ZONING VARIANCES IN CHICAGO - "Connections" Increase Chances for Success!
CHICAGO MAYOR RICHARD DALEY DEFENDS LONG-TIME UPZONING PROCESS!
Those of you not from Chicago - you might scratch your heads on this one - but this is the way it works here!
Let's say you want to build a new house for yourself. Or, perhaps, you're a Real Estate Developer, and want to build a new home, condo, or townhome project for resale. But the Chicago Zoning Ordinance won't allow the larger-than-allowed building you are envisioning in the Chicago neighborhood you would like to build in.
What do you do? What do you do?
Call the local Chicago Alderman, and apply a zoning variance!
The procedure, refered to as "upzoning," allows for larger and taller buildings to be placed on a specific parcel - larger or taller than previously allowed. The result can be a building out of scale with other, smaller buildings on a neighborhood street. This changes the character of the street, often radically, and can even block light for those residents remaining in their zoning-compliant, smaller houses.
But the process is a boon for developers and other real estate investors - who enjoy the nearly-immediate appreciation upzoning can bring. Often times, the action of changing the zoning designation alone can result in tens of thousands of dollars in increased land value.
Read the big feature story in the Chicago Tribune this past Sunday and Monday, with accompanying video and photo galleries. Under a long-accepted practice here in Chicago, The Chicago City Council nearly always approves upzoning petitions filed by a neighborhood alderman, even if there is opposition by community residents and businesses.
Especially in upscale neighborhoods undergoing strong appreciation in recent years, many of the new structures are garrish - not attractive! Click the Tribune Photo Gallery for several examples.
Long-time Chicago Mayor Richard Daley recoiled when he was asked by reporters if the current zoning process needs changing. He felt such action would be perceived as a "power grab" by the mayor's office. "Zoning is their prerogative," Daley said of local aldermen. "They are elected by local ... residents in regards to the quality of life" they provide in each ward.
Many contend the long-held Chicago practice is a hotbed of abuse, and possible corruption. Indeed, many alderman have accepted sizable campaign money from builders given favorable zoning changes.
An example is former 32nd Ward Alderman Tom Matlak, whose ward included the upscale Bucktown Neighborhood. Matlak received a $2,000 contribution from a developer wanting to build his mansion-like, 8,200 square foot personal residence on a street lined with small, yet renovated, workman's frame cottages built over a century ago. Some accuse the alderman of corrupt practice for accepting campaign contributions from developers, supposedly in exchange for zoning actions - he was voted out of office two years ago.
The practice continues in other North and South Side wards - many to negative neighborhood reaction, although many in real estate applaud the zoning changes, saying they spur upscale development across the city. The Tribune, in their main coverage last Sunday, created a database of recent upzoning decisions across Chicago, categorized by ward.
In any event, the Chicago Way is quite different than the processes used in other, older cities. But our city keeps growing, is robust, and retains many of the older neighborhoods with their old-time charm.
Many here in Chiicago hope these neighborhoods remain charming, while taking progress into account.
DEAN MOSS & DEAN'S TEAM CHICAGO
