Cook County Land Bank Proposal
January 14, 2013

Statement from Commissioner Bridget Gainer - July 24, 2012

"I am happy to report Cook County is moving forward with an initiative to create what will be the nation's largest land bank. The resolution, sponsored by myself and Cook County Board President Toni Preckwinkle to establish an advisory committee was approved at today's Cook County Board meeting. With a strong focus on collaboration with Suburban Cook County and on economic growth opportunities, the Advisory Committee will set the implementation strategy for the launch of a Cook County Land Bank.

The most recent census data shows that 9.16% or 199,778 housing units are currently vacant in Cook County and according to a recent New York Times article Cook County has the largest inventory of foreclosed property in the nation. "The data shows that the ripple effects of the foreclosure disaster spread further every day, even in our most stable communities. As the impact continues to grow, so too does the need to match the scope of the solution, to the size of the impact.

As a Commissioner on the Cook County Board, I have seen firsthand how far and fast the problem of the foreclosure crisis is spreading. What was 15,000 foreclosure fillings in 2005 has quickly exploded to 80,000. Every day we see the ramifications of one of the worst housing crisis many of us have ever witnessed. This is not an issue contained by ward boundaries, city limits or county districts. We must employ these resources in a meaningful and organized methods to reinforce positive growth and development. As housing problems continue to grow, so too does the scope of solution. This is a regional problem that must be met head on through a Cook County Land Bank.

The resolution directs Cook County Board President Toni Preckwinkle to appoint a wide variety of suburban stakeholders and industry experts to the Advisory Board within 60 days. Subsequently, the Advisory Board will have until mid-November 2012 to create an implementation plan for a Cook County Land Bank.

I would like to thank everyone who has been supportive of this initiative especially, Cook County Board President Toni Preckwinkle, Metropolitan Mayors Caucus, West Cook County Housing Collaborative, West Central Municipal Conference, Northwest Municipal Conference, South Suburban Mayors and Managers, Bank of America, Chase, Woodstock Institute, Business and Professional People for the Public Interest (BPI), Chicago Metropolitan Housing Development Corporation, Lakeside Community Development Corporation, Spanish Coalition for Housing, Community Partners for Affordable Housing, Hispanic Housing Development Corporation, Brinshore Development, Metropolitan Planning Council, Illinois Development Services Corporation and Oppidan USA."

Statements of Support

Read the full proposal:

Commissioner Bridget Gainer - Cook County Land Bank Proposal

Background Information on the proposal:

Commissioner Bridget Gainer - Cook County Land Bank Proposal Background

View the presentation:

Commissioner Bridget Gainer - Cook County Vacant Building Ordinance & Cook County Land Bank

June 19, 2012 Resolution for Cook County Land Bank Advisory Committee:

President Preckwinkle and Commissioner Bridget Gainer - Cook County Land Bank Advisory Committee Resolution

The New York Times recently cited Cook County as having largest inventory of foreclosed property in the nation. Based on the most recent census 9.16% or 199,778 housing units are currently vacant in Cook County. In addition, there are an estimated 78,014 foreclosures cases currently pending in the Circuit Court of Cook County, an almost 300% increase since 2005, of which 90% end in default judgments, where the homeowner does not appear in court. To address the current vacancies and the coming tidal wave of vacant buildings in our future I propose the creation of a Cook County Land Bank. The purpose of a land bank is not only to return vacant and foreclosed property back to active and reliable tax paying status, but also to be a catalyst to foster quality economic and affordable housing developments that will provide long-term community stabilization, revitalization and preservation.

This is a map which shows the borders of Cook County, Illinois and the borders of its townships. (Photo credit: Wikipedia)

The Cook County Land Bank proposal lays out the establishment and implementation of a regional Land Bank. This new entity as proposed does not require State action; the powers enumerated in this proposal are already established in existing State Statute regarding home-rule authority. A Land Bank will build on, organize and administer the tools and resources that have been established by all different levels of government to try and address vacant buildings.

While a Land Bank can do many things, one of its strongest tools allows for sustainable and reliable planning for affordable housing. Cook County, the City and State depend on unreliable federal funds via HOME and LITC for affordable housing. In one of the most dynamic and proactive measures around affordable housing, 12 other states, including Michigan, Ohio, California and New York have used the tools provided for within a land bank as an alternative to conventional affordable housing infrastructure opportunities. In addition to affordable housing, the proposal below lays out a plan to incorporate a comprehensive scattered site rental program, further building on the critical resources hardest hit communities need. A Countywide Land Bank allows for regional equity redisposition whereby it can successfully leverage inventory to positively impact stabilization in hardest hit communities.

