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City Lots for City Living Investigation

The BGA and NBC-Chicago's Unit 5 investigated problems with Chicago's "City Lots for City Living" program. The project in Columbus Park was designed to help first time homebuyers purchase new houses, but problems with the developers, contractors, and the Chicago Department of Buildings have resulted in significant costs and headaches for those who participated. One owner paid $25,000 for so-called "extras," including a finished basement that was never actually finished. In addition, the basement was not outfitted with exit windows, as required by law, a significant fire hazard. Cost-cutting by the contractor resulted in major problems with some of the houses' foundations. An independent report by an engineer says one home's "knee wall" was built with studs, rather than reinforced concrete, as required by the plans submitted to and approved by the city. Because of this, the report says, "the long term structural integrity of the house has been compromised." The engineer also says that home's electrical system does not have ample circuits to support the needs of the residents and is not properly grounded, posing a fire risk.

While "City Lots for City Living" is a laudable program, the Permits of Occupancy and Certificates of Compliance should not have been issued, and the homeowners should not have been able to move into the houses until the problems were corrected. Now, these homeowners are stuck with repair bills that, in some cases, are greater than the value of the homes themselves, and the builders have not been sufficiently held responsible.

Click here to see the story that aired July 26, 2005 on NBC-5 Chicago.