project.

While the property recovered close to full occupancy, the owner was hit with vacancy rates between 10 and 20 percent at one point during the pandemic. Ragona expects Aurora city officials to have a more detailed agreement during the summer for the owner of the property.

“In order to keep rents low, there is not a lot of money left over for other things,” Ragona said. “So when there are severe vacancies, it does have an effect.”

[Chicago Tribune] – Connie Kim