Jefferson Park Project Runs Into Headwinds

The Mega Group, which includes former department of planning and development official Thomas LoVerde, plans two seven-story condominium towers containing 132 units connected by a first floor with 9,000 sf of retail space. The company's portfolio includes a recently opened CVS pharmacy at Milwaukee and Lawrence avenues, as well as an office building one block north, just south of the Chicago Transit Authority bus terminal and Blue Line station.

However, Mega Group has been unable to acquire two vacant lots at 5201 and 5225 W. Lawrence Ave., where the project would be built, as well as 4759 N. Laramie Ave., where a park would be built.

While the city would use its authority to acquire the sites, the Mega Group would pay the full cost for the property, says Denise Roman of the department of planning and development.

Roman expects to return to the community development commission "in three to six months" with a formal proposal from the Mega Group, which is expected to include a request for tax increment financing.

"This developer doesn't deserve to get any TIF money in our neighborhood," says real estate agent Robert Bank of the Jefferson Park Neighborhood Association. He says the project would be built next to single-family bungalows, and accused Mega Group of being less than forthcoming on details of the proposal.

"(Alderman Patrick J.) Levar and the department of planning and development have colluded to keep the neighborhood in the dark," Bank charged. "It's disgraceful."

However, the 5200 block of Lawrence Avenue has been earmarked for redevelopment since 1998. The department of planning and development was given authority to acquire the property in early 2002.

"The impacts of both projects will revitalize the entire district," says Terry Boyke, aide to the 45th Ward alderman.

"While the residential neighborhood is very strong, the commercial area is very sick," Roman adds.

Mega Group already has made its proposal palatable to city officials by setting aside 25 units at affordable prices along with a "green roof." Market rates for the one- and two-bedroom units will range from $140,000 to $336,000, Roman says.