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City Rolls Out Affordable Multi Pilot Program
The Emanuel administration has announced a pilot program to preserve affordable units in gentrifying neighborhoods across Chicago. The Preservation of Existing Affordable Rental (PEAR) program provides city financial assistance in purchasing or refinancing multifamily buildings in exchange for affordable rental covenants over a 30-year term.
“The PEAR program allows the city to preserve affordable units in high-cost areas at a low acquisition cost,” said Rafael Leon, executive director of the Chicago Metropolitan Housing Development Corp. “Equally important is the fact that residents are able to remain in their units as the housing cost increases in their community.”
Through PEAR, the CMHDC recently rehabilitated foreclosed apartment buildings in the city’s Albany Park, Lincoln Square, Belmont Cragin, West Ridge and Austin neighborhoods. In exchange for a $2-million, zero-interest loan it used to refinance existing debt, CMHDC is preserving 15 of the 42 total units as affordable through 2047.
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