CHICAGO — Two Northwest Side aldermen are seeking to withdraw their wards from a city anti-gentrification zone, claiming the policy — designed to preserve affordable housing — is backfiring by penalizing longtime homeowners trying to sell their properties.
Alds. Felix Cardona Jr. (31st) and Gilbert Villegas (36th) have introduced an amendment to remove their wards from the Northwest Side Preservation Ordinance. Passed in 2024 and implemented in October, the ordinance aims to curb gentrification by protecting multi-flat buildings and giving renters a “right of first refusal” to purchase their buildings before outside investors can.
But four months into the pilot program, both aldermen argue that the ordinance is creating unnecessary complications.
Red Tape, Delays, and Frustration
The centerpiece of the ordinance is the tenant purchase program. It allows renters to form associations and bid on their buildings if owners decide to sell. However, the process requires tenants to match any sale offer, present a lender’s letter within 30–90 days depending on the building size, and then secure financing within an additional four months.
Cardona said the complexities are blocking older residents from selling their homes after years of investment. “There’s a lot of red tape with this ordinance,” he said, despite having co-sponsored the law.
Villegas echoed those concerns, pointing to additional title costs and hesitancy from entities like Freddie Mac and Fannie Mae to deal with the program’s requirements. “In essence, we passed a law that’s flawed and opens us up to legal challenges,” he said.
Only Partial Coverage — But Major Impact
Although Cardona and Villegas’ wards only touch the edge of the ordinance’s coverage zone — in areas like Avondale and Humboldt Park — they say they’ve received multiple constituent complaints. Their amendment would temporarily remove their wards from the program until the city addresses its shortcomings.
“We’re punishing people that have invested and stayed in this community forever,” Villegas said, arguing that the process stymies the real estate market by adding unnecessary obstacles for sellers.
Pushback From Housing Advocates
Housing organizers, particularly from Palenque LSNA, strongly oppose the aldermen’s move. They describe it as an “attack” on the progress made toward affordable housing preservation.
“At a time when new affordable housing is expensive and difficult to build, it is a grave mistake to jeopardize the stock of naturally occurring affordable homes we do have,” the group stated on Instagram.
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Ald. Anthony Quezada (35th), whose ward includes a large portion of the ordinance zone, defended the law. He said his office has only received two complaints about title insurance delays and that both were resolved with help from the city’s housing and legal departments.
City Response and Possible Tweaks Ahead
The Department of Housing is actively hiring a development coordinator to support programs like the tenant purchase initiative. Meanwhile, the Law Department has committed to working with aldermen to improve implementation and resolve legal ambiguities.
The tenant purchase program is currently scheduled to run through December 31, 2029, after which the city will assess its impact and decide on its future.
Quezada and others say they’re open to modifying the rules — including the tenant purchase clause — but only if the ordinance’s core mission is preserved.
“We are committed to making this work for everyone,” Quezada said. “We want to strengthen the spirit and intention of the ordinance while making it easier to navigate.”
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