The city of Chicago is getting $98 million from the federal government to buy foreclosed properties. It will go to help stabilize hard-hit neighborhoods.
Chicago got more than any other city in the country except for Los Angeles. The money comes from the U.S. Housing and Urban Development agency. Chicago already received $55 million last year in the first round of the so-called Neighborhood Stabilization Program. Ellen Sahli is with the city’s Department of Community Development. She says they’re getting a better sense of the market as they buy more foreclosed properties.
SAHLI: I think we assumed that the housing stock would be in a little bit better shape or quality than I think we’re seeing now as we’re getting into homes and outlining the specifications to rehab them.
That means the dollars won’t stretch quite as far. With the new money, the city plans to target neighborhoods it expects to bounce back quickly, like Albany Park and Logan Square. The city will also focus on more hard-hit areas, like Englewood and South Chicago.