CHICAGO-An area between two former Chicago Housing Authority developments on the Near West Side will be getting its first full-service grocery store in decades. A land-write and tax increment financing package, totaling 34% of the project’s $12.7-million cost, has been endorsed by the community development commission for a 70,000-sf retail center.

The city had sought $2.2 million for a three-acre lot on the southeast corner of Madison Street and Western Avenue. Rather than the appraised value, the city will sell the property to West Haven Phoenix, LLC for $733,316, plus provide $2.93 million in tax increment financing in the form of a developer’s note.

“The reason that there is such a high level of city subsidy for this project is the land costs are getting higher all the time in the area,” explains Dina Wayne of the department of planning and development. The site also was not large enough to attract larger grocery chains, she adds, and the food store that will open there has higher costs than its larger competitors.

An Ultra food store will anchor the center in a 56,000-sf location, which seven in-line spaces in another 14,000 sf. A Dominick’s store is a mile-and-a-half away while Jewel has an outlet two miles away. Both of the larger competitors’ nearest stores are across the Eisenhower Expressway, notes Kimberly Cooke of the department of planning and development.

The site is located between the former Henry Horner and Rockwell Gardens public housing projects, being redeveloped as part of the CHA’s $1-billion “Plan for Transformation.” “This site will provide the community with a new grocery store,” Wayne says. “This is beginning to be a booming residential area, and it is short on retail.”

West Haven Phoenix, LLC is a partnership involving the Near West Side Community Development Corp., which built a 20,000-sf Walgreens drug store on the northeast corner of Madison Street and Western Avenue, as well as a 5,000-sf dental office. Trkla, Pettigrew, Allen and Payne, also involved in West Haven Phoenix, LLC, built the Lake Park Shopping Center at 47th Street and Lake Park Boulevard in the Hyde Park neighborhood, which promises to be similar to the Near West Side center.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?


© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.


GlobeSt Net Lease Spring 2024Event

This conference brings together the industry's most influential & knowledgeable real estate executives from the net lease sector.

Get More Information


Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join now!

  • Free unlimited access to's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including and

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2024 ALM Global, LLC. All Rights Reserved.