Chicago selects development teams for $27.6M in Missing Middle housing projects

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Chicago Construction News staff writer

Four local development teams have been selected to build 30 new Missing Middle housing projects on vacant City-owned lots in Chicago’s South Chicago and West Englewood neighborhoods.The projects represent a combined investment of approximately $27.6 million and will deliver new two- and three-flat residential buildings while creating opportunities for homeownership in areas that have experienced prolonged disinvestment and demolition.

The selected development teams are:

  • 75 Development — $6.8 million to construct eight two-flats on the 8400 block of S. Baker Avenue in South Chicago.
  • Vazquez Housing Development — $6.2 million to construct five two-flats on the 8300 block of S. Buffalo Avenue in South Chicago.
  • Blazer Jones — $5.2 million to construct four two-flats and two three-flats on the 8400 block of S. Buffalo Avenue in South Chicago.
  • Blueprint Ventures — $9.35 million to construct 11 two-flats in the 1700 block of W. 69th Street in West Englewood.

The teams were selected from 34 submissions received through a recent Request for Applications issued by Chicago’s Department of Planning and Development for Missing Middle housing in the two neighborhoods.The developments will convert vacant City-owned parcels into new residential construction, adding a total of 30 buildings and providing new housing units within established neighborhoods.

Under the program requirements, at least one unit in each building must be sold to an owner-occupant earning up to 140% of the area median income. For a two-person household, that income threshold is $134,400 annually.The program is designed to combine new residential construction with homeownership opportunities, allowing eligible buyers to acquire newly built homes and build equity as neighborhood development proceeds.

Developer assistance could include up to $150,000 per housing unit, along with the sale of each participating City-owned lot for $1. The assistance is intended to help keep purchase prices aligned with local market conditions.

Funding would come from Housing and Economic Development Bond proceeds, subject to approval by Chicago City Council.

Missing Middle housing generally consists of smaller-scale multifamily buildings containing two to six units. The housing type was once common throughout Chicago but has declined in many neighborhoods following decades of disinvestment and demolition.

The latest projects represent the fourth phase of Chicago’s Missing Middle housing initiative. The first three application rounds have more than 300 homes advancing in North Lawndale, Chatham, South Chicago, Morgan Park, McKinley Park, and East and West Garfield Park.

The new construction is part of a broader effort to return vacant residential properties to productive use while increasing the supply of smaller multifamily housing and expanding access to homeownership on Chicago’s South and West sides.

More information on the Missing Middle housing program and selected projects is available through Chicago’s Missing Middle housing program.

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