Vision Chicago F4

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Neighborhood Development Initiatives, LLC

CONTENT

DEVELOPMENT TEAM

HISTORICAL GLANCE

ANALYZING THE PROBLEM

§ Current State of South and West Side Vacant and Neglected Land

§ Commercial Gentrification

COLLABORATIVE

§ Building Capacity

§ Comparative Rate of Development

§ Building Economics through Career Opportunities

§ Community Partners

§ Home Purchase

Financial Literacy

§ Affiliate Programs

Rental

All

reserved.

SOUTH WEST
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3 FOREWARD 4
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SOLUTIONS 18
SIDE REGAL THEATER M.L.K IN BLACK BELT COMMUNITIES
SIDE COMMERCIAL BUSINESS NEIGHBORHOOD DEVELOPMENT INITIATIVES, LLC © 2021.
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FINANCIALS 30 OVERVIEW 34

DEVELOPMENT

INITIATIVES, LLC TEAM

Jerry Lewis

With over 32 years of experience in the field of construction I have had the pleasure of being involved in this amazing trade as a General Contractor, Subcontractor, Developement and establish various programs that has been instrumental in putting minorities to work and developing minority owned companies

Tracey Y. Bey

With over 27 years of Financial, Commercial, and Residential Banking and Financing, and nearly 25 years of Residential and Commercial Real Estate Construction and Development Ms. Bey provides vital insight into the trajectory of Black Chicago Development.

Shomari D. Dailey

As an eighteen-year legal advocate and advisor on management side labor and employment issues and real estate matters, Mr. Dailey has expansive collective bargaining and labor relations experience affecting private and public sector employers.

Rachel Ivy

As Owner of CEC - Communities Empowered through Construction, B/ACE Magazine and SignatureAffairs, Inc. all of which are verified minority business owned companies I have been able to apply my passion in all of my business models. This has place me in the position of working directly with local officials, developers, and community organizations to bridge the gap for more than 10 year.

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Over the past 20 years my expertise in the area of Creative financing, working with commercial funding institutions, New Market tax credits and many other funding sources has allowed me to support over 100 commercial projects and see them through completion

Graduated from Loyola Academy in 1990. After Loyola, Joseph attended Indiana University and graduated with a Bachelor of Science in Business, majoring in Accounting and Finance. Also, he graduated with minors in Spanish and Economics. He received his Juris Doctor from Loyola University Chicago School of Law in 1997. Joseph is a licensed attorney and Certified Public Accountant. In 1997.

NEIGHBORHOOD

FOREWARD

BLACK CHICAGO… No group of individuals is better served to describe the plight, struggle, and ambition of a people than those directly impacted by the rise and fall of the established Black community since the 1900s. Neighborhood Development Initiatives, LLC will illustrate the unity of Black Chicago excellence in this extensive illustration of our historic and educated perspective, trials, tribulations, and our corporate successes, all intertwined with promise for Chicago’s underserved Black communities.

As commercial gentrification spreads throughout Downtown, Lincoln Park, the West Loop, Bronzeville, and other Chicago communities, the reality of the imminent upheaval of Chicago’s Black culture and history is upon us. The same is unfair because everyone deserves a safe place to live, work, and exist. We can transform the quality of life by rebuilding our neighborhoods and uplifting the economics of the residents.

Today, Chicago faces a major challenge providing safe and adequate communities for all residents, especially as affordable housing options are limited. Even those who earn steady wages are unable to buy or rent “affordable housing” in newly developed downtown and surrounding areas. Rents remain alarmingly high and out of line with incomes, forcing many to spend more than 50% of their income each month on housing. Key workers such as teachers, police officers, firefighters, and nurses cannot afford to live near the communities they serve and instead have to bear the costs in time and money spent commuting.

The extent of the affordable housing challenges in Chicago, particularly in disenfranchised, segregated, and disinvested communities, is shifting every day. There is increased interest from investors and developers to claim historic West and South Side land that has been neglected for nearly half a century. Furthermore, the same corporate maneuver will displace low-income residents in historically underserved communities. It will also outprice and displace hard-working middle-class residents who are indigenous to neighborhoods like Bronzeville, Englewood, Back of the Yards, North Lawndale, and East Garfield Park.

This seemingly inevitable fate for Black Chicago can be rebuffed by a healthy functioning housing market that requires actions addressing interdependencies on the supply side and stimulates interventions on the demand side. This Pilot Vision Plan illustrates the required reforms at each stage of the housing value chain securing land, engaging local communities, and providing homes that are safe resilient, and sustainable. Here, a multi-stakeholder approach is needed to address Mayor Lightfoot’s calls for action from all entities involved local officials, large developers with the “Affordable Requirements Ordinance” in areas with disproportionate rental values in comparison to resident income, and key stakeholders with a vested interest in preserving Chicago’s Urban “Black Belt “ on the South and West Sides of the City. Failure to execute the same will likely result in a mass exodus of key workers and other talented individuals due to inflated residential living costs. But most of all, the loss of historic and rich cultural history for Black Chicagoans. Historic neighborhoods richly populated by other ethnicities have not faced this issue.

1944 CHICAGO MATERNITY CENTER on NEWBURY AND MAXWELL PULLMAN COMMUNITY CHICAGO AVENUE AND ASHLAND
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Neighborhood Development Initiatives, LLC 5 | Page HISTORIC BLACK CHICAGO FROM 1908

HISTORIC GLANCE

A Historic Perspective of Black Wealth Creation, Decline, & Sustained Stagnation.

