Sedgwick/ Maryville Questions from Public Meetings Questions answered by Sedgwick, the developer for the proposed project are in RED.Questions answered by Alderman Cappleman are in BLUE.Questions answered by the Uptown Coalition for Responsible Development are in PURPLE.Questions answered by City of Chicago Department of Housing and Economic Development are in GREEN. Design

● You talked about the architectual oversight committee, but who is the architect?○ Mark McKinney is the architect of record. Independent planners and

architects Larry Okrent (Okrent Associates), David Haymes (Papageorge Haymes) and Peter Schlossman (Loebl Schlossman & Hackl) consulted on the revamped design and helped implement the significant changes to the proposal.

● What architectural and design features are you including in this building that will make it fit in and/or add to the architectural legacy of Uptown?

○ The design of the building has been generally well received and reflects the major requests of the community following their consideration of the previous design. Rental building of significant height are found along the lakefront and buildings with good access to mass transit support greater density.

● What would you, Sedgwick, say about the quality of your development projects? Would it be designed poorly like 828 W. Grace?

○ We do believe that we have a strong track record of quality construction.● Has Sedgwick ever built a high rise building with a glass curtain? If so, when and

where?○ No, but we will hire and third party, general contractor experienced in this

type of construction. ● What is the largest project Sedgwick has built to date?

○ The Marquee – approximately 25 stories ● What does the building look like from Lake Shore Drive?

○ Elevations from all four directions of the building are available on the website.

● What other building in the area is as tall? ○ There are several buildings in the surrounding community that are taller

or nearly as tall. Park Place at Irving Park and LSD is taller; the set of buildings at Foster and Marine are also taller. A comparison of area building heights is included in the presentation on the website.

● Was a study done to divide the 40+ story building into 2 and offset masses like Imperial Towers?

○ Yes, we did review. However, a significant community request, particularly among adjacent neighbors, was to move the tower and its height further from existing residential units. The architect and the design review committee both concurred that moving the tower and eliminating its

companion was an essential improvement.

● Why is the building 2x as tall as any building in the immediate neighborhood?○ While there are no adjacent buildings as tall, there are nearby buildings

that are taller and adjacent buildings that reach as high as 270 feet. The relationship of tall buildings with three, four and five story buildings is fairly common, particularly on the Northside.

● What are the chances of this design changing after the zoning committee has approved the change in zoning? Will the community be part of the process?

○ After the Alderman approves a project based on feedback from the 46th Ward Zoning and Development Committee, it would then go through the city Plan Commission approval process and finally to City Council. Changes may be made between the Ward’s approval process and the City Plan Commission. After the Planned Development proposal has been approved by the Plan Commission it will be passed in that exact form by the City Council. Changes after that point will be considered either minor, and can have administrative approval, or major, which requires community review and is similar to the approval process starting over from the beginning.

○ All changes to the design and therefore the PD must be submitted to city staff and the alderman prior to approval of the Dept of Housing and Economic Development, the Plan Commission, Zoning Committee or City Council.

● Has an EPA study been performed measuring the environmental impact of the building?

○ The project will comply with all required studies and reviews. Tests for environmental conditions are conducted as part of the construction and permitting process.

● Will you have a shadow study completed in order to support your statement that there will be minimal impact by the project?

○ A shadow study has been completed. For the current version, visit http://lighthouseatmontrose.com/ on the project overview page, under design details.

● Have studies been completed regarding the wind effects on the corner of Montrose and Clarendon?

○ Determining the wind load on the building, from an engineering perspective, is required as part of the development process. We will comply with all state and city requirements for wind testing.

● Can Sedgwick address the allegations about water issues at other buildings?○ We have no “water issues” at any existing building.

● What will be the environmental impact of the project?○ The building will be LEED (Leadership in Energy and Environmental

Design) certified by the US Green Building Council.● How will the access to the below and above grade (above retail) be structured?

○ Not sure of the question. Retail parking entrance is on Clarendon and residential parking is accessed through the west entrance via the alley.

