RE: Changes to the City of Chicago Zoning Certificates

Posted by Alma Rodriguez at 8:15 AM, Aug. 20, 2008

We bought a 2 unit in 2003 based on a zoning cert. that we received from the prior owners showing it was zoned as such, 2 units. Now we are being cited by the city that the house is not a legal 2 unit because of the way the unit is set up the city is claiming it was a converted attic, however, our concern is we purchased this property as an investment with 2 rental incomes and we cannot afford to deconvert this property and lose one of the units. The city is saying the zoning cert. is not sufficient to demonstrate the property is adequeate to be a 2 unit. We have made several attempts to obtain copies of permits on the property but to no avail. What is our final recouse? What are zoning cert. for if the city won't acknowledge them in court when trying to prove the validity of the property you own? Has anyone had this problem before? Thank you.

RE: Changes to the City of Chicago Zoning Certificates

Posted by Julie Woodward-Trenker at 4:27 PM, Aug. 20, 2008

Alma:

First let me say thank you for your truly challenging question.  You present the very complexities of real estate and how somethings may not be what they seem.

My first question would be; how did the City become aware of your property?  Were you pulling a permit to do some work?  Or worse yet, did a neighbor/past owner call and report you?  The reason I ask this is that zoning certs are issued based on that last record whether it be pulled permits (which you state you cannot get copies of) or the last city record.  It is not typical for a city inspector to randomly pick properties out of the blue for citation unless they have been made aware. 

Secondly,  how was the property marketed?  Was it in the MLS as a two flat?  If that were the case, your lender ordered an appraisal which would also substantiate the property was considered a two flat.  If you have that copy of the appraisal great, if not, order it from your lender.  One of your possible choices would be to appeal.  If the property was sold to you with the knowledge of it being a two flat, than with your lender's support, you should be able to argue it and ask for it to be grandfathered.  Better yet, ask the City directly how exactly you are out of compliance and what you need to do to be in.  It may overall be cheaper to make the necessary corrections versus deconverting.  This will also weigh on what is your current zoning code?  Are you permitted to be a two-flat for the area?

Regardless, it sounds as if the city had issued a cert out of error, and quite frankly, they won't care if your purchase was based on that.  You may be able to either appeal and grandfather the property under current zoning laws, make changes to bring the property up to code, or as a last resort, sue the previous owners for mis-representation.  The only way to know for sure what would be the best option is to consult a zoning attorney or real estate attorney for advise.  I do have a number for a zoning attorney which is 312-715-4000; Rolando Acosta with Altmier and Grey.  You can also contact the zoning adminstrator (which is a public office), Patty Scudiero and her direct line is 312-744-5777 and find out how your property is out of compliance and what your potential options are. 

I wish I had an easy answer for you.  Most often, properties are marketed as multi units that may or may not be in agreeance with the city's records. To all of our mis-fortune, it is often ignored and accepted because the city makes little effort to pursue illegal units or conversions, unless a permit is being pulled or a property is reported.  I hope this helps.

RE: Changes to the City of Chicago Zoning Certificates

Posted by Julie Woodward-Trenker at 9:36 AM, Sep. 11, 2009

Hi Matt:

Tax records will indicate what is recorded as number of units.  You can also note this in plat maps.  Mainly what the city is going after is the illegal units people put into basements of a multi unit building, or in often cases, a single family home that has been converted into a multi-unit home.  Zoning maps (on the city's website) will show you area zoning.  So, if you come across a multi unit building in an area that is only zoned for single family, you can guess that it is illegal.  As for the process of a six flat building and what actions the City takes for compliancy, well, those questions need to be directed to the Department of Zoning.  Thanks for your comments.