In addition, a Countywide Land Bank allows the County and suburban communities to take an active role, without private investor markups, to recapture the homes that left local communities through foreclosure. Homes that are owned by banks are currently being sold to private investors who see the ability to profit from local devastation. These private investors have no accountability to our local communities planning needs or wants. A Cook County Land Bank can hold property for communities until long term plans can be established.

Finally, a Countywide Land Bank allows for regional economic development opportunities. A Countywide Land Bank can incentivize economic growth. Historically, the amount of time and money it takes to assemble parcels of land in older communities has often dissuaded developers and businesses; a Countywide land bank can acquire, hold, and transfer properties to provide communities and the County the tools to prepare underutilized land for investors.

A Cook County Land Bank, designed to address vacant and abandoned buildings regionally will be the thread that connects similar County, State and Federal programs together. Instead of each level of government layering demolition, rehab, rental or disposition programs on top of each other without leveraging the scale of the problem to the size of the market, a land bank can go directly to the core problems communities are facing; vacant and abandoned properties; depreciating home values and the need for comprehensive and sometimes sweeping planning for reuse.

Additional Resources

Cook County Land Bank Advisory Committee Report - December 2012: "The Land Bank Advisory Committee calls on Cook County government to join the growing list of communities with land banks."
ULI Chicago Technical Assistance Panel Report: "Cook County Land Bank TAP, Chicago IL, October 23-24 2012."
Urban Land Institute Chicago - News Release: "ULI Chicago Panel of Experts Issue Recommendations for a County-Wide Land Bank"
Dr. Herbet Fisher - "Cooperative Housing": an informative document highlighting the importance of cooperative housing.
DePaul University Institue for Housing Studies - "Cash or Credit, the role of cash buyers in Cook County's housing market": a report by the DePaul University Institute for Housing Studies on the rise of "cash buyers" in Cook County's housing market, which notes "that as the housing market in Cook County has weakened, cash buyers are playing an increasingly significant role."
Glossary of Land Bank Acronyms and Other Terms: definitions to some of the most common terms in the Land Bank proposal discussion.
Metropolitan Planning Council - "A Fresh Approach, Collaborating Toward Residential Market Recovery": Important statistics and facts of the three Cook County Housing Collaboratives - West Cook County, Northwest Suburbs, and Chicago Southland Housing & Community Development.
Metropolitan Planning Council - "Interjurisdictional Collaboration": The Metropolitan Planning Council (MPC), Metropolitan Mayors Caucus (MMC), and the Chicago Metropolitan Agency for Planning (CMAP) are helping clusters of Chicago suburbs pilot an innovative approach to housing and community development.
National Community Stabilization Trust - "HUD National First Look Program and the National Community Stabilization Trust": The National Community Stabilization Trust is a national nonprofit organization formed to facilitate the productive acquisition, renovation and reuse of properties as a means of stabilizing distressed neighborhoods.
Northwest Suburban Housing Collaborative - "Regional Collobration is a Solution": The Northwest Suburban Housing Collaborative (NWSHC) was created in 2011 to help five municipalities in Chicago's Northwest Suburbs develop regional solutions to address the short and long-term housing needs of the participating communities.
South Suburban Mayors & Managers Association (SSMMA) - "Green TIME Zone: the Southland Vision for Development and Investment": With the existing foundation of strong south suburban assets (rail stations, economic development assistance, a ready workforce), political leadership improving coordination and streamlining decision making - the factors have provided for excellent investment opportunities with redevelopment already underway.
Village of Richton Park, Illinois - "Chicago Southland Transit Oriented Development Corridor Planning Study": A great example of a site with good opportunity for a variety of housing types in proximity of the local Metra station, shopping, and the library. Key features include single family, duplex, town-home, and multi-family housing within an environment featuring abundant open space and new retail opportunities.
Woodstock Institute & Housing Action Illinois - "Capacity Building Investment Opportunities": What will it take to get ahead of the approximately 12,000 new foreclosure filings per quarter? Municipal leaders tackling the mounting foreclosure challenge through collaboration.
Urban Land Institute (ULI) - "Panelist Commissioner Bridget Gainer explains land banks": video from the ULI "Housing on the Rebound" Policy Forum.