● What do you think of the projects your company has done over the past few

years? What is you response for those negative comments on your company and projects from the media? Do you think you can do it differently this time?

○ We believe we have a strong track record of quality construction.● Will you, the developer, proceed if the podium is limited to 40 feet high?

○ The leased retail tenants require more space; the podium has already been reduced significantly with the placement of two levels of parking underground.

● How will you address the loading dock problem?○ The loading dock was moved to its current proposed location based

on a community request of to eliminate loading access to Agatite. It is internal to the site and placed under the proposed structure. It also is the preferred location of CDOT.

● What other buildings have been designed by the architect?○ Sedgwick has successfully designed and constructed multiple buildings

in the Chicagoland area. A sample of projects can be found on the developer’s website sedgwickproperties.com. Sedgwick’s architect has been involved in teaching undergraduate and graduate courses at the University of Illinois, Chicago and the Illinois Institute of Technology.

● The height of the building is much more than the immediate area currently has, can this be changed?

○ The height of the building is lower than neighboring buildings. Height and density are found repeatedly along the lakefront and particularly where transit access is high.

● What LEED certification level is currently engineered into the design? Are there other “sustainable” features or does this term in the marketing materials refer to LEED only?

○ The entire main site building will be LEED Certified. ● What reasons justify this project being at your suggested size rather than ½ the

size with a capability to structurally support future expansion?○ Our proposal and construction phasing is the most efficient way to

construct the building and limits impacts on the surrounding neighbors. Construction

● What if you run into problems underground with water levels, wiring, services, etc.?

○ All urban construction projects deal with issues – known and unknown – all the time. Experienced general contractors have completed buildings all across the city under complicated circumstances and we are confident we will be able to address issues as they arise.

○ Regardless of the underground conditions, the PD process limits what can be constructed and does not allow changes for any reason without undergoing the formal city review process and local community review process.

● How are you prepared to deal with any unforeseen delays and costs related to subsurface infrastructure.

○ All of the project’s risks, including subsurface issues, are the responsibility of the developer. The design or TIF structure cannot be changed simply because conditions may change. Like all major deviations, they

would have to be approved through the planned development process and supported by the alderman. Like any construction project, issues may arise, but Chicago has a long-history of developing buildings in challenging environments and has a wealth of talented contractors to meet these challenges.

● Has Sedgwick been the developer for any more unfinished properties in this ward, for example 828 W. Grace?

○ Sedgwick has no unfinished project in the ward or anywhere else in the city.

● How many phases of construction are proposed?○ The project sits on three development sites and it would be completed in

three construction phases. Parking/Traffic

● Will street parking on Montrose and Clarendon disappear, as it appears in the rendering? Do the 125 free parking spaces, make up for any street parking that would be lost?

○ Yes, the125 free overnight parking spaces are provided to compensate for the removal of 31 street spaces and the surface parking lot on the northern development site.

● Where are the 125 free spaces?○ Community parking spaces will be located on the north parcel until

construction is complete and in the parking garage. ● When did they conduct the latest traffic study?

○ Initial counts were conducted in 2009 and included weekday and weekend counts, and included days in which the Cubs were in town; an update was conducted and issued in September, 2011. INITIAL COUNTS WERE BASED ON SUBSTANTIALLY MORE DEVELOPMENT THAN IS CURRENTLY PROPOSED.

● Describe the traffic flow for the residents of 834 W. Montrose. Have safety considerations been made to accommodate for the residential parking garages that will be sharing a drive with semi trucks?

○ Yes, the current alley width of 16 feet was expanded to 30 feet. At the loading dock, it is further recessed and widened to nearly 60 feet to ensure no conflicts with existing users of the alley or nearby residents.

● What provisions will be made to assist traffic flow for residents of 4343 Clarendon that exit garage onto Montrose? Especially that need to turn left onto Montrose?

○ Several improvements to surrounding lanes and traffic signals, per the Chicago Department of Transportation, have been committed to, and should help the flow of traffic for everyone in the neighborhood. It is important to note that the traffic improvements requested by CDOT were based on an earlier, denser design with more units and buildings that the current design. A diagram of improvements is available on the website.