Chicago is rich in Black cultural history. Yet, few know of the true history of the bustling and thriving “Black Belts” of Chicago’s Black urban communities on the South Side and West Side. Today’s Chicago reflects its racial and economic history spanning the last 100 years. The most significant change to the Chicago landscape occurred at the start of the 20th century. From 1915 to 1970, Chicago experienced an unprecedented surge of Black migrants from the South. This movement, called the “Great Migration,” stemmed from the political unrest, economic oppression, and political disenfranchisement Southern Blacks experienced in the Jim Crow South. Publications like the Chicago Defender promised Blacks that Northern cities, like Chicago, were safe havens. Before the Great Migration, the Black population of Chicago was less than 2%. During World War I, however, the Black population more than doubled to around 100,000. As the movement drew to a close in the 1970s, Blacks made up a third of the city’s population.

Although Blacks were promised self-determination in Chicago, they met a starkly different reality. Many Black people did improve their incomes, yet it came with the all too familiar segregated neighborhoods, job discrimination, limited political voice, and racially motivated violence. Chicago’s power brokers resisted the Black migration, mostly by enforcing housing segregation and other legislation that separated communities. Thus, many Blacks settled in segregated communities, mostly concentrated in the Southern portion of the city, from 22nd Street down to 51st the so called “Bronzeville.”

Much has been written about the impact that “Redlining,” both by private lenders and government agencies such as the Federal Housing Administration (FHA), has played in the legalization and institutionalization of racism and segregation. Redlining is the practice of denying or limiting financial services to certain neighborhoods based on racial or ethnic composition without regard to the resident’s qualifications or creditworthiness. White suburban areas were considered better credit risks, and thus received access to loans. The arrival of Black people in Chicago propelled “White Flight” to the suburbs, an option not available to Blacks because of restrictive covenants and blockbusting until the passage of the 1968 Fair Housing Act, which banned such policies. Mass deindustrialization in Chicago also resulted in widespread urban poverty. The collapse of U.S. Steel’s South Works, Wisconsin Steel Plants and other large factories, which had hired most of the working-class Blacks in Chicago, left behind thousands of lower skilled and lower educated Black families.

Today, Chicago still struggles with racial and economic segregation due to over 50 years of neglect, undercapitalization, and lack of vision to revitalize and reinvigorate these historical communities. Whether one looks to the 1950’s and 1960’s flight of White Chicagoans to suburbia, or the overnight decimation of hist oric communities like Englewood, Bronzeville, East Garfield Park and North Lawndale following the 1968 King riots, the painful reality is that in 2020 these South and West side communities look almost exactly as they did 50 years ago. Sadly, the history of these communities is mirrored throughout Chicago’s predominantly African American communities. The maps on pages (7 thru 12) are evidence of the migration and changes in the demographics of neighborhoods from the early 1900 to the late 2000.

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ANALYZING THE PROBLEM

Current State of South and West Side Vacant and Neglected Land

Decline in home ownership, homeownership among white households was 73% compared to 42.8% among Black households the widest gap since 1983, according to the State of the Nation Housing Report from Harvard University. The report's findings persistent unaffordability, growing racial disparities, widespread housing insecurity, and barriers to homeownership are interconnected. Presenting a comprehensive plan to impact these ills is imperative to Black and other minority communities. Achieving policy solutions in these four areas will enable families to have greater access to homes they can afford and all of the opportunities that follow.

Today's map of Chicago is, in many ways, a result of systematic segregation of Black people, including restrictive covenants, redlining, block busting, and disinvestment. The legacy of racial and income segregation that exists in Chicago cannot be reversed overnight. Sections of the city with concentrated poverty, continuing disinvestment, and a falling population retain the impact of this segregation. By understanding and directly addressing the issues, we can change this trajectory.

We must see community development as equitable development. The mix of challenges and opportunities currently changing Chicago creates an opportunity for community-driven planning and growth through equitable development. Setting general and specific goals for each neighborhood allows us to shape intentional living environments that benefit all people. We must build strong, resilient communities where people can live, work, play, feel safe, and thrive.

Due to the many challenges facing Chicago, we must approach current and future neighborhood investments strategically. We must employ neighborhood-based investment strategies that promote fair and equitable access to housing, sustain affordable housing opportunities, help at-risk residents gain access to housing, and expand collaborations with housing partners.

Housing alone is not enough to meet the needs and aspirations of all aspects of community life. Thriving small businesses and commercial corridors that provide neighborhood-serving goods and services are critical to communities. More small businesses create jobs and careers that provide economic mobility, stable and affordable housing, local economic vitality, banking, and personal and public safety. Utilizing neighborhood-based strategies, we will build community, block by block. And as a result, we will help reverse decades-long segregation, and encourage equity in investment in disenfranchised neighborhoods, making the whole city one Chicago.

Every neighborhood should be a community of choice, a place where people of diverse incomes and backgrounds can find housing and amenities that suit their needs. We must address neighborhood investment strategies with an approach to best suit the conditions of each community. Equitable development efforts should strive to eliminate racial inequities, allow all residents to live in healthy, safe neighborhoods that reflect their culture, provide them with economic opportunities, and enable the residents to influence decisions that affect their communities.

