Ill. Attorney Gen. Madigan Announces $1.5 Million towards Pullman’s Historic Homes Revitalization

Deborah Bayliss | As of Wednesday, August 6, 2014

Chicago Mayor Rahm Emanuel, Ill. Attorney General Lisa Madigan, 9th Ward Ald. Anthony Beale and Chicago Neighborhood Initiative (CNI) Board Chair, Rev. Merlon Jackson on Tuesday, joined representatives of several housing advocates to announce the funding provided by Madigan and stems from her lead role in obtaining a historic $25 billion national settlement with the country’s five largest bank mortgage servicers. The 2012 settlement addressed allegations of widespread robo-signing of documents and other fraudulent practices by banks during foreclosure proceedings.
Chicago Mayor Rahm Emanuel, Ill. Attorney General Lisa Madigan, 9th Ward Ald. Anthony Beale and Chicago Neighborhood Initiative (CNI) Board Chair, Rev. Merlon Jackson on Tuesday, joined representatives of several housing advocates to announce the funding provided by Madigan and stems from her lead role in obtaining a historic $25 billion national settlement with the country’s five largest bank mortgage servicers. The 2012 settlement addressed allegations of widespread robo-signing of documents and other fraudulent practices by banks during foreclosure proceedings. Photo by Deborah Bayliss.

Residents who live at or near 10729 S. Champlain in Chicago were surprised yesterday morning as several local elected officials gathered on the block to announce $1.5 million in funding from a 2012 national foreclosure settlement to support an affordable historic home revitalization initiative in the Pullman community.

Chicago Mayor Rahm Emanuel, Ill. Attorney General Lisa Madigan, 9th Ward Ald., Anthony Beale and Chicago Neighborhood Initiative (CNI) Board Chair, Rev. Merlon Jackson on Tuesday, joined by several housing advocate representatives, announced the funding provided by Madigan that stems from her lead role in obtaining a historic $25 billion national settlement with the country’s five largest bank mortgage servicers – Bank of America, JPMorgan Chase, Wells Fargo, Citibank and Ally Bank, formerly GMAC.

The 2012 settlement addressed allegations of widespread robo-signing of documents and other fraudulent practices by banks during foreclosure proceedings.

“Whole neighborhoods in Chicago were devastated by the foreclosure crisis,” Madigan said. “The funding from the national mortgage settlement will help restore these communities block by block and serve as a down payment on a more stable financial future for families in Pullman.”

Mayor Emanuel addressed the residents gathered for the announcement saying, “Pullman is part of our Chicago Neighborhoods Now initiative. Literally in the last three years there’s has been 1500 jobs, public and private, all created through the investments of the new Walmart, new homes, new investments in the new factory, auto works, parks, schools. All of those efforts are the renaissance and revitalization of Pullman. Chicago is going to be as strong as our neighborhoods.”

Settlement funding will enable CNI to acquire and rehabilitate 20 single-family homes for resale or rent and will also allow for the acquisition of 15 buildings that will be developed into approximately 40 new rental units. To date, CNI has invested over $5 million in the Pullman neighborhood to renovate 38 historic homes.

“In redeveloping the homes in Pullman, we have set the stage for the job and service investments necessary to rebuild this historic community,” Mayor Emanuel said. “The successful redevelopment of this neighborhood will require an ongoing commitment on the part of the public sector, private developers and community organizations to turn a bold plan for economic growth and preservation into a lasting reality.”

In addition to securing direct relief for Illinois residents, Attorney General Madigan also dedicated nearly $70 million in settlement funding for community reinvestment, which has provided support for 54 proposals that focused on areas of need in Illinois and on housing initiatives that have been nationally recognized by the U.S. Department of Housing and Urban Development and the Brookings Institution, according to information provided by Madigan’s office.

Funding was awarded to groups of organizations working collaboratively to ensure efforts are not duplicated and are more effective – allowing public and private partners to reach a larger number of homeowners and renters in neighborhoods across the state. Some resources were also dedicated to housing policy and data experts that will ensure the long-term viability of the projects.

Attorney General Madigan also awarded $20 million to legal aid organizations and $5 million to pilot mortgage foreclosure mediation programs in Illinois as a result of the national foreclosure settlement.

Ald. Beale thanked Madigan and the Mayor Emanuel and the residents as he spoke about new jobs and housing for Pullman residents.

“A couple of months ago we broke ground on a new industrial company called Method-- the maker of eco-friendly cleaning products who plans to open a 150,000-square-foot soap production facility in Pullman Park-- the first industrial company on the south side of Chicago in probably over 40 years…new jobs, new opportunity, a green environmental company here in our community. We want to put people to work and put people in new housing here in our community.

Individuals with mortgage or housing concerns should contact the Attorney General’s Homeowner Helpline at (1-866-544-7151).

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