● Was the traffic study done during a Cubs game?○ Yes during the summer, “beach” months.

● How was it determined that 700 parking spaces would be adequate? There will be peak times for parking demand that overlap for the grocery store, health club and residences, as well as the 125 "neighborhood spots". Where will overflow parking go?

○ The development exceeds the municipal code requirements for parking

and independent parking studies reviewing the several proposed uses for the site have determined that more than sufficient parking exists, even at peak times.

● common sense tells me that when I see traffic backed up and down Montrose during rush hour and weekends in the summer that our roads near saturation.

○ Traffic is a challenge in any city and would continue to be a challenge whether this project moved forward or not. The current grades of traffic in the project area are not reduced based on projections of this project.

● How will the project affect buses? Where will bus stops be located?○ We are unaware of any bus stops changes and would have to defer to the

CTA.● This will create additional traffic problems. Traffic is already backed up on

Montrose during rush hour and weekends in the summer, showing that our roads are near saturation.

○ The developers are required to make improvements to surrounding roadways and intersections that will help to mitigate the impact of increased traffic.

Housing

● Will this development reduce neighboring property values?○ Historically, new development does not have a detrimental affect on

surrounding values. A new development that brings additional amenities to a neighborhood would be expected to have positive impact or no impact on surrounding values.

● Will there be low-income housing in the development?○ No. The housing component will be all market-rate rental apartments, and

there will be town-homes on the north site. In lieu of adding affordable housing units to the development, the developer will make a contribution the Chicago Low Income Housing Trust Fund.

● What is your projected market rate values for the least and most expensive units in your development and how have you arrived at the determination that there is a need for units in this price range in the neighborhood?

○ We have conducted market studies and reviewed the inventory of competing rental units. The Lighthouse will be of a higher quality and will offer significantly more amenities than most buildings in the area.

○ Studios $900○ 1 Bedrooms $1500○ 2 Bedrooms $2300○ 3 Bedrooms $3100

● Are there studies/data showing how the need for this additional housing was determined?

○ Yes. The Fourth Quarter 2011 Apartment Research Market Report from Marcus & Millichap shows evidence of this need. After 2 years of falling rental vacancy rates, the vacancy rate for rental housing in the Rogers Park/ Uptown area is 4.7%, and the vacancy rate in the area between Belmont and Montrose is 3.6%. A vacancy rate below 5% is considered a shortage. In addition, data shows that rents in the area are rising, another indication of a rental shortage.

● Why can’t Sedgwick pay it’s own contribution to the affordable housing fund like JDL is at Halsted and Bradley?

○ Sedgwick would contribute twice the percentage rate to affordable housing that JDL at Halsted/Bradley is contributing. Both Sedgwick and JDL are following rules for contribution to affordable housing outlined by City Ordinance.

○ Sedgwick is submitting all affordable housing funds from its own resources. The TIF will reimburse land and construction costs and will offset the developer-financed public benefits only after construction is complete. Planned developments must contribute a 10% surcharge to the affordable housing trust fund; TIF supported projects must contribute 20%.

● What was the motivation behind eliminating the meagre additions to the stock of affordable housing that was sought originally?

○ When a TIF is created, 20% of funds that would go into the development of housing must either build 20% of its units as affordable housing or contribute these funds to the City’s fund for affordable housing. The money is going toward the City’s affordable housing fund to make up for the recent loss of Federal Stimulus dollars that were used to pay rental subsidies. Without more funding to this affordable housing fund, residents who were dependent on rental subsides could become homeless. Given that 20% of the housing within the ward currently meets the City’s guidelines for being affordable, Ald. Cappleman chose to have these funds used to prevent current residents in affordable housing from becoming homeless.

● Why would the developer give $12.4 million to the Trust Fund, when other contributions could provide other direct benefits (short falls faced by local schools, after school programs, not for profits, social services) to assist existing low income residents living in Uptown.

○ The contribution to the City’s affordable housing fund is required by law. The City has not placed a requirement for developers to fund other noteworthy programs.

