The 10th building preserved under City’s Single Room Occupancy (SRO) Preservation Initiative will be secured through a $5 million multi-family loan approved by City Council today.
The Marshall Hotel at 1232 N. LaSalle St. will be rehabilitated for residents earning up to 60 percent of the area median income through the low-interest loan, which will be applied toward building rehabilitation costs. The Chicago Housing Authority will also support the work with project-based vouchers for each unit for the next 30 years.
The $31.8 million, 90-unit project by the Michaels Development Co. will include new mechanical systems and windows, roof and facade repairs, and interior modifications to create private bathrooms and kitchens within each unit.
The City’s SRO initiative was formalized in late 2014 by the Emanuel administration, which worked with the Chicago for All Coalition and other housing advocacy groups to create an ordinance that protects and generates funds to help preserve SRO buildings. More than 1,250 units have been preserved through the initiative to date.
Built in 1927 and designed by architect Edmund Meles, the Marshall Hotel features arched corridors, terrazzo flooring, and textured plaster walls. It was nominated for the National Register of Historic Places by the Commission on Chicago Landmarks earlier this year.
Other funding for the project includes $1.5 million in Low Income Housing Tax Credits from the Illinois Housing Development Authority (IHDA), a $2 million IHDA loan, $3 million in historic tax credit equity, and a $7.4 million private mortgage loan.
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