ICE Raids Rattle Landlords as Tenants, Workers Stay Hidden

Chicago landlords are facing an unexpected new expense line item: fear.

A wave of U.S. Immigration and Customs Enforcement raids across the city and its suburbs has left tenants missing rent, contractors skipping work sites and property managers bracing for rising costs. The disruption adds strain to a market already short of more than 100,000 affordable units, according to some counts. Landlords estimate up to 40 percent of their contractors are now absent, while some tenants — including those with legal residency — are too afraid to leave home, the Chicago Sun-Times reported.

Owners say they’ve been absorbing the fallout but warn that if raids persist through spring moving season, rents could rise to offset the losses. Jeff Weinberg of Drexel Properties, with 1,100 units citywide, told the outlet that the enforcement drag “is going to hurt renters at the bottom of the bottom rung the most.”

For John Warren of Forte Properties, the shock came Oct. 7, when armed ICE agents appeared at one of his Cicero buildings. Warren oversees about 450 units across Latino-heavy suburbs like Berwyn and Cicero, and says since the raid, “residents are scared to open their doors.” Maintenance staff are staying home, and tenants who miss work are falling behind on rent.

Other operators told the outlet similar stories. Crews are refusing to show up at buildings where agents have been spotted. In one highly publicized South Shore raid, federal agents in military gear tore through an apartment complex on South Shore Drive, arresting 37 people, including U.S. citizens, according to the Department of Homeland Security. ICE said some detainees were suspected of gang or drug ties, but has not provided evidence.

Gene Lee of TLG Development, who owns 18 South Side apartments, said labor costs are up as longtime contractors disappear. Tracy Scanlon, who manages 1,000 North Side units, said maintenance delays have stretched to weeks, leaving units unrentable and costs mounting. Adding to that, landlords have limited legal recourse regarding police and federal conduct within their buildings, even in common areas or a tenant’s apartment.

“Inefficiencies hurt our community and make housing more expensive to provide,” Warren said. “America was built by immigrants. For us to be chasing the good guys is counterproductive.”

— Eric Weilbacher