We must use a multifaceted approach and be committed to this common agenda. By partnering with community organizations, faith-based organizations, non-profits, for profit businesses, banks, CDFI’S and City of Chicago initiatives like Invest SOUTH/WEST, we can implement multiple projects simultaneously and make a collective impact across these underserved neighborhoods. Redeveloping deteriorated building and filling in empty spaces with new homes, buildings, and activities, like community greens spaces, would benefit current residents of these disenfranchised neighborhoods and create a shift toward revitalization. The original intent of the ARO was to leverage the strength of the housing market to create affordability. The inefficiencies of the current ARO are not meeting the mark. We have a deficit of more than 225,00 affordable units, with part of the city thriving while the others continue to struggle. Targeted, equitable, and efficient policies are needed to address this issue and bring about change in impoverished and underserved neighborhoods. Access to affordable housing, sustainable employment opportunities, high-performing local schools, quality childcare, viable transportation, comprehensive healthcare, local shopping centers, green spaces, community gardens, and more are needed for true community and its residents to thrive. (See Figure 1: pg. 14).

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FIGURE #1: THE 20- MINUTE NEIGHBORHOOD

Figure 1 illustrates how job creation in segregated and disinvested neighborhoods fosters communal infrastructure that promotes individual, family, and community growth. Below is an example of a healthy community:

Local Shopping

Local Employment Opportunities

Local Health Facilities and Services

Well Connected to Public Transport, Jobs and Services Within the Region

Local Public Transport Safe Cycling Networks

Walkability

THE 20 MINUTE NEIGHBORHOOD

Local schools

Lifelong Learning Opportunities Local Playgrounds and P arks Green S treets and S paces

Diversity

Affordable Housing Options

Safe Streets and Spaces

Theabilitytomeetmostofyoureverydayneeds locally within a20-minutejourneyfrom home by walking,cycling,orridinglocalpublic transportation.

Community Garden

Sports and Recreational Facilities

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Ability to Age in Place
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Commercial Gentrification

If we allow commercial gentrification to continue in our historic communities, the displacement of the indigenous residents is inevitable, and the socio-economic impact will devastate our people even further.

Like all cities, Chicago has a distinct zoning method that aims to separate different districts from each other. These zoning areas qualify various types of construction to assist in maintaining the existence of the outlined zoning area. Long-term owner-occupants in gentrifying markets can find it difficult to remain in their homes due to rising property tax assessments that increase with sharply increasing real estate values. With the existence of commercialization comes the destruction of the word community. An area developed for financial gain puts more money in developers' pockets and contributes to the city's tax base. Production of similar commercial developments that occupy the West Loop will begin to move through West and South side communities by acquiring disenfranchised properties and low-cost undeveloped land. Growth at this rate will lead to more negative impact. These properties will be labeled affordable on-site, but occupancy will not be achieved by those who have lived there since the early 1900s.

Retail stores will be owned and operated by a new and upcoming level of self-economic wealth. It will create an environment that will diminish the minority community, remove them from their homes, and write its own history. Parks will be an amenity only accessible to residents who can afford to occupy these spaces. Services such as free daycare, high school educational services, and inexpensive and free City College tuitions will no longer be a commodity to assist the minority community in their advancement towards stability but will be a gain for the new well to do individuals who will occupy that highly sought out position of City of Chicago “resident.” Our homeless rate will increase dramatically, and tent city will become our new community. Crime will become rampant because temporary construction jobs will no longer be available. The city that has thrived on the hard work of Black and minority people will gain on our low percentage of work efforts towards the 26 / 6 minority development rule for mass commercialization and will displace us to suburbia where we will also not be accepted.

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INEQUITIES IN INCOME

In the July 9, 2020 Chicago Recovery Task Force Guide, the committee stated in part:

“Inequality in the City of Chicago has grown for decades; incomes declined for most residents while incomes for residents in high income areas rose.

* The proportion of Census tract in the city o f Chicago considered very low income increased from 17% in 1970 to 46% of the City in 2010, primarily concentrated on the West and South Sides

* The proportion of Census tracts in the City of Chicago considered very high income tracts grew from 3% to 15 % of the City in the same time period, primarily concentrated on the North Side.”

Chicago Recovery Task Force July 9, 2020

Neighborhood Statistics Chicago, IL Average Income Per Race

White Black Income Indicators

Median Household Income $73,507 $31,267

Per Capita Income $45,428 $21,058

Percent Below Poverty 10.3% 30%

Human Capital Indicators

Percent Educated (College) 47% 13%

Percent Unemployed 4.23% 14.6%

Housing Indicator

Percentage of Homeowners 74% 38.9%

Table 1: Neighborhood Characteristics for the Average Person by Race US Census Data 2017

“Chicago must tackle intergenerational poverty and widespread economic hardship that holds our city back by growing our economy inclusively rather than expecting the benefits of growth to trickle down. To be effective, this work must account for structural inequities including racism and gender discrimination that drive everything from one’s income to one’s safety to life expectancy that diminish our city.”

Chicago Recovery Task Force July 9, 2020

VISION CHICAGO IS THE SOLUTION

Vision Chicago emphasizes the need to create new “Economically Sustainable Communities” in historically disenfranchised neighborhoods by leveraging major developments throughout the city. The future of Black growth and stability will be in rebuilding sustainable housing markets in indigenous neighborhoods on the South and West sides of Chicago. Working in alignment with the City’s February 2020 Solutions Toward Ending Poverty (STEP Coalition), our pilot program will:

* Create community partnerships that are sustainable and workable within the specific environment of each community.

* Provide a road map that lifts people out of poverty and places them on an upward path of economic mobility.

* Create new career opportunities, community-based businesses, and homeownership.

