A proposed eight-story rental apartment at the currently vacant Madison and Racine intersection, unveiled at a Nov. 30 meeting convened by Ald. Walter Burnett (27th) and the West Loop Neighbors group, was met with resident complaints and fears.

Their objections were the usual suspects: The building’s too tall for the West Loop neighborhood; its proposed 216 rental units will cause traffic and parking nightmares; Chicago skyline views will be obstructed.

But while resident beefs filled the 90-minute meeting held at the Merit School of Music, neighborhood leaders saw a lot to like. In fact, Burnett said the development was part of West Loop’s bigger, denser future.

“This city has designated this area as a central area for planning,” Burnett said at the meeting. “The Department of Housing and Economic Development is pushing for more development because more people are living west of the Loop.”

“The Department of Housing and Economic development would quite honestly like to see more density in this area,” Burnett said.

Martha Goldstein, executive director of the West Loop Community Organization, said she understands the push.

“If people are willing to take a risk in our neighborhood I think we have to really appreciate that,” Goldstein said at the meeting. “You have to look at the big picture sometimes.”

The development could be an engine for retail, she said.

“People keep asking, ‘When we are going to get our retail?’ We are going to get our retail when the neighborhood fills out a little bit more,” Goldstein said.

The proposal by developers Ascend Real Estate Group calls for 216 living units — all rental and all studio, one-bedroom and two-bedroom. The first floor will have some kind of retail.

The city’s planning commission, Housing and Economic Development department, City Council Zoning Committee, and full City Council must sign off. If approved, construction would start in the summer of 2012 and last 19 months.

The project is estimated to cost somewhere between $56 and $58 million, and financing has yet to be secured, according to Walt Rebenson, CEO of Ascend and the project’s lead developer.

The all-rental project contrasts to the all-condo developments pervading downtown and near downtown in the last decade. Rebenson said that he would not rule out condo conversions, but there are no plans to make any units owner-occupied.

Rebenson characterized the development as an initial foray back into the real estate market after the housing bust.

“All of us stopped developing around 2008,” Rebenson said.

A couple of audience members questioned whether the building could attract tenants in the current economic malaise — particularly with rents starting at $1,500 for studios and $2,800 for two-bedroom apartments.

“We are businessmen and risk-takers,” Rebenson responded.

But most resident objections centered on everyday matters like the increase in Madison Street traffic and whether the project will include enough additional parking. Burnett noted that Ascend must prepare a traffic study to the Planning Commission.

The other main complaint was the building’s height in a corridor where the biggest buildings are five and six stories.

“There is nothing to prevent you guys from having a six-story unit,” said one meeting attendee.

“This seems like a monster that’s going to be a lot bigger than everything around it,” said another.

After being temporarily derailed by the recession, it seems the tide is turning for the West Loop to become denser.

The city’s 2009 Central Area Action Plan provides a road map for West Loop investments. These include greater public services — like the El station at Lake and Morgan streets.

Peter Strazzabosco of the Housing and Economic Development Department explains that the plan is supposed to facilitate expanding of the “central loop office core.”

“Historically, the office core has been shifting west toward the Oglive and Union Station commuter rail facilities, and this trend is expected to continue,” Strazzabosco said.

Burnett suggested that residents should be grateful to have the problem of more development.

“I sit by the United Center across the street from a couple of parking lots,” Burnett said. “I would love to see this building built across the street from my house.”

Ald. Robert Fioretti, whose 2nd Ward currently begins on the south end of Madison — across from the proposed development, also supports the project. “We need to enliven Madison Street much more,” Fioretti said. “We need to have it as a proper gateway.”

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By Joe from West Loop
Posted: 03/14/2012 2:31 PM

There is a public hearing re: this development on Thurs, 3/15 at 1pm at the following: City Council Chambers 121 N. LaSalle Street 2nd Floor of City Hall All with concerns should try to show up and voice them.

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By WestLooper from West Loop
Posted: 12/14/2011 4:46 PM

I think the demolition of CHA housing triggers certain obligations of the developers of the land to provide affordable and CHA housing. That also happened in the Taylor Street corridor. I don't believe that rule applies generally to any large development. Obviously this is a classic NIMBY issue, as people support generally the idea of public housing but would rather it would be placed somewhere else.

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By Anannymoose from Near West Side
Posted: 12/14/2011 3:57 PM

WestLooper, you're missing the point. On the West Side of Ashland, we constantly have public housing and social services shoved down our throats, largely due to the demolition of the Henry Horner Homes. Most developments of any density have an afforable component. On the East side of Ashland, where an enormous glut of development contributed to shaky housing prices all over the downtown area, life continues on blithely despite the impact of the excess inventory on others.

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By WestLooper from West Loop
Posted: 12/14/2011 12:39 PM

I don't think there was every any CHA units at Madison and Racine. Closest CHA is down on Jackson, and it is still there.

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By claudeah from United center
Posted: 12/14/2011 8:18 AM

Based on the building's size and the location to former public housing, shouldn't the building house CHA units? Buildings of those size and smaller were forced to have CHA, this building should have as well. What is good for one side of Ashland should be good for the other side as well.

