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Lathrop plans: little preservation, big TIF

Three new plans for redeveloping Lathrop Homes fall far short of the project’s stated goal of historic preservation – to the point that developers will pass up tens of millions of dollars in federal historic preservation tax credits.

Instead, they plan to ask for $30 million or more from a new TIF district.

The plans have garnered widespread local opposition due to heavy increases in density and congestion.

CHA and Lathrop Community Partners will present three scenarios at open houses (Thursday, November 15, 3 to 8 p.m., and Saturday, November 17, 12 to 4 p.m.) at New Life Community Church, 2958 N. Damen.

At 4:15 p.m. on Thursday, Lathrop residents and neighbors will hold a press conference to denounce all the scenarios and the lack of any meaningful community engagement.

Already thirteen neighborhood associations have signed onto a letter to CHA from Ald. Scott Waguespack (32nd) calling for rejection of all three plans due to excessive density and lack of public participation.

And Tuesday, Ald. Proco Joe Moreno (1st) sent an e-mail blast announcing the open houses and saying, “I do not believe that any of the individual scenarios on the table are an acceptable plan to move Lathrop Homes forward.”

Total demolition

In fact, one of the scenarios would almost certainly fail to win regulatory approval.

Dubbed the “Delta Greenscapes” scenario, it calls for demolition of all of Lathrop’s low-rise, historic buildings.

But since Lathrop was named to the National Register of Historic Places in April, any demolition involving federal funds must be approved by the Illinois Historic Preservation Agency and the Advisory Council for Historic Preservation.  And CHA will use federal funds to cover the costs of rehabbing and operating public housing at Lathrop.

“Clearly, demolishing everything would not meet preservation guidelines and would rarely be an  approveable action under the federal program,” said Michael Jackson, chief architect for preservation services at IHPA, who notes that nothing has been submitted to his agency.

Approval might be forthcoming in cases involving extreme deterioration and functional obsolescence, but “I can’t see that logic applying here,” he said. “The essence of the Lathrop project is historic preservation.  It’s been identified as a historic property, and the development team has been given that direction.”

Indeed, the RFQ under which LCP was selected states that the developer “shall consider preservation one of the priorities of the revitalization.”

“What they’re pulling is a typical developer’s trick,” said Jonathan Fine of Preservation Chicago.  “We’re going to show you something so god-awful that when we walk it back to something slightly less god-awful, the community will think it’s won something.”

Developers prefer TIF

Despite the RFQ’s request for developers with experience using historic tax credits, none of the plans are likely to qualify for the credits, which cover 20 percent of a project’s costs – in this case, tens of millions of dollars.  That’s what developers told aldermen in August, said Paul Sajovek, Waguespack’s chief of staff.

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