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Vision Chicago is also a comprehensive and strategic approach necessary to bring about transformative change for how we invest in our neighborhoods and bring equitable development to our neglected housing markets across the city. Thinking creatively about how we capitalize on new opportunities, we must build on Chicago’s historic strength in manufacturing, engineering, and retail. Doing so will bring economic activity and high- quality jobs to historically disenfranchised neighborhoods.

VISION CHICAGO

ROAD MAP TO HEALTHY AND SUSTAINABLE COMMUNITIES”

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COLLABORATIVE SOLUTIONS

Well-functioning property markets can act as a financial springboard for enterprises and job creation. Affordable housing options can be developed with the proper infrastructure, investment, and macroeconomic policies targeted toward social and economic inclusion. We must commit to exploring innovative partnerships that focus on employment and housing to directly address the impact of the changing marketplace on Chicago’s historic working and middle-class populations.

Reestablishment of Historic South and West Side Communities

“No housing market in Chicago should be exclusively available to high-income households: The benefits of the city’s high-cost neighborhoods, from schools to employment to quality-of-life, are an important resource for all families. Cities thrive when diversity is woven into every community, allowing all residents the opportunities to reach their potential.”

Chicago Recovery Task Force July 9, 2020

The City of Chicago must make efforts to build thriving communities in previously neglected South and West Side neighborhoods that are rich and diverse from “schools to employment to quality of life.” The city must make an intentional change to elevate its disenfranchised residents out of the adverse economic and health conditions imposed by these unprecedented times of despair that lead to rampant violence. This rare opportunity to rebuild the social and economic plight of historically disinvested, segregated, and disenfranchised communities will spur inclusive growth for the entire city. Key areas of focus will include economic growth ( job creation and community income shifts that create vehicles to land and homeownership) and social growth (community pride and preservation, community wealth revitalization, and civic engagement aimed at decreasing crime).

Vision Chicago details a five-tier implementation process that will maximize community growth and development through manufacturing and construction. We need to build communities that enhance our city, and satisfy the desires of all community constituents by providing beautiful, affordable living spaces for all to enjoy. Our partnership and capacity building initiatives will stimulate the growth of minority companies.

BUILDING CAPACITY

Tier I: Prime Developers Participation / By-In

Creating opportunities that allow mentoring initiatives for minority developers builds capacity through partnerships with established developers to support growth and development opportunities. Through collaborative partnerships, we must adopt these best practices and implement them within our communities. Focusing on sustainability, monetary, and development techniques will help minority business owners transitioning to development understand the connection between asset building, networking opportunities, partnering, and investment. It will enhance the ability for minority businesses to learn and build solid financial relationships within and across networks with banks, CDFI’s, private investors, and the city.

As an understanding of the developers' participation role, we have established a graph format for you to visualize the program's progression and the long-term impacts of establishing minority relationships within this business model.

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ARCHITECT / ENGINEERING

PILOT

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ZONING SUBMITTALS AND REVIEWS ZONING APPROVALS DPD SUBMITTALS AND REVIEWS DPD APPROVALS PERMIT PROCESS CONSULTANTS PRECON PRIME GENERAL CONTRACTOR PRE CONSTRUCTION BUDGETING BIDDING PROJECT SUBCONTRACT SELECTION 26/6 MBE/WBE PRIME SUBCONTRACTOR SELECTION MINORITY GC AGREEMENT WITH PRIME GC COMMUNITY OUTREACH AND COMMUNICATIONS INTAKE AND AWARENESS COMMERCIAL PROPERTY LEASING AFFORDABLE COMMERCIAL PROPERTY LEASE COMMITMENT 2% PROPERTY MANAGEMENT PARTNERSHIP MINORITY AFFORDABLE HOUSING PROPERTY MANAGEMENT 100% PRECON AFFORDABLE HOUSING CONTRACTOR AFFORDABLE HOUSING BIDDING 100% MBE/WBE SUBCONTRACTOR AWARD MINORITY DEVELOPER PARTNERSHIP % TBD MINORITY AFFORDABLE HOUSING GC SITE ACQUISITION LOCAL MINORITY BROKER AFFORDABLE HOUSING ARCHITECT/ENGINEER COMMUNITY OUTREACH AND COMMUNICATION Tier 1: Prime Developers MinorityParticipation (Note:AnyAreawithayellowhighlight symbolizes100%minorityparticipation.) Tier 4 A) Approval Tasks (i.e. Zoning, DPO, Permit) B) Project Bidding: Subcontractor Selection [26/6 MBE/WBE] And Prime Subcontractor Selection Tier 2: Professional Services [Note: Involves Professional Shadowing in Key Areas, including: 1) Architecture; 2) Engineering; 3) Legal, etc.]
ARO DEVELOPERS COMMITMENT STRUCTURE Tier 5 ARO Off Site Model PROJECT AWARD FOR CONSTRUCTION AND ARO OFF SITE MODEL Tier 3: INTERSHIP

As projects move through the various phases of Zoning and DPD, the Prime Developers will be presenting a well established program with an equitable and inclusive lens. This will allow minority companies to be a viable partner in every trade aspect, including, but not limited to the development of individual jobs, general contracting, subcontracting, and enhancement of professional services. Tier 2 enhances the visibility and participation of minority companies as follows:

Ø A MINORITY DEVELOPER must be selected by the Prime Developer to oversee the Community Build Project In this initiative the minority developer will shadow the Prime Developer in every aspect of the Prime Development. This will allow the Minority Developer to mimic these disciplines within the Community Build Project The Minority Developer will also:

o Oversee site acquisition for the respective Community Build Project utilizing a local real estate broker

o Manage the designated Minority General Contractor for the Community Build Project

Ø Prime Developers must participate in designated community outreach, communications, and diversity programming lead by local community civic partners within a five (5) mile radii of the Community Build Project

o The minority developer will implement a community outreach process to procure professional services and other trade related positions.

