The Chicago Community Development Commission (CDC) today recommended the designation of a developer that will spur the redevelopment of the landmark Morris B. Sachs Building into the Hairpin Lofts and Logan Square Community Arts Center, a project that combines affordable housing, historic preservation, environmental sustainability, transit-oriented development, and the creation of a community arts center. 

Located at 2800-12 N. Milwaukee Ave and 3416 W. Diversey Ave., at the famed Six Corners intersection of Diversey, Milwaukee and Kimball Avenues, Hairpin Lofts and the Logan Square Community Arts Center will bring 28 new residential loft units, 25 of which will be affordable to households earning at or below 30% to 60% of the area median income, or $22,600 to $45,240 for a family of four. The second floor will be home to the new, 7,000 square foot Logan Square Community Arts Center and an outdoor patio deck. The first floor will contain four market-rate retail units totaling over 8,500 square feet. The 6,000 square feet of amenities will contain a laundry room, community room, and bike storage/maintenance room.

The CDC today recommended that the City Council approve Brinshore Development as the successful respondent to the City’s RFP for the purchase and redevelopment of the two buildings on the site. The landmark six-story Sachs Building was built in 1930, has one ground-floor tenant, Payless Shoe Store, but the rest of the building has been vacant for 20 years. The adjacent two-story building is vacant and is will be redeveloped to make way for the project. A portion of the second building will be demolished.

“We believe this is the type of project that is ideal for the use of TIF dollars, as it uses increment produced in the community to bring real value back to the community,” says Acting Department of Community Development Commissioner Christine Raguso. “The combination of creating affordable housing in a landmark building near the CTA Logan Square and Belmont Blue Line stations, as well as a community arts center, will benefit the community for years to come.” 

The CDC recommended sale of the land for $1, a write-down of $3,999,999, and TIF assistance of $7,151,770 from the Fullerton / Milwaukee TIF. This assistance is needed to off-set the costs of developing a housing project in which 90% of the units will be affordable and also help cover the cost of rehabilitating a landmark building to the LEED Silver level. The project will produce 150-200 temporary construction jobs and 30 permanent jobs. The development will also create property taxes as well as sales taxes created by the new retail in the development.