● Who will manage the property and screen tenants?○ A professional, third party residential manager will be engaged to operate

the building. ● Alderman Cappleman has said that with regards to affordable housing that

the “evidence based best practices” is mixed-income housing, that he would support a level of set asides with a higher level of set-aside for projects receiving public funds. Why does neither new proposed development include any affordable housing set asides?

○ Ald. Cappleman has the choice of either having funding go toward building affordable housing within this development or have $12.4 million go toward the City’s affordable housing trust fund. Ald. Cappleman decided to have funds go toward the City’s affordable housing program for 3 reasons:

■ Federal stimulus dollars that provided rental subsidies stopped in September and there was not a good plan in place to assist renters who were dependent on the use of these funds, leaving them at

risk for becoming homeless. Ald. Cappleman weighed the value of providing rent subsidies to prevent homelessness with the value of building more affordable housing.

■ Evidence-best practices support building more affordable housing in neighborhoods with a poverty rate less than 25%. The poverty rate in this neighborhood far exceeds this amount.

■ This particular area has a disproportionately high rate of affordable housing already in the area. It needs more rental assistance.

Retail

● How will this affect the Jewel and World Gym that currently exist?○ We believe that bringing additional residents, visitors and shoppers to the

community will benefits all retails outlets – planned and existing. There are numerous examples of co-located grocery stores across the city and they often serve to improve each other through their competition. Finally, Mariano’s and XSport both seek to attract customers at a different price point than existing retail options present in the community.

● Why put a grocery and gym into the retail spaces when there is already a grocery and gym 2 blocks away?

○ While there is never a guarantee that any given business will succeed, 46th Ward residents leave the Ward to spend $56 million per year at food and beverage stores, and a higher end grocery store was the retailer most requested in the 46th Ward retail survey. Mariano’s is considered a higher-end grocer with reasonable prices. It is closer in price and concept to a Trader Joe’s than a Whole Foods. Ward residents also leave the Ward to spend $41 million on health and personal care services, X Sport has many services that are not currently available. New developments are evaluated with an eye to keeping residents retail spending inside the Ward as well as attracting shoppers from outside the Ward. In addition, many of the residents of the building would be expected to patronize these businesses.

○ We strongly believe that both leased retail tenants will not only be able to serve those that move into the neighborhood and chose to live in the proposed development, but will also help attract those who currently do not shop in Uptown to visit and spend money at both the proposed retailers and existing retailers. There are many instances of grocery stores locating near one another across the city; not only does the choice encourage the stores to improve their products, services and physical conditions, but it helps increase choices and reduce costs for customers.

● Is Mariano’s intending to stay in this Montrose Location even if they are appropriate for the Lawrence Location

○ Marianos would not make an investment to move to this location if they had no intention of remaining there.

○ Yes, there is a signed lease with both Mariano’s and XSport, pending City

approval of the project.

● Is Mariano’s really coming both here and at the Sears site in Ravenswood?○ Only if the development at Clarendon/Montrose is approved.○ They have a signed lease for this location, but it is dependent on approval

of this proposal. ● What is the signed dollar amount of the rental leases for Mariano’s and XSport?

How long are the leases?○ The leases have been provided to the city.

● Did you poll/ ask the community what businesses/retail options they want?○ The Alderman has conducted several community surveys, with more than

800 responses. A gourmet grocer (like Mariano’s) has been consistently cited as a priority. Rental housing is in high demand all across the city (and nation) as individuals’ ability to purchase homes has been reduced.

● Does Segwick’s revised plan require it to build anything beyond the retail box?○ Yes, on the main site, the entire retail-residential tower is included in the

first phase and all TIF funds associated with the main site require both the retail and residential to be completed AND generating property taxes.

● How about developing a plan for some small businesses, such as cafes or other magnets for people to gather in a positive manner?

○ Smaller, additional retail spaces are available on the main site and on the east parcel.

TIF/Taxes

● Couldn’t a completely private development bring new tax revenue without diverting taxes to TIF for 24 years? Can’t we redirect this TIF money to parks, schools and libraries in the 46th?

