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Inclusionary zoning calculator will tell you how many units a developer can afford to make “affordable”

July 28, 2017 / / 0 Comments

An “inclusionary zoning” calculator can help you determine how much affordable housing your town should require that developers build in their new construction residential buildings.

I learned about Grounded Solutions Network’s Inclusionary Housing Calculator at the second-ever YIMBYtown conference in Oakland, California, two weeks ago.

YIMBY (yes in my back yard) is a movement to reduce barriers to building more housing in order to be able to house everyone at a level they can afford. It’s a movement for other things, and it means a lot of different things to a lot of different people but the end result is that more housing needs to be built.

An interested person inputs a lot of values relevant to their local housing market into the IHC and it will calculate the cost of construction per unit and the rental income from those units, and then will figure the profit margin for the developer. What makes this “inclusionary” is that one also needs to enter the desired portion of units that are set aside as “affordable” (to people making a certain income) and subsidized by the developer’s rental income.

I put the IHC through a real world exercise by inputting as much data as I knew about a rejected proposal in Pilsen.

The first proposal from Property Markets Group had 500 units, and 16 percent of them were set aside (news on this and their subsequent proposals) [I cannot find the source of the “16 percent on-site” factor]. Chicago’s Affordable Requirements Ordinance, or ARO, requires that 10 percent of the units are affordable, and that 25 percent of those 10 percent must be built on site. The other 75 percent can be built on site, or the developer can pay an in-lieu fee per unit.

Needless to say, 16 percent on-site is much, much higher than 25 percent of 10 percent. A neighborhood organization, the Pilsen Land Use Committee, however, requires 21 percent in the area, and the city council member, Danny Solis, 25th Ward, adheres to.

PMG said they couldn’t go that high, and that’s what I wanted to test.

According to this Inclusionary Housing Calculator, could the developer make enough profit (considered as 10 percent) if the building had 21 percent of units as affordable?

In this exercise, the answer was “no, PMG could not make a profit if they had to set aside 21 percent of the units as affordable.”

But the calculator showed that they could earn a 12 percent profit if 16 percent of the units were affordable. 

Some of the inputs are actual, like the sale price of the land (found in the Illinois Department of Revenue’s transactions database), but I had to make up some inputs, including the apartments’ bedroom mix, and the future rental prices of those apartments.

Further reading

  • It’s tough for people to move into one of these set-aside apartments in Chicago (DNAinfo Chicago, July 28, 2017)
  • Inclusionary zoning cannot create enough affordable units (City Observatory, February 11, 2016)
  • Other housing cost calculators like this one (City Observatory, July 26, 2016)

360° spherical photos of Chicago from 300 feet in the air

June 28, 2017 / / 0 Comments

This rad app called Hangar 360 captures a spherical photo from 300 feet in the air. If you look at them on your phone the picture takes advantage of your phone’s sensors and the image moves as your phone moves.

Click on the linked location to view the spherical photo.

Plazas at 150 N Riverside and River Point (444 W Lake St)

Wolf Point – this launch site can no longer be used because it became an active construction site for the second of three skyscrapers a couple of days ago.

Providence St. Mel and downtown Chicago

Garfield Park – one of the city’s grand parks and part of the boulevard system, or “Emerald Necklace” that connects the Northwest Side boulevards to the West Side parks of Humboldt Park and Garfield Park to the South Side parks of Douglas Park, Washington Park, and Jackson Park.

Former Ickes housing site and its relation to downtown

Ickes redevelopment site and National Teachers Academy – this site used to have over 1,000 residences owned by the Chicago Housing Authority and is going to be redeveloped into just under 1,000 units for a mixed-income community.

Smokestacks at a former incinerator in Humboldt Park

West Side incinerator – these two smokestacks remain from one of the city’s four trash incinerators, and are the subject of an upcoming story from City Bureau.

We can actually measure the “character of the neighborhood”

June 18, 2017 / / 0 Comments

The vacant lots on the 2300 block of W Erie Street are owned by the City of Chicago.

At many public meetings about development proposals, people oppose new housing on their block because it “doesn’t fit in with the character of the neighborhood”.

