Tim Landis
The State Journal-Register
A state housing board is expected to decide next month whether to issue up to $15 million in bonds to aid redevelopment of the MacArthur Park Apartments in Springfield. The Illinois Housing Development Authority held a public hearing on the proposed project Thursday in Chicago but received no comments.
“The deal will be presented to the IDHA board meeting in October for review and approval,” board spokeswoman Cami Freeman wrote in an email Thursday. The meeting is scheduled for Oct. 16.
Kansas-based developer Cohen-Esrey Affordable Partners asked for board approval of the tax-exempt bonds toward the estimated $20 million cost of purchasing and updating the 184-unit complex at 2715 S. MacArthur Blvd. The company, which has developed affordable housing projects nationwide, has a contract to purchase the apartments from Granite City Investment Co., pending financing approval.
Cohen-Esrey executives have indicated that there would be extensive interior and exterior renovations of apartments, which for years had been the source of building code violations and criminal activity. Current owner Granite City Investment, based in the southwestern Illinois community of the same name, repaired hundreds of building code violations in 2014 under pressure from the city. City officials say police reports have also declined.
Ward 7 Ald. Joe McMenamin said the renovation project, which is in his ward, appears to be on track. “Everything is moving along,” he said. “(Cohen-Esrey has) asked us for guidance on the permitting process, and we’ve been helping them with that.”
McMenamin said he also has had questions about affordability for current residents once the apartments are updated. He pointed out that state rules require apartments remain affordable for low- and middle-income residents to qualify for tax-exempt bonds. “They must adhere to an affordable rate structure to get financing from IHDA,” he said.
Joe McMenamin for Ward 7 