title
Authorization to execute an agreement to enter into a Housing Assistance Payments (AHAP) Contract and a Housing Assistance Payment (HAP) Contract for The Regenerator.
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Development Address |
Community Area |
Target Population |
|
The Regenerator 6206 S. Racine |
West Englewood |
Supportive |
presenter
Presenter: Cheryl Burns, Chief Housing Choice Voucher Officer
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Recommendation
The Chief Executive Officer (“CEO”) of the Chicago Housing Authority (“CHA”) recommends that the CHA Board of Commissioners (“Board”) authorize the CEO or his designee to negotiate and execute an Agreement to enter into a Housing Assistance Payments (AHAP) contract, a corresponding Housing Assistance Payments (HAP) contract, and all other documents required to implement such items for The Regenerator. Should the project not secure required financing approvals, CHA’s commitments will expire December 31, 2027.
The requested action complies in all material respects with all applicable federal, state, and local laws, and CHA policies. CHA staff has completed all necessary due diligence to support the submission of this initiative.
Property Summary and Estimated Contract
A HAP contract shall be issued for the following Developments utilizing funding from the Housing Choice Voucher (HCV) program:
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Development Name Owner Entity |
Contract Type & Term |
Total # Units |
PBV Units |
Initial Estimated Contract |
Total Estimated Contract |
|
The Regenerator The Regenerator, LLC |
AHAP/HAP 15 Years |
48 |
48 |
$ 872,928.00 |
$ 16,235,513.00 |
Initial contract rents will be determined by market comparables and fair market rents applicable at the time the HAP contract is executed. All rent determinations will comply with federal regulations and CHA policy.
The Regenerator is a forty-eight (48) unit, proposed adaptive reuse/new construction development located in the West Englewood community. The four-story elevator served building is an adaptive reuse of the former Woods Elementary School with the addition of a new top floor. The development will contain forty-eight (48) units in total: thirty-six (36) one-bedroom and twelve (12) two-bedroom apartments. Project-Based Vouchers are being requested to assist all forty-eight (48) units will serve households with special needs, including individuals with physical, mental or development disabilities, individuals recovering from physical abuse, individuals recovering from substance abuse, victims of domestic violence, dating violence, sexual assault, or individuals who have experienced incarceration. All families will be referred from the CHA waitlist, cross-matched with the Continuum of Care database.
The building offers on-site case management offices, exercise room, community kitchen and gathering spaces. A separate portion of the building, distinct from the Residential project, will be set aside for a future Federally Qualified Health Center, in which residents will have access to onsite health services.
The building provides a range, refrigerator, dishwasher, microwave, in-unit washer and dryer, and heat/central air conditioning paid by the Owner.
Property Owner: The Regenerator, LLC is owned by managing member, Regenerator Apartments MM, LLC, whose members are GEC Regenerator Apartments, LLC (manager) and GGDG Regenerator Apartments, LLC.
GEC Regenerator Apartments, LLC, is wholly owned by Gorman & Company, LLC. Formed in 1984 to develop, syndicate and manage multifamily housing, Gorman & Company has consistently earned national recognition as a top 50 affordable housing developer by Affordable Housing Finance with a current portfolio of more than 160 projects and more than 12,000 units delivered in seven states.
GGDG Regenerator Apartments, LLC, whose manager is Go Green Development Group, is a not-for-profit corporation collaborative comprised of companies EG Woode, LC3, IMAN, RAGE and Teamwork Englewood. These entities have combined efforts through their respective specialties to provide an integrated ecosystem of housing, health and social services, and economic opportunities while directly addressing systemic inequities that have long hindered stability and growth in Englewood.
Property Manager: Gorman Property Management USA, LLC was formed more than thirty years ago with over 7,000 units managed across the country. Full-service management is offered including daily management activities, compliance services with experience in a multitude of affordable programs, and a team of resident services professionals who take an active role in providing permanent supportive housing in each community served.
Supportive Service Providers: IMAN is a community organization that fosters health, wellness and healing in the inner-city by organizing for social change, cultivating the arts, and operating a holistic health center. Incorporated as a nonprofit in 1997, IMAN has steadily grown and has opened a second office in Atlanta to continue mobilizing a cross-section of people committed to this mission.
Teamwork Englewood was formed in 2003 as part of the New Communities Program sponsored by Local Initiatives Support Corporation (LISC) and the MacArthur Foundation. Its goal is to unite the many organizations serving Englewood residents and work toward the common goal of building a stronger community.
Respectfully Submitted:
______________________
Keith Pettigrew
Chief Executive Officer