Cut the Tape to Speed Up the City’s Real Estate Approval Process

Clients: City of Chicago Mayor’s Office - Deputy Mayor of Business and Neighborhood Development

Partners: Avoq

Challenge: The City of Chicago’s current real estate development approval process, while well-intentioned, can involve a dozen departments and results in a burdensome and costly undertaking. The complex system also favors those with more time and money to navigate the lengthy planning and entitlements process, including the legal work necessary to obtain approvals. This creates additional barriers for smaller firms that have limited resources and connections.  Rethinking the City’s development approval process requires a long-term, comprehensive approach. Civic Consulting Alliance was engaged by the Deputy Mayor of Business and Neighborhood Development as a trusted partner that could help build recommendations and sustain the momentum necessary to implement the systems-level changes needed to speed up the City’s approval process.

Action: In December 2023, Mayor Johnson signed an executive order mandating that City departments propose changes to streamline processes and incentivize commercial and housing development. Leading up to this executive order, Civic Consulting Alliance staff supported the City in identifying and prioritizing efficiency improvements for development processes. To identify inefficiencies, we conducted peer research, staff interviews, and external stakeholder focus groups to understand the root causes (cultural, policy, resource-based) and control factors (internal vs. legislative). Our research helped form a preliminary list of solutions, and we worked with City staff and key stakeholders to refine and prioritize 300 solutions down to 107 to be included in the “Cut the Tape” report. To prepare for the report’s release, our pro bono partner Avoq provided thought partnership around key messages that would reach and resonate with the real estate community.

Result: The “Cut the Tape” report was released on April 5 and includes 107 recommendations: quick wins that can be completed in as little as three months, and 10 Big Bets that are time-intensive strategies that will lead to a more efficient and equitable development approval process. The Johnson administration is well-positioned to quickly follow through on many of the process improvement recommendations, which will lead to developers being able to build more affordable housing and more vibrant commercial corridors faster. Ultimately, improving the real estate development approval process will benefit all areas of Chicago, help address the affordable housing gap, and build more vibrant commercial corridors across the city.

We continue to support this initiative: Based on Civic Consulting Alliance’s ongoing pro bono investments in this critical initiative, the City has already announced significant movement, including: 

• Streamlined design review for specific development types, which reduces the number of people who give feedback and cuts down on conflicting information sent back to developers to provide ongoing guidance;

• Launched “Cut the Tape” Task Force with nearly 50 development leaders; and

• Hired inaugural Director of Process Improvement.

Since the launch of the “Cut the Tape” report, our team has helped build a way to track progress on the 107 solutions, advised on the governance of the task force, and is currently accelerating momentum on three Big Bet recommendations from the Report:

• Initiate expedited reviews for affordable housing projects;

• Evaluate the feasibility of reducing the administrative burden of the City’s Economic Disclosure Statement; and

• Evaluate the feasibility of streamlining the Community Development Commission and Chicago Plan Commission.