Three projects in the northern suburbs are set to receive conditional awards in federal low income tax credits as part of an overall goal to fund affordable housing initiatives throughout the state.
Libertyville’s Eve B. Lee Place, Evanston’s Housing Opportunity Development Corporation and Mt. Prospect’s Prospect Senior Lofts were three of the 25 statewide housing developments scheduled to get the tax credits, the state announced on May 27.
The Internal Revenue Service apportions tax credits to each state based on population with the Illinois Housing Development Authority administering the program, the state explained. After the tax credits are sold to investors, they will amass nearly $300 million in private capital allowing for the financing or preservation of more than 1,300 affordable statewide housing units for low- to moderate-income families, veterans, seniors or people with special needs.
In the case of Libertyville’s Eve B. Lee Place, the state awarded $1.35 million in tax credits as part of the project, where the local Community Partners for Affordable Housing (CPAH) is in the midst of creating a 34-unit residential community for people 55 years of age and older.
CPAH wants to convert a long-term vacant building into a 34-unit complex.
“The village of Libertyville’s recently adopted comprehensive plan calls for more attainable housing for empty nesters and early retirees. This a redevelopment of a long vacant property that will help fulfill those goals,” CPAH President Rob Anthony said.
Eight of the units will be set aside for households earning 30% or below of area median income, and another 26 will go to households earning 60% or below of the area median income, Anthony added.
The building will also be the new main office/headquarters for CPAH.
“This is the bulk of the financing we needed, and we also have a $1.5 million commitment from Lake County and thus our plan is to break ground by the end of this year,” said Anthony, who estimated a 12-15 month construction timeline , delayed partially due to the supply chain crisis.
In Evanston, the Housing Opportunity Development Corporation (HODC) intends to build a new mixed-use five-story building featuring 44 apartments with 52 parking spaces. The building will be marketed to low-income residents, with some units set aside for people with disabilities or who are anywhere between 30% to 60% of the area median income.
The building is in the 1800 block of Church Street and will be built adjacent to a new building for Mt. Pisgah Ministry on what is now an empty lot, according to HODC Executive Director Richard Koenig.
“It provides the financing that we can create new affordable rental units,” Koenig said.
Koenig explained there would be $1.5 million in credits that will mean to $13 million in equity for the construction where the hope is to start in early 2023 and completed about a year later.
In Mt. Prospect, the goal is to have 53 units of housing for people 55 and older in a new four-story building.
Attempts to reach a representative of MVAH Holding LLC, the sponsor of the project, were unsuccessful.