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 

  1. A General Contractor license is required instead of a Home Repair license if the work requires a building permit.
  2. 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 

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

 

Required Documents 

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

 

License Application Steps 

  1. Submit initial business information in person or online
  2. Receive zoning approval from the City
  3. Complete and submit a full license application
  4. 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.
  5. Make payment for the license
  6. Undergo a City debt check. All City debt must be resolved for the license to be issued.
  7. 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 

  1. Post a photocopy of the license certificate in a conspicuous place at each residential real estate development site.
  2. 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.
  3. 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.
  4. 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.
  5. 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