○ Currently, there is no tax revenue being generated from this property. Until there is a profit-generating entity built here, there will be no tax revenue and so none is being diverted.

● Understanding the details/specifics of the TIF, please detail Sedgwick’s need for a TIF. Why can’t Sedgwick develop this property without TIF money, like JDL is at Halsted and Bradley?

○ A financial gap exists for several reasons. In order to secure the full capital investment, reduce the density of the design and provide the high level of quality and amenities in the building, a TIF is required. TIF funding is specifically designed to encourage private development and is offers a return for taxpayers – investment, development, jobs and public infrastructure improvements are committed to by the private sector in exchange with financial incentives to close and existing gap.

● Couldn’t a completely private development ring new tax revenue without diverting taxes to TIF for 23 years?

○ From Chicago Housing and Economic Development: If there were no TIF for this project, likely any Developers' rate of return would not be high enough for them to want to proceed for the project under current market conditions. A denser and/or larger project would likely generate more money but might not be allowed by the Zoning Division. It is possible that

a project of the current size could be configured to generate slightly more income but probably not enough to make a big difference in rate of return.

● Why not get TIF payout when ALL phases are completed?○ All TIF funds are tied to the completion of each phase and 95% of

construction costs are represented on the main site. Forcing the construction of for-purchase homes before buyers have been identified only increases the likelihood of vacant buildings and a negative impact on property values. The same lesson holds for retail locations. We believe that the main site development will increase interest and demand for the entire community, but we do not want to spend taxpayer dollars prior to market demand.

● At the end of the day, will the $12.4 million for the affordable housing trust fund come from the $31 million TIF?● The developer pays the affordable funds, up front and from their own

resources. In short, they finance the advanced funds, with no interest, in order to immediately make the funds available to the City. The developer will only be reimbursed for TIF costs when the building is complete and the costs of developed have already been expended by the developer.

● What if you don’t finish the project after 1 or more TIF funded phases are completed?

○ No TIF funds are issued until a phase is completed and both the retail and

● What is the total estimated amount of money the Sedgwick development will be paying into the TIF fund over the life of this TIF district?

○ $31 million ● Can’t we redirect this TIF money to parks and libraries in the 46th?

○ The TIF money will only exist if the project moves forward. There are no funds that could be diverted because no funds exist until the project is done and generating property taxes. The project will devote $6 million to Clarendon Park.

● Can TIF money be returned?○ If the project generates more taxes than are needed for the TIF funding,

then those funds would flow to existing taxing bodies. However, current projections do not assume excess funds.

● Why should we give TIF money to Sedgwick and Bentall Kennedy to increase its profit margin by 2.5% from 8.5% to 11%?

○ A financial gap exists for several reasons. In order to secure the full capital investment, reduce the density of the design and provide the high level of quality and amenities in the building, a TIF is required. TIF funding is specifically designed to encourage private development and is offers a return for taxpayers – investment, development, jobs and public infrastructure improvements are committed to by the private sector in exchange with financial incentives to close and existing gap.

● To the UCRD: I don’t like TIF’s either, but there is a TIF here, so what sort of guarantees will make the TIF acceptable to you?

○ We are the Uptown Coalition for Responsible Development, and, as the

name implies, would need evidence that the proposed development would lead to responsible development. Specifically, to support TIF financing we would need to see that:

● The developer has a demonstrated and proven track record of economic and commercial success on the size and styles of buildings proposed in any plan.

● Any plan, although perhaps built in phases, would not permit the developer topick and choose which parts it ultimately may or may not build. A TIF clawback provision and/or a performance bond would be ways to do this.

● The plan would be developed with the Community involved as a partner from the start, and not as an adversary at the end.

● The proposed plan would fit contextually into the Community, rather than offering a "community within a community."

● The public benefits from the plan would be at least equal to any TIF money sought.

● And finally, and critically, the developer would need to be one that the Community can trust. Ways to engender trust would include transparency, lack of spin, and commonality of purpose.