Ø A MINORITY COMMERCIAL GENERAL CONTRACTOR must be selected through a fair market competitive bid process where the Minority and Prime Developers will oversee the selection of the Minority General Contractor. The Prime General Contractor will enter into a Mentor Protégé role with a selected Minority General Contractor whose address is within the City of Chicago

o Subsequently, the Minority General Contractor will oversee the subcontractor bidding goals of 100% MBE/WBE Subcontractors within the Community Build Project

o The primary goal of this process is to ensure successful completion of units within the Community Build Project that are built by 100 % minority contractors

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FIGURE #3: DEVELOPERS DIRECT MBE/WBE COMMITMENTS DEVELOPER MINORITY DEVELOPER PARTNERSHIP % TBD AFFORDABLE HOUSING ARCHITECT / ENGINEERS SITE ACQUISITION LOCAL MINORITY BROKER AFFORDABLE HOUSING GENERAL CONTRACTOR COMMUNITY OUTREACH COLLABORATION INTAKE AND AWARENESS PROGRAM 100% LOCAL MBE/WBE TRADE WORKER IDENTIFICATION PRORAM COMMUNITY OUTREACH , COMMUNICATIONS, AND DIVERSITY 100% MINORITY HOUSING GENERAL CONTRACTOR PARTICIPATION 100% MBE/WBE SUBCONTRACTOR BIDDING GOALS 100% MBE/WBE CONTRACT AWARD IMMEDIATE CONSTRUCTION START Tier II: Professional Services Shadowing/Mentoring

Tier III: The Professional and Construction Internship Program

Every phase of the ARO Community Build Project will have 100% minority inclusion and engagement in general contracting, real estate management, property acquisition, subcontracting, site control, and legal services throughout the duration of each project. A complimentary component will highlight be a Professional and Trade Intern Program that must be completed Here, professionals will mentor interns in designated fields of concentration, including Architects, Engineers, Zoning Attorneys, and other professional services, to engage minority involvement in every aspect of Pre-Construction, Construction, and Development on the Prime Project All internships will pay the standard market rate for services performed by Prime Professionals.

Ø The Architectural Intern Program will include one designated Minority Architectural Intern (1), Minority MEP Engineering Intern (1), Minority Structural Engineering Intern (1), and Minority Permit Expediter Intern (1) per Prime Developer Project

FIGURE #4: ARCHITECTS AND ENGINEERS DIRECT MBE/WBE COMMITMENTS

S AND ENGINEERS

ARCHITECTURAL MBE/WBE LOCAL PAID

STRUCTURAL ENGINEERING

Ø The Consultant Intern Program consisting of one (1) local Minority Zoning Attorney, one (1) local Minority Environmental Intern, and one (1) local Minority Surveying Engineer per Developer Project

#5: CONSULTANTS DIRECT MBE/WBE COMMITMENTS

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FIGURE
A R CHITECT
INTERN HIRE MEP ENGINEERING MBE/WBE LOCAL PAID INTERN HIRE
MBE/WBE LOCAL PAID INTERN HIRE PERMIT EXPEDITER MBE/WBE LOCAL PAID INTERN HIRE CONSULTANTS ZONING ATTORNEY MBE/WBE LOCAL PAID LEGAL INTERN HIRE ENVIRONMENTAL MBE/WBE LOCAL PAID INTERN HIRE SURVEYING ENGINEERS MBE/WBE LOCAL PAID INTERN HIRE

Ø The General Contractor Intern Program will consist of one (1) Surveying Engineer MBE/WBE local Minority company per Developer Project

FIGURE # 6: PRIME GENERAL CONTRACTORS DIRECT MBE/WBE COMMITMENTS

GENERAL CONTRACTOR

MINORITY GC PARTNERSHIP MBE/WBE MINIMUM 25% COMMITMENT 26/6 % MBE/WBE LOCAL SUBCONTRACTOR COMMITMENTS

SURVYING ENGINEERS MBE/WBE LOCAL PAID INTERN HIRE

1 INTERN

Ø Additionally, the program will consist of an Affordable Housing Property Management Partnership consisting of 100% commitment of MBE/WBE companies, including:

o Staff per Community Build Project:

§ One (1) Administrator

§ One (1) Property Manager

§ Two (2) Staffers

o Maintenance Contract Staff per Community Build Project:

§ Two (2) Minority Field Maintenance Companies i.e Lawn, Snow, etc.

FIGURE #7: AFFORDABLE HOUSING PROPERTY MANAGEMENT MBE/WBE COMMITMENTS

100% AFFORDABLE HOUSING MBE/WBE PROPERTY MANAGEMENT COMMITMENT

1 ADMIN.

MAINTENANCE

PROPERTY 2 STAFF 2 FIELD MAINTENACE TRADE HIRE AS NEEDED LAWN & SNOW REMOVAL

Ø There will also be a Leasing Partnership at the Prime Development with an Affordable Lease Agreement Commitment of at least 2% MBE/WBE.

o One important element in this dynamic process is that commercial property lease space will be allocated to at least 2% minority companies of the 100% leased (prime location); The program will consist of two (2) to three (3) Minority Companies

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PROPERTY MANAGEMENT PARTNERSHIP
1

FIGURE #8:

COMMERCIAL PROPERTY LEASING TO MBE/WBE COMMITMENTS

LEASING PARTNERSHIP

Tier IV: City Approval- Zoning

2% MBE/WBE AFFORDABLE LEASE AGREEMENT COMMITMENT

This component of training will be a collaboration within the Prime and Minority Developer process. This will offer insight into the world of zoning for the Minority Developer to learn and adopt procedures for Zoning Approvals, Department of Planning Development Approvals, Participation Approvals, and Community Engagement.

