November 13, 2007
FOR IMMEDIATE RELEASE

For more information, contact Ibis Antongiorgi, Press Secretary to Cook County Board President Todd H. Stroger, at 312-603-0396 or by email at iantongiorgi@cookcountygov.com. 

Stroger, local and State officials gather for historic groundbreaking at south suburban housing project  

Cook County’s equity stake helps leverage critical financial support for sweeping rehab of blighted town homes into new mixed-income development. Collaboration with Illinois Housing Development Authority helps secure funding for project.

See below for high-resolution photos.

November 13, 2007, RIVERDALE, Illinois – Cook County Board President Todd H. Stroger joined dozens of local, County and State of Illinois dignitaries to break ground on Whistler Crossing, a new mixed income development of the Pacesetter housing project in south suburban Riverdale. The groundbreaking ceremony began at 10:30 a.m. on Tuesday, November 13 at the building site, located near 138th & South Lowe Avenue, with Cook County’s Department of Planning & Development cosponsoring the event with the Illinois Housing Development Authority.

The Whistler Crossing effort is part of a renewed commitment from Cook County to leverage its funds in partnership with other private and public agencies to strengthen the region’s housing base. Cook County’s Department of Planning & Development provided a cash stake of more than $4.5 million dollars through its annual allocation of federal housing funds for a major equity stake in the development.

The Illinois Housing Development Authority, under Governor Rod R. Blagojevich, provided another $13.3 million in grants, loans, and tax credits, which included a $6.3 million high-risk acquisition investment very early on in the project. The total cost of Phase One of the redevelopment is $38 million.

The project will provide several phases of rehab and redevelopment for Pacesetter, a blighted 397-unit Riverdale town home development bounded by 138th Street on the south, rail yards to the north, Lowe Avenue to the west and Eggleston Avenue to the east. Local officials believe that restoring the development, built over fifty years ago, is key to the long-term vitality of the Village of Riverdale and the surrounding area.

Other speakers joining President Stroger on Tuesday included DeShana Forney, Executive Director of the Illinois Housing Development Authority; Peter Holsten of Holsten Development Corporation – the lead developer on the project; Riverdale Mayor Zenovia Evans; Calvin Holmes of the Chicago Community Loan Fund; Cook County Commissioner Deborah Simms, whose district includes the development; Alicia McCray, board chair of Turnstone Development, which is partnering with Holsten on the project; State Representative Will Davis; and Jack Lavin of the State of Illinois’ Department of Commerce and Economic Opportunity.

“Our region’s economic vitality is critically impacted by the ability of local families to find affordable quality housing near jobs, good schools, transportation and other amenities,” said President Stroger. “As a regional jurisdiction, Cook County is in uniquely positioned to partner with both municipalities and the State to further the aims of affordable housing and workforce housing for our residents. The need for stable, quality housing has only grown in recent years as property has become more expensive and people struggle with the mismatch between available jobs and affordable housing.”

"I am ecstatic that this development is beginning,” said Riverdale Mayor Zenovia Evans. “Inner ring suburbs around Chicago all have older homes, so reinvestment in our housing stock is vital to our future. Cook County and IHDA have gone above and beyond their usual financial assistance and I really appreciate all the support we have received."

Cook County, the Illinois Housing Department Authority, the village of Riverdale, Holsten Development, the Housing Authority of Cook County, Turnstone Development and other private and public agencies worked together to assemble the project. Cook County’s support for this unique partnership is designed to leverage a critical equity stake to win additional financial support to fund the project.

"As the state agency dedicated to financing quality, affordable housing across the state, the Illinois Housing Development Authority is pleased to have invested more than $13.3 million in grants, loans, and tax credits to Phase One of the Riverdale Pacesetter Rehabilitation Project,” said DeShana L. Forney, Executive Director of the Illinois Housing Development Authority. “This redevelopment project will increase affordable housing options for 130 low-income families in the neighborhood, and represents the coordination of policy and resources that Governor Blagojevich has been advocating in his annual comprehensive housing plans since 2005. It brings together the strength of village, county, state, and federal resources to benefit local families and the community. We’re proud to partner with Cook County in this effort."

The overwhelming majority of the Pacesetter townhomes are in disrepair. The units typically abut in groups of six or eight, and many include one-car garages that have been converted to additional living space.  Most are three-bedroom units with 1-1/2 baths. Phase I of the redevelopment project includes 90 units along Lowe Avenue and two mixed-use buildings at the intersection of Lowe Avenue and 138th Street that will generate an additional 40 units of housing.

“Cook County’s leadership played a critical role in creating a viable financial platform from which to move forward with this project,” said Peter Holsten of Holsten Development, which will be overseeing construction and development for the project. “We’re thrilled at the opportunity to be able to participate in the effort to bring appealing, inviting and affordable rental housing to literally hundreds of families in the south suburbs.”

The two mixed-use buildings at the intersection of Lowe Avenue and 138th Street will be structured with apartments above commercial space on the ground floor. The buildings will be designed to provide a prominent and appealing gateway into the development. Each two-bedroom residential unit will include high-speed internet access, secure visitor access via a monitored central lobby on the ground floor and elevator access to the residential units above. Sixteen of these units will be marketed to individuals at or below 60% of area median income, with the remaining 24 units rented at market rate. The first floor commercial space will house an on-site management office, community center and other tenants that could include a health club, day care facility, dry cleaners, or a convenience store.