● Will you build if you do not get the TIF?○ The project is not economically viable without the TIF.

● For TIF’s approved in the last few years, what % is market vs. non-market rate development? What is the difference?

○ Unsure of the question?● What is the purpose of the the Lakeview Station TIF corp?

○ Simply the name of the corporate entity.● Have you added a claw-back provision to the agreement? If no, why not?

○ The Developer will only be paid the increment generated by the Project PINs. If less increment is generated than what they anticipate, their Note payments will be less.

○ Every APPICABLE phase of the project must be completed before TIF reimbursements for for pre-approved costs that have already been incurred and paid for are released. This is different from TIF funded projects in which funds are advanced or made available prior to project completion. This structure ensures that the developer bears all the risk of completing the project and that the TIF funds are only used if a promised project phase is complete and is actually generating property taxes. The city is considering structures that would return TIF funds should the project exceed projections.

● Even Northwestern Hospital is being asked to pay property taxes because they don’t have enough business to warrant non-profit status.

○ This is a matter that can only be decided by elected officials.○ The site currently does not generate taxes of any type and is exempt

from property taxes. On the other hand, The Lighthouse will generate an estimated $6.5 million in annual total sales and transit taxes, of which $1

million would flow to the city of Chicago to support city services. Because there are no taxes of any kind generated at the site today, this would represent an immediate return on TIF funds, in addition to the creation of jobs and the associated income taxes, which would also support city services. Most importantly, the project does make a $211 million investment in the community and facilitates improvements to the field house, affordable housing and infrastructure – all of which also serve the public and defray costs that would otherwise have to be met by taxes.

● How much of the projected sales tax revenue would come from the main tower, and how much from the eastern part of the site?

○ The sales tax estimate is exclusively based on the main site and any sales tax from the east parcel would be in addition.

● What are the options for fines and other penalties to be imposed on the developer for failure to comply with any agreement with committee or other appropriate city organizations?

○ It is the responsibility of the City Zoning Administrator to enforce compliance with the Zoning Ordinance. Failure to do so can result in a variety of penalties including revocation of permits, fines, and stop work orders. More information about this process is in chapter 17-16-0500 of the Chicago Zoning Ordinance. In addition, the Redevelopment Agreement that governs a Planned Development can have provisions for penalties such as not receiving TIF payments.

○ Every element of the planned development and TIF redevelopment agreement is captured in an ordinance. Failure to comply with these agreements would prevent permits from being issued or TIF funds from being released. The TIF redevelopment agreement has very specific and meaningful default and remedy provisions that will allow the city to enforce the requirements.

Foreclosure/ Financing

● Why are we considering a developer in foreclosure on 2 properties? Is Sedgwick properties financially sound? Can Sedgwick prove assets greater than $100 million to alleviate concerns over their forclosure suits?

○ Many developers we work with, particularly those developing residential units, form single-purpose entities for each of their projects. Therefore we evaluate each deal on its individual financial strength. Also, because TIF deals always have an additional source of financing, either from a bank or an equity provider, we rely somewhat on their underwriting. We assume that no bank or other lender would be willing to put money into a deal that they don't think is going to work.

● When you say no bank debt will be used does that include Bentall Kennedy? Or will they be seeking a construction loan?

○ No, there is no bank debt involved. We have secured a full capital partner – utilizing their existing resources.

● What is the current status of the foreclosure cases on Sedgwick’s last 2 developments? Not Answered

● Can you address the rate of return on investment - is 8.5 low for Chicago?○ The rate of return that pension fund investment managers have a

responsibility to return to pensioners is not a competition between different real estate locations, it is a competition among alternative investment opportunities. The TIF is designed to encourage private development that would not otherwise occur.

Other

● Other developers are interested, why will the Alderman not meet with them?○ No developer, other than Sedgwick, has asked to meet with Alderman

Cappleman regarding this property. Several community members have had ideas about what they would like to see happen with that site, but no proposals in any form have been presented. The Alderman will meet with any developer interested in working in the 46th Ward for any location.

