Chicago/ Real Estate & Development
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Published on June 15, 2024
Union Labor Dispute Delays $110 Million Six Corners Redevelopment in Portage ParkSource: GW Properties

The $110 million redevelopment project anticipated to revitalize the Six Corners district in Portage Park is yet again on hold amidst an escalating dispute between developer GW Properties and Alderman James Gardiner of the 45th Ward. The planned construction, a blend of retail and residential space, has faced continual pushbacks, this time due to a disagreement concerning the use of union labor.

GW Properties' principal Mitch Goltz has expressed frustration over these impediments, particularly following a prolonged five years of planning. According to the Chicago Tribune's report, Goltz is disappointed by the latest holdup after the City Council’s Committee on Zoning was asked to postpone approval. An assertion behind the delay is Gardiner's insistence on a signed project labor agreement with construction unions, which is yet to be fulfilled.

The project, which would redevelop the former Peoples Gas site at 3955 N. Kilpatrick Ave., had previously seemed to gain traction. In a move reflecting compromise and community consideration, the developer had increased the ratio of affordable housing units to satisfy the city's Affordable Housing Ordinance, according to Block Club Chicago. "I can assure you that union labor will be a big part of this project," Goltz said, following concerns from community members and local trade unions.

Despite Gardiner's lack of comment on the latest delay, he previously described the development as phenomenal, a significant transformation from when the Six Corners area was considered blighted. Goltz told Block Club Chicago that the project now comprises four one-story commercial buildings and a six-story residential building, poised to be the last piece of a huge puzzle in revamping the historic district.

Key city approval was received after the developer guaranteed the participation of union labor, which Alderman Gardiner emphasized would ensure the safety of the construction project. However, the current stalemate over a formal labor agreement puts the project's future in an uncertain position, postponing job opportunities and economic growth that the development would likely introduce to the area.

Chicago-Real Estate & Development