In January 2021, CDF provided $8.5 million in New Markets Tax Credit (NMTC) allocation to Covenant House Illinois QALICB LLC to fund the acquisition and renovation of a 3-story building located at 2934 West Lake Street in East Garfield Park. The project will house Covenant House Illinois (CHIL), an organization that provides homeless youth ages 18 to 24 with shelter and supportive services. Project elements includes 40 shelter beds on the top floor and a first-floor Youth Development Center and administrative headquarters featuring space for wraparound support services and workforce development programs, a large community room, a commercial kitchen, and a courtyard with a basketball court and garden. A future (non-NMTC) phase will complement the project by rounding out CHIL’s service offerings through the creation of a Transitional Living Program with up to 32 beds.
The project is expected to triple CHIL’s capacity, allowing them to provide support services to over 900 homeless youth annually at the Youth Development Center. It will also allow for improved care coordination by consolidating shelter, health and wellness, legal support, educational, mental health, and workforce development programs under one roof. The Project is expected to employ 49 FTEs in positions paying above Chicago’s living wage. Renovation will support nine construction FTEs, including at least two CHIL clients who will be directly employed in the project’s construction through the general contractor’s master homebuilder apprenticeship program.
NMTC equity was provided by JPMorgan Chase.