Chicago Condo Directory

March 25, 2009 - There is evidently some behind the scenes activity going on with the Chicago Spire. Work on the 150 story, 2,000 foot Lake Shore Drive high-rise has been put on hold indefinitely until the housing market recovers and the project has several liens filed against it. But reports of negotiations between Shelbourne Development and AFL-CIO Housing Investment Trusts have surfaced in the Tribune and Crain’s, fueling speculation that construction on the Spire may restart with union funds and union workers.

Apparently the two groups have been discussing the possibility of the construction unions combining their pension funds to get the Spire moving again. The union is made up of three investment trusts, one of which is the Building Investment Trust, that has over $2.5 billion worth of assets. One of the objectives of this trust is to create jobs for its members.

If the deal goes through, the Spire construction project could generate five years worth of jobs for thousands of union workers, claims Tom Villanova, president of the Chicago and Cook County Building Trades Council. He told the Tribune that, “The main thing is jobs. We can use our own funds to benefit members.” Villanova also made it clear that those jobs would only be filled by union workers.

Shelbourne spokeswoman Kim Metcalfe was very upbeat about the possibility of an agreement on financing and wanted to make sure that everyone understood that the Spire is far from dead. “Clearly, the construction of the building is on pause, but nothing else about the building has stopped.” She also went on to sell the mega Chicago real estate project as a “Made in America” effort.

If Shelbourne can secure construction financing for the $1 billion Spire, it very well may be the only Luxury Chicago Condo project of that size to be built for a few years.

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