While a number of new rental towers have been announced in recent months, Crain’s has an informative article about a number of Chicago condominium developers who are beginning to build again, albeit at a very small scale and in tightly phased sequences. Even for projects as small as 14 units, banks are demanding projects be split into two phases, six units first, followed by eight in a second building. Some developers are also willing to accept lower offers from buyers for higher down payments up front. The thinking reflects new stricter lending standards and continuing economic uncertainty. But with Chicago’s condo market still over-saturated and the foreclosure crisis just beginning to wane, it also reflects a much needed correction from previous patterns of over building and over lending. And, pardon me Mr. Burnham, but isn’t incremental city-making and infill development often the best approach?
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