One Chicago observer suggests teardown McMansions impoverish the city in three ways: they suburbanize neighborhoods, they are poorly built and do not fit in with the architectural context of the city, and help lower the population density of neighborhoods. More on this third point:
But Chicago’s density is declining, and some of the city’s most prominent neighborhoods have actually started to lose residents. Lincoln Par, once home to 102,000 people, barely housed 70,000 in 2020. Lakeview, once holding 124,000, was at 103,050 around the same time. North Center had decreased from 48,000 to 35,114, and nearby community such as West Town and Bucktown had similar fallen in scale.
These neighborhoods are becoming more expensive, and much of this de-densification may be due to a “spreading out” of sorts; wealthier people are moving in and are able to afford more space.
But there’s more to it than that. Previously, when a neighborhood in Chicago was in demand, builders capitalized, and the housing stock swelled. Chicago’s zoning laws, however, have changed, and while they allow for high-rise development in various downtown areas, they prohibit this same approach in neighborhoods. One thing is for sure, though: No matter how strict the zoning ode is in residential areas, single-family homes are pretty much always allowed.
One theory, termed “The homevoter hypothesis,” speculates that this is due to the control that homeowners have on urban development. Their interests have the most influence on local aldermen and, therefore, residential development. The good of the community and the city is not a factor in their agenda, which instead focuses on home value growth, and how to wield zoning changes in order to achieve it.
The argument seems to make sense: those who want to live in more well-off Chicago neighborhoods bring resources and an interest in larger homes. This could mean converting structures to single-family homes or tearing down older structures and starting over from scratch. If there is indeed an increase in larger single-family homes in Chicago, there should be data to support this. Anecdotally, my occasional travels in some of these neighborhoods suggests a good number of new homes nestled between two-flats and three-flats.
Additionally, there may be other forces at work that could also be leading to de-densification in Chicago neighborhoods:
- Chicago residents are leaving neighborhoods faster than people want to come in, regardless of what housing stock is available. The population is down in a number of neighborhoods across the city.
- The demand for new housing is higher in locations in and around the Loop because of the concentration of jobs and cultural opportunities plus the activity of developers. While Chicago has been known as a city of neighborhoods for a long time, the neighborhoods might not be as hot as the center.
- Developers and builders also want these new single-family homes because they can make a lot of money on each property.
Put all of this together and the new Chicago McMansions represent a change to numerous streets and neighborhoods.