Chicago Approves $5.9M TIF for Villa Guadalupe's Overhaul

• The Chicago City Council has approved $5.9 million in Tax Increment Financing (TIF) to renovate Villa Guadalupe at 3207 E. 91st Street.
• The 53-unit affordable senior housing community will undergo a $16.4 million rehabilitation aimed at improving accessibility, energy efficiency, and long-term affordability.
• Construction is expected to begin in Q4 2026 and wrap up in Q2 2028.

What the Renovation Project Includes

The City of Chicago has approved $5.9 million in TIF funding to support the rehabilitation of Villa Guadalupe, a long-standing affordable senior housing community located at 3207 E. 91st Street at the corner of South Brandon Avenue. Originally established in 1991 by the Claretian Missionaries, Villa Guadalupe has provided affordable housing for very low-income seniors aged 55 and older, as well as residents with disabilities. The upcoming renovation is designed to preserve the property while modernizing its infrastructure for future generations. Designed by Canopy / architecture + design, the project will upgrade building systems, improve accessibility, enhance energy efficiency, and incorporate aging-in-place features that allow residents to remain in their homes longer.

What Affordable Housing Will Be Preserved

The rehabilitation will preserve all 53 apartments as permanently affordable housing. Under the updated affordability plan, 48 units will remain reserved for households earning 30% or less of the Area Median Income (AMI), while the remaining apartments will serve households earning 50% AMI or below. In addition, three units will be designated as Permanent Supportive Housing (PSH) to provide stable housing for residents with supportive service needs. To minimize disruption, residents will be temporarily relocated in phases through a carefully coordinated rehabilitation process that allows the existing community to remain intact throughout construction.

What Funding Makes the Project Possible

The total redevelopment is expected to cost $16.4 million. Along with the newly approved $5.9 million TIF allocation, the project will receive $10.5 million in financing from the Illinois Housing Development Authority (IHDA). With the financing package now secured, the development team can proceed toward closing on funding and preparing the property for construction later this year.

What Happens Next

Henry Brothers Co has been selected as the project's general contractor, with construction scheduled to begin in the fourth quarter of 2026. Completion is anticipated during the second quarter of 2028. The renovation represents another investment in preserving Chicago's affordable housing inventory rather than replacing it, ensuring that long-term residents can continue living in quality housing while extending the useful life of one of South Chicago's established senior communities.