Posted on 06/04/2002 10:06:04 AM PDT by vannrox
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June 4, 2002 BY FRAN SPIELMAN CITY HALL REPORTER
Developers respond to possible changes BY DAVID ROEDER BUSINESS REPORTER
The power to tax has been called the power to destroy. But in Chicago, the power to zone can be just as lethal.
By producing a densely written ordinance and drawing new lines on musty maps, City Hall can transfer millions of dollars in land value, enriching some investors while leaving others in the cold. Zoning is a public policy decision about what to build where. If it's ill-advised, neighborhoods suffer.
Developers and community groups, which have closely followed the city's deliberations over a new zoning ordinance, see reasons to like what's in the tentative plan.
For developers, the new plan is a promise of predictability. They want zoning rules that stay in place and aren't subject to change, sometimes in a hurry, once a builder has plans that draw local opposition.
But community interests approve of rules that would keep builders from cramming new construction onto small lots. They also like proposed incentives for developers of affordable housing and those that build near a transit stop, thus encouraging less auto traffic.
Developer Steven Fifield said the new code could counteract anti-growth sentiments in many neighborhoods.
"It's good that we're getting more definition [of zoning categories] because the more predictable the code is, the better it is for business,'' said Fifield, a residential and office developer.
To Peter Skosey, a vice president at the Metropolitan Planning Council, zoning classifications will "be defined so that the quality of what's built in them will be better.''
Many critics contend Chicago's current zoning ordinance, adopted in 1957 to encourage growth, has allowed street-clogging density in hot neighborhoods, and new buildings that clash with the surrounding architecture.
City officials hope to have the new code in place by this fall and to coordinate it with a fresh plan for the central area that's expected to target the Near West Side as an area for high-rise growth. Fifield said current zoning limits much of that area to seven-story buildings when it's logically in the path of city expansion.
The complete rewrite of the zoning code leaves one part of the process unchanged--aldermanic prerogative, the power of aldermen to order or block zoning changes in their wards.
James Letchinger, who builds condominiums on the Near North Side, said a revised code will carry more credibility and will check aldermanic authority. "The aldermen will be more willing to stand up to community groups once is this enacted,'' he said.
But Don Glickman, chairman of the planning committee for the Park West Community Association, saw no such impact. "Having the alderman as an influence is a positive thing, because zoning is the only chance for people to make a significant impact'' on a developer, he said.
One developer more comfortable with things as they are is Richard Stein, chairman of Mesirow Stein Real Estate Inc., who said the current code works, and was skeptical of any government-directed reforms. "Chicago is a real interesting city architecturally because it is diverse. These things happen because the marketplace dictates them,'' not city officials, Stein said.
Chicago's celebrated neighborhoods would finally get the protection they deserve from ugly overdevelopment--and dormant neighborhood commercial strips could be reborn--thanks to a massive rewrite of the city's 45-year-old zoning ordinance.
The zoning bible could also dramatically alter downtown development, dividing the Loop into four categories, awarding bonuses and parking breaks to developers who build near mass transit stations and banning garish rooftop and electronic signs.
"The name of the game is to preserve and protect our communities and, at the same time, strengthen our commercial and industrial base and allow for positive growth. It's a fine line," said Zoning Committee Chairman William Banks (36th).
Since Mayor Daley's 1989 election, there have been a dozen major amendments to the zoning ordinance to protect the Chicago riverfront, bolster green space and prevent developers from putting up tall, skinny buildings that dwarf the ones next door.
In July 2000, the mayor declared an end to the piecemeal approach. He asked Banks to spearhead an overhaul of the zoning ordinance for the first time since 1957.
It was a monumental task. The Zoning Reform Commission spent countless hours, held seven neighborhood meetings and staged six workshops that drew from 300 business and community groups.
The final document will guide Chicago development for decades while preserving the treasured, but controversial, aldermanic prerogative over zoning. Among the provisions:
* Create four new downtown zoning districts--core, mixed-used, residential and service. In the service district, residential development would not be allowed. Planned development review, now limited to buildings at least 600 feet high, would be extended to smaller buildings near areas of "special character," including the Courthouse and Prairie Avenue historic districts.
* Ban rooftop signs in the downtown area to avoid obscuring Chicago's skyline, while also prohibiting video display boards and most other electronic signs within 100 feet of residential zoning districts, the lakefront protection district, parks of more than two acres, designated landmarks and boulevards. By imposing a 35-foot height limit on free-standing signs, the overall size of signs would be reduced by 75 percent.
* To improve the look and feel of Chicago neighborhoods, height, setback and lot coverage limits would replace "floor-area-ratio" formulas that have inadvertently given developers carte blanche to overbuild.
* Relax rigid rules governing front yard residential setbacks to eliminate the "gap-tooth effect" created when new buildings with relatively generous front yards are built next door to older buildings close to the sidewalk. The new setback requirements would reflect the buildings on either side.
* Chicago's system of alleyways would be protected and extended to new developments, paving the way for front driveways and street-facing garages to be prohibited. Below-grade concrete terraces that have come to be known as "patio-pits" would be prohibited in front yards.
* A new residential zoning district--R-3.5--would be created to bridge the gap between residential zoning categories that all but invites developers to overbuild. R-3 is currently Chicago's most widely used zoning classification, covering 20 percent of the city. R-3.5 would encourage construction of town homes and two-flats, but not at the higher density permitted under R-4.
* Consolidate zoning categories that regulate high-rise development to R-6, the lowest density of the three. To dramatize the need for the change, the report examined the area bounded by North, Irving, Halsted and Lake Michigan. "In an area of the city many consider to be congested now with a population of just over 100,000, the 1957 zoning ordinance would have allowed nearly a half-million people," the report states.
* A new commercial zoning district that allows a mix of residential and retail uses to breathe new life into long-dormant neighborhood commercial strips. There would be incentives for developers who agree to save the impressive corner buildings that anchor many neighborhood intersections.
* Eliminate the "one-size-fits-all" parking requirements for residential buildings that require one space for every new housing unit. From now on, single-family homes and town homes would need two spaces for each unit. Multi-unit residential buildings with large units of two bedrooms and up would need 1.5 spaces per unit.
* To boost mass transit ridership and ease traffic jams caused by the city's 1 million automobiles, the report suggests a 10 percent to 25 percent reduction in parking requirements for developments near mass transit stations and major bus routes, and possible creation of a "transportation zoning district" to help preserve railroad and utility corridors for future transit use. Bicycle parking would also be required for any use likely to generate at least some bike traffic. Businesses with more than 4,000 square feet of space would also be required to provide on-site parking--generally 2 to 2.5 spaces for every 1,000 square feet of floor space.
* Close the zoning loophole that has allowed an unlimited number of commercial parking spaces in residential buildings. The "parking podiums" increase the size and scale of residential high-rises, blocking views from adjacent buildings.
* Bonus "densities" for new high-rises that provide affordable housing units.
The commission is scheduled to hold 14 neighborhood meetings this summer, then draft a final ordinance in time for a City Council vote in late fall.Zoning bible to alter face of city
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