Tier V: OFF-SITE ARO MODEL– COMMUNITY BUILD PROJECT

ARO MODEL RESTRUCTURE: OFF SITE COMMITMENT

Vision Chicago’s Off Site ARO “Community Build Project” will require a Developer allocation of 10% in underserved, disenfranchised Chicago neighborhoods. Developers will have a minimum contribution of $250k per unit (rental or home ownership) to utilize the ARO buyout provision.

Ø Participating in the Vision Chicago Plan allows Developers to capture their ARO requirement of 10% affordable units in a newly constructed concept to a designated “OFF-SITE” ARO neighborhood destination… “The Community Build Project ”

Ø Designated Community Build Project must be within a five (5) mile radii of the Prime Development Project.

Ø Developments will be limited to a maximum of two (2) units per lot

Ø The Community Build Project will start immediately upon approval of the Prime Developer Project.

o For example:

§ 10% 3 Developments with an average of 400 units or more.

§ 15% 6 Developments with an average of 200 units or more.

§ 20% 12 Developments with an average of 100 units or more.

Ø Developer can mix and match project sizes within the program

Ø At the end of the trial program, the original program of 20% continues, or the participating Developer who meets the goal continues within the 12 to 15% program limits.

Ø Developers that fall short revert to the original demand with penalties.

Ø Property cannot be sold during the program commitments, or large penalties can be assessed to the Developer.

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FIGURE #9 Comparative ARO Rate of Development Chart

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BUILDING ECONOMICS THROUGH CAREER OPPORTUNITIES

Vision Chicago’s plan features a state-of-the-art manufacturing complex that will create economically sustainable employment for city residents. The factories will produce prefabricated modular housing units and self-manufactured doors and windows within a separate stand-alone plant. The plant will staff approximately 400 employees within the first year of production.

The complex will contain a training facility for candidates in various construction disciplines. Utilizing a prequalification program, the training facility will be a systemic feeder system for all phases of construction services and community workforce development providing employee skill training and certifications, allowing tradesmen to work year-round in a controlled environment. Trainees will receive specific modular housing training in addition to instruction in a variety of construction disciplines: carpentry, plumbing, electrical, and HVAC, allowing certificate graduates the ability to transition into roles within the Community Build Projects.

With a production timeframe of 125 units per month, the factory has an estimated yearly production of 1500 units. The final product will be completed and delivered to sites by 100% minority contractors, subcontractors, technicians, architects, and engineers. In addition to the 400 to 500 warehouse jobs, the Vision Chicago plan creates an estimated 2000 construction jobs within the communities. Each completed unit will be managed and/or sold by minority firms, allowing continued employment through ongoing contract service commitments. Below is an overview of the intake process and the ancillary programs that candidates can access through our training program, Project Build, by way of community partners in conjunction with factory operations. This will help facilitate how we will disburse potential workers, trainers, etc. As a monitoring process, we will have workforce coaches and staffing, both internally and in the field. Training will operate from an office building on the warehouse complex. These steps are defined as listed below.

A. The Intake Process

o Step 1: Community Outreach / Online Intake

o Step 2: Online Interest Application Process

o Step 3: Successful Pass of Drug and Literacy Testing

o Step 4: Candidate Interview

o Step 5: Approval Notification

B. Workforce Training and Development

o Training would include:

§ Technology, Construction, Service-Related Skills, and Soft Skill Training

C. Business Development

o Preparing community builders on how to do business with the factory

D. Professional Services

o Collaboration with the trades

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COMMUNITY PARTNERS

JOB READINESS/WORKFORCE DEVELOPMENT

Project Build, in collaboration with our experienced Community Based Organizations (CBOs), will focus on job readiness/workforce development and community outreach and engagement These well-established CBOs have success in executing processes and utilizing “boots on the ground” to sustain comsistent outreach and inclusion. These CBO’s include:

Ø Ex Cons for Community and Social Change (ECCSC)

o A grass roots organization predicated on building strong communities through citizen policing, ending recidivism, and fostering training in workforce development and conflict resolution through solidified networks in various working disciplines.

o Our Services, include:

§ Violence Prevention and Deescalation

§ Job Readiness/Workforce Development

§ Diversity and Inclusion Training

§ Re entry Programs for Ex Offenders

§ Mental Health and Wellness Services

§ Financial Literacy

§ Community Outreach

Success Results:

o We have assisted in hiring over 150 people.

o We have a 90% placement success ratio.

Ø Communities Empowered Through Construction (CEC)

o A bridge that connects Chicago’s communities to the construction industry offering direct training and professional development to both community residents and minority subcontractors cultivating professional relationships within construction.

o Our services include:

§ Advocacy

§ Construction Job Placement Referrals

§ Professional Coaching and Development

§ Career Consulting and Apprenticeship Guidance

§ Connection to Resources and Events

§ Individual Client Marketing (B/ACE Magazine)

Success Results:

o Over the past five years, we have assisted in the employment of 300 to 400 individuals.

o We have a 95% placement success ratio.