All units in Phase One will meet ADA standards of visitability, and some townhomes and newly constructed units will meet the ADA’s more stringent standards for full accessibility and livability for wheelchair users and other persons with disabilities. Two of the 40 units in the new mixed-use construction will be accessible, i.e., including larger bathrooms for wheelchair turnaround, grab bars, open under sink counters, etc. Five of the units in the town homes – those located at the ends of two of the townhouse rows – will be accessible. These units will be converted from three to two bedrooms to allow for the additional space required, including chair lifts. In addition, 19 units throughout both unit types will be adaptable – that is, with walls that are reinforced for installation of grab bars, if necessary; larger door frames to accommodate wheelchairs, and so forth. Combined, Phase One will include 26 accessible and adaptable units – 20% of the total units, meeting Illinois accessibility codes – including the seven fully accessible units (five in the townhouse units and two in the mixed-use buildings).

The project is committed to fostering environmental sustainability through a number of strategies. The developer is receiving grants from the Department of Commerce and Economic Opportunity (DCEO) and the Illinois Clean Energy Community Foundation (ICECF) to upgrade standards for insulation; roofing; air sealing; caulking; drywall; upgraded doors and windows that include energy saving glazing; higher efficiency mechanicals to include furnaces, hot water heaters, etc.; Energy Star-rated appliances; and low flow faucets and toilets

The developer is also incorporating environmentally responsible components that will include stormwater management (retention) through on-site bioswales; the use – and re-use where feasible – of environmentally friendly materials; and the installation of solar panels at the mixed-use buildings.

Upon its completion, Phase One of Whistler Crossing is expected to offer a pioneering example of environmentally and civically responsible redevelopment in one of Cook County’s most economically challenged but promising regions – south suburban Riverdale.

Cook County has historically allocated federal resources – typically via HUD’s CDBG and HOME funds -- to municipalities and not-for-profits through a proposal process seeking funding for housing developments and related social services. Cook County’s participation in the Pacesetter project allows the County to build on lessons learned and implement more proactive strategies – in partnership with municipalities, other government agencies and not-for-profits – that encourage priority housing and community and economic development initiatives.

“By using Cook County’s resources to leverage better value in conjunction with the limited resources that our partners currently have available, we can accomplish more than any of us could working alone,” said President Stroger.

Cook County’s revamped approach to housing initiatives includes a renewed partnership with HACC -- the Housing Authority of Cook County -- to advance common goals around quality affordable and workforce housing in suburban Cook County. Those discussions have helped identify a number of policy and development opportunities based on greater coordination between HACC and the County. Those opportunities are expected to provide new community-based resources that are currently out of reach for the local workforce and low-income households, as well as revitalize existing public housing and neighborhoods in transition.

“This project creates some critical synergies,” said President Stroger. “It reinvigorates a housing development in great need of restoration. It provides area employers with access to a pool of workers who live in safe, quality, affordable rental housing, and it provides a significant boost to the larger area over time.”

The County’s new approach is also designed to preserve quality affordable rental housing by leveraging a full range of incentives and supportive financing arrangements, an approach that is grounded in work between the County and the Preservation Compact, an effort sponsored by the MacArthur Foundation and the Urban Land Institute to identify strategies for preserving rental housing. The goal is to slow the loss of rental units by bringing to the table the County’s revenue bonding capacity, along with available HOME and CDBG funding, plus HACC’s voucher program and other resources being developed by the Preservation Compact.

Other key areas of focus for Cook County’s new approach to housing issues include the development of new multi-family housing and employer-assisted housing through State-sponsored tax credit programs, tax exempt bonds, rent support and voucher programs, federal, state and private grant and loan programs. To be financially feasible to build, affordable rental housing proposals require a combination of several of these programs, each with its own requirements and limitations. Many developers, especially in the suburbs, lack experience in structuring these transactions. By partnering with HACC, the Metropolitan Mayors Caucus and individual municipalities, Cook County is able to assemble a package of incentives and seek proposals from private developers that will increase the supply of affordable and workforce housing. 

In addition, with Cook County focusing on generating quality housing in areas that fit with employers’ local needs, commuting times and road congestion – and the pollution this can create – are eased, reducing the impact of commuting on family life and workplace productivity, and helping more employees find a way to afford to live near where they work. State law now offers tax credits to employers who assist employees by providing housing counseling and down payment or rental assistance. Matching funds are also available for income-eligible households. Cook County is working to bring together employers and municipalities throughout suburban Cook County to encourage use of these incentives, along with other subsidies available through the County, HACC, the State and the municipalities, as an expansion of efforts already underway in the northwest suburbs through the Metropolitan Planning Council, REACH Illinois and other partners.

For more information, contact Ibis Antongiorgi, Press Secretary to Cook County Board President Todd H. Stroger, at 312-603-0396 or iantongiorgi@cookcountygov.com. 

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