New details have been revealed on the sale and renovation of an affordable housing project at 6430 S Stony Island Drive in Woodlawn. Located just north of the intersection with E 65th Street, the 1969-built structure was recently purchased by the Preservation Of Affordable Housing (POAH) for over $29 million from PNC Bank who has owned the property since 2015. The renovation gives residents a sigh of relief as the area directly across the street from the future Obama Presidential Center grapples with rising cost.
With the popularity of Hyde Park, the future center, and the growing University of Chicago campus, the city has formed a committee to assist with funding affordable housing and will provide $500,000 to the project. However the majority of the funding will come from POAH who has now acquired or built nearly 1,000 apartments in the Woodlawn area, and will be one of the first utilizing four- and nine-percent Low-Income Housing Tax Credits (LIHTC), their own capital, and a loan from Merchants Capital.
The 21-story aging tower holds 240 residential units split into one-, two-, and three-bedroom apartments all of which will receive new electrical and plumbing services, new windows, kitchen updates, and cleaning. The building itself will also receive upgrades to its accessibility and community spaces including to its computer lab and children’s play areas. Overall the renovation will spend roughly $100,000 per unit.
According to a September article from financier Merchants Capital, they plan on a 20-year extension on 132 Section 8 units, housing fund credit of 11 units, and offering the remaining 99 units at 60 and 80 percent of the Area Median Income (AMI). POAH has also announced plans to offer job readiness training and services to residents at its Woodlawn service center nearby. At the moment no start date has been decided for the renovation but a mid-2022 date is expected, with the overall investment including the purchase costing $72.6 million.