$3.8 Billion Redevelopment Approved For Former Michael Reese Site

CHICAGO — The City Council approved the sale of the former site of Michael Reese Hospital to a developer as part of a $3.8 billion revitalization project called Bronzeville Lakefront.

The 48.6-acre property was purchased by the city in 2009 for $91 million amid its unsuccessful bid for the 2016 Olympic Games. Since then, it has been floated as a potential site for a Chicago casino or Amazon headquarters.

Under the deal given the greenlight Wednesday, the city will sell the land to a developer in multiple phases over the next 14 years for a total of nearly $97 million.

The City Council also agreed to kick in $60 million in public infrastructure improvements, including utilities, sidewalks, bike facilities and more than 9 acres of new green space.

"As the only multi-billion-dollar development being planned for a community of color in Chicago, Bronzeville Lakefront will provide a strategic link between the growing central area and the systemically underinvested neighborhoods to its south," said Maurice Cox, the city's planning and development commissioner. "This is a fantastic, mixed-use repurposing of surplus City land that will provide inclusive public benefits for years to come."

Mayor Lori Lightfoot said the project will transform the site into a thriving community hub for the Bronzeville neighborhood.

"My administration is constantly seeking out and securing private-sector partnerships that will reinvigorate and strengthen our South and West sides' business corridors, green spaces and more," Lightfoot said. "I look forward to seeing the completed site and how it improves the quality of the resources our neighborhoods are able to offer."

---

The area has been zoned for up to new 6,800 homes, and at least 20 percent will be priced as affordable. The redevelopment will also include more than 7 million square feet of offices and led to the creation of up to 20,000 temporary and permanent jobs, according to the mayor's office.

Ald. Sophia King, 4th Ward, said she has spent the past five years working with the Michael Reese Advisory Committee, city officials and the development team in countless meetings and negotiations to ensure the project is in the best interest of the community.

"The agreements in place will make sure the interests of the community are paramount to this development and that they survive for generations to come. Many of us at the table may not be here when this project is completed in the next 10 to 20 years, but the voices of the community will endure," King said.

The redevelopment plan has gone through more than 70 community meetings and public hearings before reaching the mayor's desk.

"Bronzeville Lakefront represents the best of what happens when large developments embrace a transparent community process," added King, whose ward includes the site. "With a focus on life sciences, research, and environmental sustainability at the development, the project will be a new hub of innovation in this City. Chicago has always been the home of innovation and bold ideas. This project carries that torch well into the 21st Century."

The first phase of construction will consist of the 500,000-square-foot Chicago ARC Innovation Building, operated by Israel-based Sheba Medical Center, along with a new park on 31st Street, senior housing and the re-use of the only remaining building from Michael Reese Hospital to survive demolition.

Development group GRIT Chicago LLC was selected by the city in 2017 following a request for proposals the year before. It includes Farpoint Development, Loop Capital Management, Draper & Kramer, Chicago Neighborhood Initiatives, McLaurin Development Partners, and Bronzeville Community Development Partnership.

"From its community-driven, sustainable design and construction program to a pioneering life sciences innovation center, Bronzeville Lakefront is designed to spur massive economic development through substantial job creation and the significant generation of income through business creation, commerce and industry," said Scott Goodman, principal at GRIT team lead Farpoint Development.

The development group has also agreed to contribute $25 million toward local public schools and to provide $10 million in financing for a 40,000-square-foot community center.