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By MelissaB from West Loop
Posted: 12/13/2011 8:34 PM

I'm all for responsible commercial/residential development but I have serious concerns about the traffic situation at Madison/Halsted and traffic at Monroe/Halsted isn't much better. I would just like someone to evaluate traffic patterns/flow in the area from a overarching perspective before breaking ground. I'm all for the West Loop becoming a destination, but we need to keep the traffic moving so that people will want to return.

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By Tom.D from West Town
Posted: 12/13/2011 11:59 AM

I don't know anything about this particular site, but it would be very unusual for a single lot in Chicago to have an issue so severe that on a $50+ mil project, a good foundation couldn't be put in. Might be a little more expensive, but there are foundation systems that could work without blowing up the deal. The thing about a site that probably could kill a development would be some sort of contamination, but they must have done the testing already.

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By Larry from West Loop
Posted: 12/13/2011 1:48 AM

I think people are keeping an eye on Burnett to see if he talks out both sides of his mouth, as in, "I will hold these developers accountable to the West Loop residents" (in public), and "Hey guys, build whatever you want and I'll approve it and push it through" (behind closed doors). We shall see. One thing is for sure - he's under pressure to build, build, build... and it will make or break his reputation. The West Loop is depending on him not to let us down.

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By AP from WestLoop
Posted: 12/09/2011 4:29 PM

Here’s the link to the Near West Side/Area Land Use Plan (7/2000). http://www.cityofchicago.org/content/dam/city/depts/zlup/Planning_and_Policy/Publications/Near_West_Side_Plan/Near_West_Side_Plan_Part%201.pdf I’m going to write both Burnett and Fioretti (right on the boarder of the Wards) and encourage them to follow the Plan’s recommendations. Hopefully others will do the same.

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By AP from WestLoop
Posted: 12/09/2011 4:25 PM

From the Near West Side/Area Land Use Plan (July 2000) p.35 “Madison/Racine Intersection-There is currently an offset or unaligned intersection at Madison and Racine. This location has two signalized "T" (three-way) intersections separated by approximately 130 feet. Realigning Racine could replace the two "T" intersections with a single four-way intersection. This would allow for safer and more efficient traffic flow.”

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By Joe from West Loop
Posted: 12/09/2011 3:18 PM

@AP: I cannot confirm that re: the ground, but do remember hearing something to that effect. I suggest everyone that has concerns with the proposed development as currently conceived to write to the Alderman, developer, Zoning Commission, WLCO, etc. - I plan to do so soon. That is why they hold these types of community meetings. The more the neighborhood voices its reasonable concerns to the development team and city, the better likelihood the issues will be addressed. Thanks.

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By AP from WestLoop
Posted: 12/09/2011 12:00 PM

Can anyone confirm, rebut, or acknowledge a rumor I heard (albeit 3+ years ago) about the substructure of this lot – that for whatever reason the ground is too soft or otherwise unsuitable for supporting a building higher than 3-4 stories (I’m assuming without the cement caisson-like support used for skyscrapers.) I heard this rumor before the site went through all the legal actions which seem to have returned ownership to the City.

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By Jeff
Posted: 12/08/2011 3:37 PM

AP and Joe, My thoughts exactly, you took the words out of my mouth.

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By Jim from West Loop
Posted: 12/08/2011 11:34 AM

Love how the executive director of WLCO says 'our neighborhood' - she mentioned at the meeting she doesn't even live in the West Loop. Unbelievable.

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By AP from WestLoop
Posted: 12/08/2011 11:21 AM

I believe the 2009 Central Area Action Plan call for a straightening of Racine to ease the traffic bottleneck at Madison & Racine by having Racine cut diagonally across what is now the only vacant structure on this site (instead of the two turns currently). I hope the Aldermen are pursuing this option with the developer so that when the lot is developed, the north-south offset/two turns of Racine can be alleviated. That might significantly ease some traffic congestion.

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By Joe from West Loop
Posted: 12/08/2011 11:12 AM

I was at this meeting as well. I don't believe attendees were dead-set against any development on that lot - however, there was valid concern re: the size / number of units, and the community made reasonable suggestions, most of which were to reduce the number of floors. It is a fact that nothing on that corner is above 5 floors or has even close to that many units. The footprint is enormous. It's not a 'view' issue necessarily - that size building would overwhelm the corner, not enhance it.

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By Jeff
Posted: 12/08/2011 10:14 AM

I'm all about development and adding more density but I'm not sure if this lot is appropriate for a large rental building. I think it is better used for retail/business than rental if you ask me. There are a milllion more lots in the West Loop that would be better suited for a residential building.

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By Tim from WestLoop
Posted: 12/08/2011 8:49 AM

I was at this meeting and think your opening sentence, “….was met with resident complaints and fears” is a slight embellishment. Yes there were some questions about whether the building could be 2 floors smaller but it seems the larger issue was the traffic currently along Madison and how this might add to it. There were a number of people who seemed to feel that while everything might not be perfect, such a development would add some needed density and vibrancy to this area. I would say the all things being considered there were more people who supported the overall project than not.

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By Mike
Posted: 12/07/2011 10:59 PM

I'd love to see a more dense WL. It just puzzles me why Ald. Burnett seems so concerned about parking availability for the area yet he will not remove the cement flower medians that bottle necks Madison Street, obstructs views, enables people from crossing the streets to easily get from one business to the other, using up valuable street space for bikers, limits temporary parking for delivery vehicles, posing danger to wheel chaired individuals attempting to cross who cannot be seen?