T
he redevelopment of Chicago's Lathrop Homes, a historic public housing complex along the Chicago River, is moving forward with a new phase of construction. A $60 million tax increment financing (TIF) fund has been allocated to support the project, which will bring a mix of renovation and new construction to the southern section of the site below Diversey Avenue. The plan includes rehabilitating seven buildings, demolishing three, constructing a five-story building, and converting a powerhouse into commercial space.

    The Lathrop Homes Phase 1C is expected to deliver 309 housing units, with 213 designated for public or affordable housing. The project's total cost is estimated at over $200 million, with funding coming from various sources including the expanded TIF district. Completion of the redevelopment is scheduled for 2026.

    The Lathrop Homes have been a landmark in Chicago's public housing history since their construction in 1938. After years of neglect and delays, redevelopment efforts resumed in the last decade through a partnership between the Chicago Housing Authority (CHA), Related Midwest, and Bickerdike Redevelopment Corporation. The first phase was completed in 2019, delivering new and refurbished units north of Diversey Avenue, with a second phase following in 2023.