A $3 billion development plan for much of the former Lincoln Yard site on Chicago’s North Side has taken an important step forward, winning approval from the Chicago Plan Commission.
The commission voted Thursday to approve a plan by Chicago-based JDL Development and Kayne Anderson Real Estate to build about 3,300 apartments, condominiums, townhouses and single-family homes along with other buildings on the northern portion of previous property owner Sterling Bay’s stalled Lincoln Yards megadevelopment.
A zoning change is required since JDL and Kayne Anderson recently took control of the site and have drawn up a more residential-focused vision for the formerly industrial land along the Chicago River than the one that Sterling Bay won final approval for in 2019.
Foundry Park, as the new plan is called, still needs full City Council approval before it can move forward with construction along the Lincoln Park and Bucktown neighborhoods.
Chicago-based JDL and its Boca Raton, Florida-based partner could break ground on an initial $700 million first phase by this fall, according to the city’s planning department.
Foundry Park’s developers provided a first look at the project as part of the Plan Commission presentation, with renderings showing a mix of glassy high-rises along the river and lower brick structures surrounding pedestrian-focused streets and plazas.
The developers still must negotiate with city officials to determine how infrastructure such as roads and bridges will be funded.
Sterling Bay’s agreement to fund infrastructure improvements upfront and be reimbursed through tax increment financing dollars later proved to be a big hurdle to overcome, leading its project — and mix of commercial and residential structures — to stall after just one building was completed.
Most of the land that JDL and Kayne Anderson now control was seized by lender Bank OZK last year and sold to the developers for almost $84 million. It had been owned by Sterling Bay and its partner on the northern part of the development, Lone Star Funds.
A separate buyer, local construction and development firm Novak Construction, bought the smaller northern portion of Lincoln Yards for $34 million in late December. That land was sold by Sterling Bay and its investment partner on the southern land, J.P. Morgan Asset Management.
Novak has yet to unveil plans for the southern part of the property.
Foundry Park began to come into focus in December, when the zoning application was formally introduced to the City Council.
Under the proposal, the site would be rezoned to allow for 3,737 total residential units, about 3,300 of which would be developed by the JDL-Kayne Anderson venture. The tallest tower proposed is 520 feet high.
The proposal also includes medical office and traditional office space, retail and hotel space, several parks and a central plaza. The primary street through the project is Southport Avenue.