● No other developer will present a proposal until Sedgwick is out of the picture, the sooner they are gone the sooner we can get a better developer to present a proposal.

○ It is common that other interested developers would approach both the Alderman and the City Department of Housing and Economic Development to express interest in a potential development site, even when the option is held by another party or there is another development proposal under consideration. This has not happened.

● Sedgwick claims that the proposed development would create 750 to 1,000 construction jobs and 450 permanent full time and 250 permanent part time jobs after construction. While it's hard for me to comment on the construction jobs, I firmly believe the permanent jobs are greatly over stated. What is the basis for this claim? Has any calculation been made of the possible elimination of other jobs in neighboring businesses that will directly compete with the proposed retain?

○ The jobs estimates are based on AFL-CIO estimates for similar-sized proposals and the experiences of both retailers’ current operations.

● Can you discuss the 1957 ordinance which prevents the sisters from selling the eastern building for non-charitable/religious purposes?

○ The Alderman’s contact with the City’s Legal Department found no evidence to question the current owners’ rights to sell the land to a developer. Friends of the Park has indicated that they will continue to pursue legal questions regarding this transfer. Ald. Cappleman will defer to the conclusion of the City’s legal team.

○ Several attorneys have reviewed the ordinance in question and have determined that it does not restrict the property to charitable uses; rather the ordinance addressed the waiving of permit fees for the hospital at the time of its construction and the use of the specific buildings that were built. There is no restriction on the sale, demolition or redevelopment.

● Has the developer looked into rehab and redevelopment of the Maryville facility by using historic designations and monies?

○ We did review, but due to the current condition of the facility and the cost to return it to a useable condition does not makes it economically viable.

● The existing buildings are more than 50 years old, and therefore qualify for listing on the national register of historic places. They are architecturally significant because they are designed by Bell and Bell. As historically signficant buildings

they qualify for a 20% tax credit if they were rehabbed. Why doesn’t the developer rehab the buildings?

○ The development team believes that it has a great proposal to help revitalize the neighborhood, create jobs and taxes, encourage private investment and improve public infrastructure.

● Why won’t Sedgwick meet with the most affected residents, 834 W. Montrose?○ Contact information and additional information about this development can

be found at www.lighthouseatmontrose.com. ○ We have been in contact and are working to schedule a time that works

for the residents and the development team. ● How did Sedgwick get the option to buy this property?

○ We negotiated with the owners of the property. ● Why can’t a community response group to the critics be on the agenda so that

supporters from the a rea can speak?○ There is strong support among Uptown residents who understand the

benefits of investment, renewal, jobs, sales taxes and high-quality development at the site.

○ Ald. Cappleman relies on the Zoning & Development Committee to provide their input into this development. Both critics and supporters of this development need to be reaching out to the members of this committee.

● We have had 2 meeting on this matter and the residents overwhelmingly rejected this developer. Why is this still going on?

○ Ald. Cappleman continues to stand by his campaign promise that zoning and development decisions will involve a formalized Zoning & Development Committee. Their recorded votes will have a strong sway on Ald. Cappleman’s decision. This is done so that the good of the entire ward can also be taken into account. Given that this development will cost more than $200 million, its impact goes beyond the local area.

● How many discussions has Alderman Cappleman has with former Alderman Shiller to understand the concerns that led to her halting the project?

○ The root of this question is whether or not Ald. Cappleman has received sufficient information from Ald. Shiller. Ald. Shiller purposely stayed out of the process when she knew the end of her time as alderman was coming to a close. Since taking over as Alderman, Ald. Cappleman has not received any communication from Ald. Shiller that suggested she is opposed to the current process.

● What will happen to the tennis courts? ○ They are not part of the project site.

● Would anyone from Sedgwick want to live across from the loading dock as planned? (Not Answered)

● Define Affordable Housing. ○ The generally accepted definition of affordability is for a household to

pay no more than 30 percent of its annual income on housing. http://

www.hud.gov/offices/cpd/affordablehousing/ ○ We are observing City of Chicago code by supporting the affordable

housing trust fund with a donation of approximately $12 million.