Chicago City Wire

Mayor Brandon Johnson has been promoting his affordable housing initiatives, including the Green Social Housing program and a $1.25 billion housing bond. However, progress in creating affordable housing remains limited, and some argue that the mayor's policies could increase costs.

In a deleted social media post, Johnson claimed an investment of "$11 billion" to "build 10,000 more units of affordable housing," equating to $1.1 million per unit. This figure was debunked, yet the mayor highlighted it as an achievement. The actual development of new affordable housing in Chicago has been minimal.

City data shows that over half of all new residential permits in 2024 were issued in just four wards out of fifty, raising questions about equity across the city. Chicago issued only 4,039 new residential building permits last year compared to Houston's 52,000.

The city's efforts have resulted in $324 million awarded to developers for only 505 affordable units. Mayor Johnson’s $1.25 billion bond continues Chicago’s tradition of financing through bonds but with less oversight than previous administrations.

Johnson's "cut the red tape" initiative proposed streamlining processes for affordable housing but has led to few changes despite bipartisan support. Meanwhile, emerging barriers such as green building standards could further increase construction costs.

The Northwest Side Preservation Ordinance is criticized for complicating property transactions and potentially driving up rents while discouraging investments.

A recent rule requiring developers to provide economic disclosure statements on historical profits related to slavery has also caused project delays due to its extensive research requirements.

Rising government costs are contributing to unaffordability in housing with increasing property taxes impacting residents significantly. Between 2014 and 2023, property tax burdens rose by $2.7 billion according to the Civic Federation.

To address these issues, experts suggest reducing zoning laws and regulatory hurdles while encouraging diverse housing types and reclaiming vacant properties for low-income families.

Strategic tax policies could promote affordable housing development while addressing gentrification through measures like tax caps on local properties and establishing an Affordable Housing Trust Fund supported by various revenue sources.

Overall, critics argue that Mayor Johnson’s current approach does little to solve Chicago’s affordable housing crisis without significant market-friendly reforms and smarter policy implementations.