This is often a code or mask that the person is trying to prevent anything from changing on their block (a.k.a. NIMBY), and sometimes trying to prevent a certain kind of person (poor, Black, disabled, veteran, you name it) from living near them.

Chicago is selling six vacant lots (marked as one parcel & PIN) to a developer for $6 who will buy six single-family houses that will cost about $247,000. Only a person or family who earns up to 120 percent of the area median income could apply to purchase the house; they have to live in it for 15 years.

The other dominant building type on the block are these one-story single-family houses.

I personally think that two-flats should be built here, because land is expensive and scarce, and there should be more affordable housing everywhere in Chicago.

Are there objective ways to measure the character of a block or neighborhood? Sometimes when people say character they mean that the proposed buildings are too tall, relative to existing buildings. Other times they mean that theirs is a single-family neighborhood and thus anything with more than one unit per lot is “out of character”.

One of the common building types on the block are these masonry single-family houses.

I can measure that. I’ve started developing a query against the Cook County property tax database that Chicago Cityscape has which will count the different property types on any given block.

One of the six lots is 2327 W Erie St (it’s currently classified as “UnClassified”). Here’s a breakdown of the other property types on the block:

  • Residential garage (1 of these)
  • Apartment building with 2 to 6 units, any age (5 of these)
  • One Story Residence, any age, 1,000 to 1,800 square feet (10 of these)
  • Two or more story residence, up to 62 years of age, 2,001 to 3,800 square feet (8 of these)

The dominant building type is a single-family house smaller than 1,800 square feet. The proposed houses will have 2,500 square feet and two stories, which is similar to the characteristics of the second most present building type on the 2300 block of W Erie St.

I’ll be rolling out this feature within a couple of weeks on Chicago Cityscape after some more testing. (Right now it can only grab the properties in the red boundary on the above map, and not the corner properties that have addresses on the intersecting streets, because the query uses string matching to find addresses on “W ERIE ST” with building numbers between and including 2300 and 2399.)

Which block do you want me to test?

City selects buyer for former fire station in Rogers Park

June 1, 2017 / / 0 Comments

This was originally published on Chicago Cityscape’s Medium.

The city-owned fire station at 1721 W Greenleaf Avenue in Rogers Park is set to be sold to Jim Andrews and Dean Vance (no relation). Chicago Cityscape visited the building at an open house in February.

This was the third attempt to sell the property, and the Chicago Plan Commission will review the sale at its June 15th meeting.

Photos of the fire house taken during the February 2017 open house by Justin Haugens.

The two created a website dedicated to their proposal, and published a video introducing Scott Whelan, a developer who will be helping renovate the building. Whelan’s company, Red Line Property Group, pulls building permits mostly in the Edgewater and Lincoln Square community areas.

The image on the top-left shows the original bay doors. Renderings from the buyers’ website.

Andrews and Vance will locate their existing businesses to the building, restore the façade and historic features, add a garden and greenhouse to the rooftop, and provide on-site parking for up to 10 cars. Sustainable design features include photovoltaic solar panels on the roof, passive solar hot water, and geothermal heating and cooling.

Read their full proposal.

See how Chicago is a low-rise city from this 360° photo

May 24, 2017 / / 0 Comments
Smokestacks at a former incinerator in Humboldt Park

Smokestacks at a former incinerator in Humboldt Park – click through to see the 360° photo.

I love the new perspectives that taking photographs from a DJI Mavic Pro quadcopter is showing me.

Chicago is a very large city, by land area, and has a low average neighborhood density. This 360° photo, taken from the corner of Ohio Street and Kilbourn Avenue in Humboldt Park, shows the cityscape five and a half miles west of downtown Chicago. It shows the cityscape west of this point, and north and south.

A little southwest of the center point is a small group of mid-rise buildings at the west side of Garfield Park. One of the buildings, the Guyon Hotel, has been abandoned for a while, and another is a residential building for senior citizens that’s undergoing a complete renovation.

Chicago’s “four tallest skyscrapers” are easily visible in the background; from north to south you’ll see the John Hancock tower, the Trump International Hotel & Tower, the Aon Center, and the Sears (Willis) Tower.