CHICAGO—BOMA/Chicago has come out against theproposed expansion of a Central Loop neighborhood improvementdistrict, which now covers buildings on both sides of State St.,into the East Loop. Officials from the organization, whichrepresents most downtown building owners, say it will createanother tax for owners without providing needed services.

The City of Chicago contains dozens of suchspecial service areas, and the one along State St., calledSSA #1, is the oldest. The Chicago LoopAlliance, the nonprofit that administers SSA #1, hasproposed a 15-year renewal, beginning in 2015, and an extension ofthe area boundaries to take in properties along Wabash Ave., thewest side of Michigan Ave., and the east side of Michigan north ofRandolph St. and south of the river. If approved by the citycouncil, the owners would pay into a fund that CLA uses to shovelsnow, pressure wash sidewalks, install landscape improvements likeplanters and medians, and install seasonal decorations, among othertasks.

Officials from CLA say the expansion will help improve the EastLoop, a submarket that has struggled to attract tenants. Accordingto data from US Equities, the vacancy rate, now atabout 16%, has remained largely unchanged since 2006. The alliancewill host a community meeting on Wednesday, May 21, from 8:00 AM to10:00 AM, at University Center Chicago, 525 S.State St. and present their proposal.