Chicago Launches City-Owned Nonprofit to Develop Green, Affordable Housing Metropolitan Planning Council
Chicago is addressing its affordable housing crisis by establishing a city-owned nonprofit housing developer, the Residential Investment Corp., to create environmentally sustainable, mixed-income housing. This initiative, part of Mayor Brandon Johnson’s Green Social Housing plan, aims to alleviate the city’s shortage of nearly 120,000 affordable units. The Chicago City Council approved the ordinance on May 7, 2025, following initial skepticism from some alderpeople. The nonprofit will be funded with $135 million from a previously approved $1.25 billion bond measure, providing low-interest loans to developers for constructing green social housing.
Housing Commissioner Lissette Castañeda emphasized that affordable housing should be accessible to all residents, noting that nearly half of Chicagoans spend at least 30% of their income on rent and utilities, classifying them as rent-burdened. The new nonprofit aims to build 400 affordable units annually, focusing on sustainability and affordability. The initiative positions Chicago as the largest U.S. city to adopt such a model, reflecting a commitment to innovative solutions for housing affordability and environmental responsibility.