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Ø

Minority Business Alliance (MBA)

o The Minority Business Alliance teaches entrepreneurship to community members to ensure success within the construction industry with a clear definition of capable and qualified minority subcontractors.

§ Establishing qualified names for each subcontractor business as a registered agent of the State and the City of Chicago.

§ Assisting in becoming W/MBE, DBE, BEP, and Section 3 Certified Subcontractors

§ Teaching blueprint reading and bidding processes

§ Assisting in accounting programs and understanding the business platform within construction

§ On site assistance in performance of contract negotiations.

§ Union and Non Union affiliations

o Strategic Placement of Minority General Contractors with Prime Contractors

§ Align Appropriate Strategic Partnerships

§ Partner Minority General Contractors to Developers

§ Monitor the Negotiation Process

§ Align Minority General Contractors with Minority Subcontractors

Success Results:

o We have established 35 successful African American owned minority businesses currently in operation

o We have fostered a joint venture collaboration on approximately 30 projects where minority general contractors have received a minimum of 20% of the value of the prime contracts.

Ø BELLWETHER DIVERSITY SOLUTIONS

o A diversity consulting company that helps stakeholders identify, develop, and implement Diversity, Equity, and Inclusion (DEI), and Supplier Diversity (SD) best practices.

o Our Services, include:

§ Racial Equity Impact Assessment

§ DEI/SD Related Workshops and Training

§ Diversity and Inclusion Training

§ Workforce and Supplier Compliance

§ Outreach and Data Management

§ Media Curation

Success Results:

§ We are certified by the Turner School of Construction Management

§ We are recognized by Chicago United for Equity

§ We manage a quantum database of 4 million data points

§ We have improved workforce communications and productivity by 38% (average)

§ We staff each project with 50% African Americans and 50% women

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BUILDING AND DEVELOPMENT

Black Contractors Owners and Executives (BCOE) will serve as the builders for the Community Build Projects. Working with the modular factory, BCOE will engage Black-Owned Contractors within the geographic boundaries of a Community Build Project. Contractors will be placed in all construction fields to leverage the full capacity of black construction development within the City.

Ø Black Contractors Owners and Executives (BCOE)

o BCOE’s mission is to gather, discuss, explore, and lobby for increased opportunities and equal success for African American contractors in the construction industry.

o Our services include:

§ Industry Advocacy

§ Contract Acquisition Support

§ Group Training in Specified Areas of Construction

Success Results:

§ Provides information, resources, and education to members

§ Advocates within the construction industry and with politicians to facilitate Black contractor participation

§ Educates youth and the public on opportunities in construction

HOME BUYER EDUCATION

Project Build, in collaboration with our experienced home purchase, financial literacy, and credit counseling professionals, will institute a holistic real estate program designed to create and stabilize growth and security. We will utilize a pre-qualification screening program to prepare individuals for homeownership, creating and sustaining wealth in communities through financial and housing education. We will work with outside institutions such as banks, tax consultants, financial literacy coaches, insurance providers, credit counselors, homeowner associations, upkeep technology, life-skills training, task consultants, and mental wellness professionals to create a model towards community self-sustainability. And as a result, we will make the goal of homeownership in neighborhoods where people live, work, and raise their families a reality.

Ø STRATEGIC COMMUNITY PLANNERS, LLC

o A local Community Development Entity that serves as an intermediary vehicle for the provision of financial counseling, loans, and investments in low income communities.

o Our services include:

§ Financial Counseling to Residents of Low-Income Communities

§ Investments, Loans, and Financial Counseling to Businesses

§ Housing Counseling

Success Results:

o Over 45 years of Financial and Legal advisory services

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Ø

NEIGHBORHOOD ASSISTANCE CORPORATION OF AMERICA (N.A.C.A.)

o NACA is the largest non-profit HUD certified organization with over forty five offices nationwide and a national counseling center. NACA utilizes over 1,800 HUD certified organizations to administer financial literacy and counseling aid. This comprehensive counseling and access to its Best in America mortgage, has established the standard for affordable homeownership for low to moderate income people.

§ NACA Services, include:

• Advocacy

• Career consulting and apprenticeship guidance

Success Results:

o Provides an award winning home ownership loan product that allows N.A.C.A. members to benefit from:

§ No Down Payment

§ No Closing Costs

§ No Fees

§ No Requirement for Perfect Credit

§ Below Market Interest Rates

COLLABORATIVE AFFILIATE PROGRAMS

We welcome the opportunity to utilize every resource available to leverage the productivity of the pre fabrication factories, including, but not limited to the following:

Ø CITY PROGRAMS FOR DEVELOPERS

o Building Neighborhoods and Affordable Homes (BNAH)

o City Lots for Working Families

o Chicago Neighborhood Rebuild Pilot Program

o Affordable Requirements Ordinance (ARO)

o Affordable Housing Opportunity Fund (AHOF)

o Preserving Communities Together (PCT)

o Micro-Market Recovery Program (MMRP)

o Negotiated Sale of City-Owned Lots

o Troubled Building Initiatives

Ø CITY PROGRAMS FOR AFFORDABLE HOME OWNERSHIP

o Neighborhood LendingProgram

o Tax Smart

o Chicago Homebuyer Assistance Program

o Chicago Community Land Trust for Buyers

o BuildingNeighborhoodsandAffordable Homes (BNAH)

o Community Connections Home Buyer Assistance Program

Ø

CITY PROGRAMS FOR COMMUNITY REVITALIZATION

o SPIFF Program

o Roof Purchase and Repair Program

o Tax Increment Financing-Neighborhood Improvement Program (TIF-NIP)

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BENEFIT & IMPACT

COMMUNITY BENEFIT

ECONOMIC IMPACT

§ Estimated Full-Time Jobs within Immediate Community: (1500)

§ Estimated Direct Construction Jobs: (600)

Building Capacity

§ New City Tax Revenue:

Attract Large Commercial Interests (i.e. Target, etc.)

