Chicago Aldermen Spar Over Sterling Bay’s Apartment Proposal

What started as a straightforward zoning proposal for Sterling Bay has become a litmus test for Chicago’s approach to affordable housing and development incentives.

At the center of the debate is Sterling Bay’s Lincoln Park apartment complex at 1840 North Marcey Street, which has ignited a battle with Alderman Scott Waguespack over the proposed 25-story height and the developer’s request for a property-tax break tied to affordable housing commitments, the Chicago Tribune reported.

The conflict came to a head during a contentious City Council meeting, where Alderman Walter Burnett, chair of the Zoning Committee, declined to bring the project forward for a vote after its rejection in committee.

Waguespack, who represents the ward where the development would be built, attempted to force the issue, arguing that council procedures should not allow a chairperson to table a zoning proposal indefinitely. His efforts triggered a heated exchange with Alderman Jason Ervin, culminating in a parliamentary shouting match and a brief recess to cool tensions.

Sterling Bay, led by CEO Andy Gloor, has defended its proposal, emphasizing the significant benefits it claims the development would bring to the city, including 124 affordable housing units, 3,200 construction jobs, and millions of dollars in traffic infrastructure improvements.

However, the project’s viability depends on the City Council approving a “low-affordability community” designation, which would allow the developer to receive tax relief under the Affordable Illinois program. Waguespack has criticized the program as unfair, particularly in light of Mayor Brandon Johnson’s proposed $68 million property tax increase.

Sterling Bay managing director Fred Krol expressed hope for a compromise.

“We remain interested in engaging with Alderman Waguespack in a constructive dialogue that will bring this project to life. It is a historic level of affordable housing units, multimillion dollars in traffic mitigation measures, and significant tax revenue for our city at a time it is desperately needed.”

The clock is ticking for a resolution, with a Dec. 25 deadline looming for a City Council vote. If no decision is made, Sterling Bay can appeal directly to the Department of Housing for approval, bypassing local opposition.

— Andrew Terrell