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
- Documents required to identify the business depend on the business legal entity type. For more information, see the Required Documents page.
- Individual History Form for all controlling persons required to be fingerprinted
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