Chicago/ Real Estate & Development
AI Assisted Icon
Published on March 01, 2024
Chicago Strikes $2.2 Million Settlement with ResiPro Over Unlicensed Construction; Compensation Offered to Affected HomeownersSource: Google Street View

Chicago's crackdown on under-the-radar residential construction has ResiPro, LLC and parent company ResiCap LP coughing up a hefty $2.2 million, as revealed by city officials; the settlement ends a dispute over unpermitted work that Mayor Brandon Johnson and Corporation Counsel Mary B. Richardson-Lowry say targeted primarily underserved neighborhoods.

The payout includes a fund for free inspections for homeowners who got tangled up in ResiPro's permit-less work, plus up to $10K to repair any serious defects found, and a guarantee of at least a $1,000 check for those eligible once they schedule an inspection; yet information about this chance for recompense will find its way to affected individuals via the post courtesy of the city.

According to the city's announcement, ResiPro is also put on a five-year time out from Chicago construction unless they notify the city and spill the beans on where they plan to work, Mayor Johnson labeling the avoidance of building permits as "a dangerous gamble."

This legal melee stems from ResiPro's fast-and-loose approach, flipping properties swiftly for profit which often led them down the path of false permit applications, unlicensed subcontractors, and deaf ears to stop-work orders, yet these high-risk strategies intended to line their pockets put the public in the crosshairs and could've compromised both safety and structures according to Richardson-Lowry.

The investigation that nailed the defendants was a city tag-team effort, spearheaded by the Law and Building Departments, with Deputy Corporation Counsel Stephen Kane and Assistant Corporation Counsels Peter Cavanaugh, Chelsey Metcalf, and the former counsel members Rachel Granetz and Elie Zenner playing the lead roles in the affirmative litigation division, as they uncovered over 175 properties with work done sans permits.

The City of Chicago remains vigilant, urging residents to report any shady business dealings at [email protected], and has made the settlement and related documents public for those wanting to dig deeper into the saga between the city and these now-penalized construction reprobates.

Chicago-Real Estate & Development