Levy House Updates
May 20, 2020:
It's official! The Levy House, a senior housing building on Sherwin Ave, will have a new owner soon and be a 100% affordable housing building and current residents and staff will be able to stay on!
This week the CHA's Board approved the allocation of a combination of Project-Based Vouchers (PBV) and a loan of up to $3 million to the Preservation of Affordable Housing (POAH) for the Levy House on Sherwin. This acquisition and partnership has ensured that 100 percent of the units will be affordable for residents currently living there. In a time of so much uncertainty, it is especially important that we don't displace our most vulnerable neighbors. Special thanks to Chief of Staff Leslie Perkins for her dedication to this project the Jane Addams Senior Caucus, Council for Jewish Elderly, the Chicago Housing Authority (CHA), and State Representative Kelly Cassidy's office.
Some background on this development:
POAH began talks with the CHA in late 2019 to purchase the property in order to allow for the preservation and long-term affordability of 56 apartments for low-income residents. The acquisition of the property by POAH also includes capital improvement plans for rehabilitation and modernization.
In 2018, the CHA purchased the Levy House from CJE. However, the acquisition by the CHA didn't ensure that all units would be affordable. The CHA planned on absorbing all leases at the Levy House as well as the subsidies for the 20 units that receive the low-income housing trust fund credits. The CHA planned to continue the trust fund credit renewals so tenants currently receiving a subsidy wouldn't be displaced. However, the remaining rents would not be subsidized; they would, rather, remain at their current rate with a 2% annual increase for inflation.
POAH's purchase of this property, however, will mean that the Levy House can become fully subsidized through a variety of low-income credits and project-based vouchers. The acquisition of the Levy House by POAH is expected to be finalized this fall; until then, CJE will remain the owner and operator.
Between now and September, POAH will work with the CHA and with the city's Department of Housing to assemble the rest of the financing. POAH will also continue in their due diligence in following through on standard real estate and finance processes. Our office would like to thank POAH for working so closely with CJE, the CHA, the Jane Addams Senior Caucus, and us to purchase the Levy House.