Additional funding has been approved by the Chicago Community Development Commission for the next phase of the Lathrop Homes redevelopment around 2712 N Hoyne Avenue. Earlier this year we covered the project when it gained funding approval from the CHA, now an additional $25 million in TIF money is on its way towards full city approval.
Originally built in 1938, the multi-building complex spans over 35 acres of riverfront property and contained 925 units when it was first completed. However, like many other housing projects of the time, lack of maintenance and funding led to its eventual closure in 2011. Since then two phases of redevelopment were completed in 2019 and 2023 bringing back 488-units.
To be demolished (RED) – Redeveloped (GREEN) – Map of proposed redevelopment of Lathrop Homes
While those two phases focused on the upper half of the complex that sits north of W Diversey Parkway, this next phase will redevelop the area south of the street including the historic powerhouse. The project calls for the construction of one new structure, the restoration of seven existing buildings, and the demolition of three buildings at 2742, 2706, and 2620 N Hoyne Avenue.
View of the completed initial phase of Lathrop Homes via BDC Network
These efforts are being led by the CHA along with Related Midwest and Bickerdike Redevelopment Corp. Meanwhile the design of the new structure set to rise at 2740 N Hoyne will be done by bKL Architecture, the rehab of the existing buildings by HED Architecture, and the powerhouse will be by Arda Design formerly Bauer Latoza Studio.
View of the completed initial phase of Lathrop Homes via BDC Network
All together, this phase will bring 309 residential units of which 121 will be CHA replacement units, 92 will be considered affordable for those making 30 to 80 percent AMI, and 96 will be market rate. In total, there will be 24 studios, 169 one-bedroom, 106 two-bedroom, and 10 three-bedroom apartments.
View of the completed initial phase of Lathrop Homes via BDC Network
Meanwhile the powerhouse on the southern tip of the building will be restored and the smokestack rebuilt, turning the structure into a gray box that can be built out by a future tenant. Residents will also have access to 100 vehicle parking spaces, landscape courtyard, and other community spaces.
View of the completed initial phase of Lathrop Homes via BDC Network
Overall the project will have a cost of around $202.5 million with sources to fully fund it, the largest of which are a $47 million mortgage, $37 million in CHA loans, $37 million in LIHTC equity, the aforementioned TIF money, and $21 million in historical tax credits among others. While a contractor has not been selected, CHA hopes to break ground soon and be done in 2026.
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Excited to see this completed! Lathrop Homes remain beautiful, and the empty buildings feel so out of place in the middle of that area. Hopeful for the future!
Glad this area has been rehabbed vs flattened.
Is the City given an equity share for the $25 million in TIF funds and the $21 million in historical tax credits?
I don’t believe so but they absolutely should get an equity share. If the city ran itself a little smarter it would go a long way.
Wonder if we can make it a ballot initiative that the city should get equity when releasing TIF funds.
Historic tax credits are awarded by the City, but they don’t supply the funding. I believe it’s Federal.
I’m very happy to see this part of Lathrop being finished. It was a sore sight for eyes. I’m anxious to know will there be job opportunities in the area? Employment is needed in this area badly.
Wasn’t this a failed social housing development? Maybe I’m confused but I feel like granite countertops and smart thermostats are going to change anything this time around. They need to change something more fundamental about this development of they hope to see it succeed.
Did you read?
Has the part of Lathrop Homes that has already been revitalized and inhabited for years now shown any signs of failing? No, because it’s not all public hosing anymore, it’s mixed income which is far better. Just like with the new phase which for the majority won’t be CHA operated, so mostly not just public housing like before. Also, the surrounding areas are much more safe and wealthy compared to before, meaning this area is likely to be well maintained, policed, and not neglected.
The change this time is having mixed income rent prices. Studies show that mixed income housing fairs much better long term. There are lots of benefits. I’d Google it! I think this redevelopment is a great idea!!
The first phase of the revitalization has been awesome. It has really propelled growth in the area and brought in a sense of community. I am hopeful that doing the area south of Diversey will continue that trend.
I am very curious on future uses of the smokestack. Could be a very cool mixed use space – perhaps an art gallery.