The sale, recommended for approval Tuesday by the community development commission, will allow Paulina Park LLC to build 27 one- and two-bedroom units priced from $212,000 to $252,000, including one parking space.
About two miles further west, the department of planning and development is putting out a request for proposals for three acres on both sides of Kedzie Avenue between Flournoy and Taylor streets. The city is looking for someone to build about 100 market-rate townhouses or condominiums on the land, which has been appraised at $989,000.
The city is getting fair market value for its Warren Boulevard land and is offering no financial help for the $5.6 million project two blocks northeast of the United Center.
If financial assistance was sought, about five units would likely be set aside for affordable housing. However, the area already has an abundance of subsidized and low-income housing, including replacement units at the former site of the Chicago Housing Authority's Henry Horner Homes.
"We want to mix it up and have some market-rate in there," says 27th Ward Alderman Walter Burnett, who believes there is a demand for the product that will be sold by broker Ari Ron's Dream Town Realty agents.
"People are starting to come a little west of Ashland because of the prices," says Burnett, noting the $300,000 and $400,000 units on the other side of the north-south thoroughfare.
Financing for 94% of the project is coming from Hermitage Community Bank. The partnership, which has done multifamily projects in the Northwest Side neighborhoods of Albany Park, Avondale and Irving Park, is kicking in an adjacent parcel worth $300,000 as its equity.
The deadline for proposals for the Kedzie Avenue acreage is June 26.
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