Residential Real Estate Developer


License Overview 

A City of Chicago business license for Residential Real Estate Developer is required when acquiring vacant land and erecting a new residential building on it, or acquiring a building and renovating more than 50% of the existing floor area, increasing the floor area, substantially altering the plumbing or electrical, changing the occupancy to residential for more than 50% of the existing floor area, or converting a residential building to condominium ownership.

Related Licenses 

  • A General Contractor license is required instead of a Home Repair license if the work requires a building permit.
  • A license for Home Repair is required to engage in the business of fixing, replacing, altering, converting, modernizing, improving, or making an addition to any property primarily designed or used as a residence. Home Repair licensees may not pull building permits.

 

Application Requirements 

  • A debt check will be conducted as part of the application process. All City debt must be resolved for the license to be issued.
  • A fingerprint-based background check will be conducted for all controlling persons as part of the application process.

 

Required Documents 

 

License Application Steps 

  • Submit initial business information in person or online
  • Receive zoning approval from the City
  • Complete and submit a full license application
  • Get fingerprinted for a fingerprint-based background check. Every owner, corporate officer, or any person who has a 25% or more interest in the business will be prompted to get fingerprinted.
  • Make payment for the license
  • Undergo a City debt check. All City debt must be resolved for the license to be issued.
  • Receive license once all requirements are met

 For more information on license application steps, see the Business License Application Steps webpage.

 

Cost

$250 License Fee

$40 processing fee per controlling person required to be fingerprinted

 

How to Apply 

In person: Visit the Small Business Center Visit Us webpage for wait times, location, and hours of operation.

Online: Visit the online business license application system.

 

Operating Requirements 

  • Post a photocopy of the license certificate in a conspicuous place at each residential real estate development site.
  • Print the license number on the front page of every estimate, contract, and subcontract; in any advertisement; on every application for a building permit; and on every contract of sale.
  • Display a sign at any place where sales information about a residential building is made available informing prospective purchasers of their right to request and immediately receive a written disclosure statement containing Code-mandated information.
  • Provide every purchaser, at the closing of the sale, with a written disclosure statement including the identify and contact information of the general contractor who worked on the project and the identify and contact information of every person owning 25% or more of the residential real estate developer company.
  • A residential real estate developer may not use predatory tactics to coerce any homeowner to sell their property.

 

Renewal Requirements 

A Residential Real Estate Developer license is issued for a period of two years and must be renewed prior to expiration. For renewal information, see the Renewal page.

 

Resources 

For questions, call 312-74-GOBIZ (744-6249) or 312.744.1944, or email businesslicense@cityofchicago.org