Preservation

In response to a national crisis, Hispanic Housing created a separate division to acquire, rehab and preserve affordable housing communities in the Midwest.

Hispanic Housing Development Corporation is a highly-regarded developer of affordable housing in Chicago.  Throughout its 40-year history, Hispanic Housing has both developed ground-up affordable housing and acquired and renovated existing affordable housing properties, so-called “preservation acquisitions.”

There are 2.5 million affordable housing units in the United States that have been developed over the past 40 years, under a number of government financing programs.  Many are located in relatively strong market areas;  most are well-constructed and many have been very well-maintained.

About ten years ago, the preservation of these affordable units became an important social issue, as many affordable developments were converted to market-rate, displacing low income residents.  In the 1990's, HHDC acquired four HUD-financed properties in suburban Chicago.   In 2003, the Chicago-based MacArthur Foundation provided a grant to Hispanic Housing to expand its preservation/acquisition activities. HHDC now owns and manages 2,300 units of housing throughout the state of Illinois, as well as Indiana, Michigan and Wisconsin. These acquisitions achieved the social purpose of preserving and improving scarce affordable residences; through strategic acquisition, renovation and management.

The risk in preservation acquisitions is greatly reduced in comparison to ground-up development.  Most often there is no municipal involvement (such as zoning and other entitlement requirements) in connection with our acquisitions, and we can quickly renovate these properties with tenants in place. Hispanic Housing brings ACE, Tropic Construction and its Property Management division to renovate, recapitalize, and reposition these properties.

We are now seeking funding to expand our acquisition and rehabilitation program in the Midwest.  There is an especially strong opportunity in Wisconsin and in the greater Chicago metropolitan area; where rents are increasing and wages are stagnant, we are acquiring developments to stabilize and preserve rental affordability in our communities.

For a complete list of preservation projects click here.