2 new apartment developments get approval to move forward in Rockford

By Kevin Haas
Rock River Current
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ROCKFORD — City Council members on Monday cleared the way for two developers to move forward with plans to add more apartment living in the city.

One developer plans to build from the ground up a new complex for seniors at Main Street and Harrison Avenue on the south side.

The other is reusing a pre-Civil War building at 121 S. Main St. in downtown to create upper-floor lofts and ground-floor businesses.

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Aldermen voted 11-0 to approve a special-use permit for Evanston-based developer Alf McConnell to build three 3-story apartment buildings for seniors and one 3-story assisted living facility on a roughly 18-acre parcel of land in the southeast quadrant of Main and Harrison, along the Rock River.

McConnell expects to develop the apartments in phases, one building at a time, with the first being a 56-unit apartment building for independent seniors.

Construction of the first phase could begin in the fall. Future phases will start depending on a combination of available financing and market needs.

Aldermen also voted 11-0 to approve a redevelopment agreement with Urban Equity Properties to revamp the historic Chick House Hotel building, which is at Main and Elm streets across from the BMO Center. The $11.7 million project is expected to begin this summer.

The 168-year-old property will be turned into 18 loft apartments and three ground-floor businesses, including a restaurant. There is an option for two additional accessible apartments on the ground floor for a total of 20 units.

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The city’s development agreement with Urban Equity calls for Rockford to provide a $2.7 million forgivable loan, which would be handed out in three $900,000 increments. The loan payments will be waived in $270,000 installments over 10 years if UEP maintains 75% residential occupancy.

The city will also create a new tax increment finance district and repay UEP all the increment property taxes it generates. The money would be distributed on a pay-as-you-go basis.

The developer will be restricted from protesting its property taxes and will be required to pay prevailing wages to workers on the project.

Urban Equity is buying the property from the city for $64,000. Aldermen approved that sale 11-0. It previously purchased the other half of the building from Rockford Office Supply House for $250,000 in December.

The final components of the agreement surround parking, with the city agreeing to make its Wyman and Elm streets parking deck free during the two-year construction process. After residents move in, parking costs at the deck will be reduced by 50% for two years and 75% for five years.

https://www.rockrivercurrent.com/2025/01/24/photos-and-video-the-historic-chick-house-hotel-in-downtown-rockford/

This article is by Kevin Haas. Email him at khaas@rockrivercurrent.com or follow him on X at @KevinMHaas or Instagram @thekevinhaas and Threads @thekevinhaas