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§ Manufacturing in the City § 300 to 400 Factory Jobs in the Immediate Community § Job Training § Trade Internships § Affordable Homes Built City-wide § Affordable Rental Units
§
§

OVERVIEW

Chicago remains a city segregated by race, class, and opportunity and has its part in this nation’s long, grim history of discrimination, oppression, and systemic racism against Black people and minorities The time is now for Chicago to assist in the recovery, growth and healing from all that harm We must work together to boost economic mobility and opportunity in our communities We are asking the City of Chicago and all involved to commit to this process of truth, reconciliation, and municipal and corporate reparations. We implore all involved to understand the urgency in making bold investments in South and West side communities.

Our 77 neighborhoods (soon to be 78) make up the foundation of our great city and define us as a whole. We have to address the systemic biases of past practices and look to an inclusive future for all of Chicago. Systemic racism has locked Black people and minorities out of job opportunities for too long. It is time we address the economic inequalities. When business is good, Black companies still lag. When business is bad, we are hit first. And in recovery, we take the longest to bounce back. These racial and socioeconomic disparities have existed for too long, and the Vision Chicago plan allows us to address some of these issues in development.

The time is now for inclusion! There is no doubt that economic inequality based on race exists, and this is a great opportunity to identify best practices and policies that can address the racial wealth divide. With leaders of large firms interested in moving the needle, there is no more perfect time for addressing the lack of capacity, the lack of contracts, and bringing about more diversity and inclusion in Black and minority business ownership within all facets of business, particularly in development, construction, and manufacturing. We must be intentional about wealth-building efforts among Black and minority companies, focusing on hiring processes and allocating contracts and service-related jobs.

You can’t gain experience unless you get an opportunity. It gives credibility to the capabilities of work and is the start we need to move the needle. The lack of capacity among minority companies has had a long-lasting impact on Black and minority businesses. This is a generational opportunity to strengthen the city and determine what type of city we will be for all people. We understand that redressing the disparity in economic outcomes requires an inclusive approach that addresses the issues and their root causes. We must be ready to discuss racial inequality and acknowledge the underlying systematic racism, and we must be prepared to discuss the solutions that can repair this harm.

We must expand wealth-building initiatives for Black and minority businesses to build capacity by partnering with entities that support their growth and development. Through perpetual growth, we must implement the best solutions for racial economic inequality within the city, focusing on sustainability and monetary and organizational capacity. We must enhance Black and minority business owners' understanding of the connection between assets and the racial wealth divide. Additionally, we must provide frequent networking opportunities so minority businesses can develop long-term growth and development. Economic stability is the availability of quality employment opportunities, access to capital, and availability of living wage jobs. Skill building training can help stabilize the economic structure in many communities Promoting healthy living and decreasing rates of poverty and housing must also be factored into this equation.

Affordable housing should bridge the foundation of vibrant communities that provide quality schools, accessible healthcare, employment opportunities, and sustainability. With buy-in from developers like Sterling Bay, LG Development, Ryan Development, Focus Development, and MCZ, Vision Chicago illustrates a plan designed to create balanced and inclusive development without causing the devastating patterns of displacement that impact many low income families in gentrifying neighborhoods. Having partnerships and

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collaborations with these developers who have vast knowledge in commercial development will be helpful in stabilizing our commercial corridors.

The Affordable Requirements Ordinance (ARO) created only 1,049 homes in thirteen (13) years. Implementing the Vision Chicago plan creates an impactful model where 100% of the allocated ARO for major city developments will be built off-site until designated communities are stabilized with similar growth metrics mirroring healthy communities. Utilizing this strategy, we can control an environment that is profitable to all involved stakeholders, including the community, the City of Chicago, stabilized workforce, developers, and future internships that will foster the development of our communities for decades to come.

The partnerships outlined in the Vision Chicago plan provide a promising way to stabilize our communities, our businesses, our people, our lifestyles and our city. This plan outlines a promising way to provideaffordable housing, help low income and minority families, build capacity amongst Black and minority companies, and help rebuild our communities. As cities reflect on their roles in perpetuating institutional racism and what can be done to relieve it, Chicago can use its negotiating power to support communities andthis initiative to help keep housing affordable and benefit Black and minority communities.

Our goal is to repopulate these disinvested areas. We must generate investment in the neighborhoods where businesses have left and been reluctant to return because of the isolation of racial and economic segregation. Revitalizing neighborhoods requires a coordinated strategy of training the workforce, improving housing, recruiting businesses, and fighting crime.

The success of future developments will not only depend on the quality, type, and location of the development, but how they generate a sustainable environment for all people, for work, collaboration, life, and leisure. This opportunity will allow our next generation of minority developers, general contractors, and other professionals to flourish and communities to become vibrant and thrive once more.

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LETS CREAT THE VISION OF CHICAGO TOGETHER

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