A Chicago developer presented plans to community members for a mixed-use building in Lake View, increasing the building’s height and number of apartments, a year after plans were first presented.
A Tuesday community meeting hosted by 46th Ward Ald. Angela Clay’s office was standing room only as neighbors heard updated plans from Lake View-based developer DLG Management, which also owns the property.
Some neighbors weren’t on board with the building that they say is too dense for the area, despite supporters’ argument that the neighborhood needs more housing.
DLG Management is proposing a 10-story mixed-use building, called The Phoenix, at 3611 N. Halsted St.
DLG owner David Gassman purchased the vacant lot in October 2024 for $4.28 million, property records show. Gassman said he’s calling the project The Phoenix because the site used to be home to Phoenix Electrical Manufacturing. The building was demolished last year, after demolition permits were approved in April 2024.
The building, designed by Studio Dwell Architects, would include ground-floor retail space and two floors of parking with 77 spaces. The development team is planning to have a cafe, though no tenant has been confirmed, Dwell Principal Mark Peters said.
The upper floors would have 188 studio, one- and two-bedroom apartments. Thirty-eight of those units would be affordable at a weighted average of 60% of the area median income.
The penthouse level would include amenities such as a lounge, fitness room and terrace. A walking path surrounded by planting would border the penthouse, Peters said.
Gassman estimates an 18-month construction timeline if the city approves the zoning change. The building could be completed in 2027 and cost about $70 million.
Some neighbors, including residents of the nearby building The Dakota, expressed concerns about the building’s height. At about 140 feet, The Phoenix would be twice the height of The Dakota and it would make the building “incongruent” with the neighborhood and disrupt neighborhood aesthetics, one resident said.
In addition to being taller, Gassman’s updated proposal for The Phoenix adds about 20 units from when it was introduced last year to the community group East Lakeview Neighbors.
When asked about the taller height and increased density, Gassman pointed to ever-rising construction costs — a pain point for developers in recent years. The cost per unit typically goes down when developers add more units to a project.
“We started to look at construction costs and where it comes in once you set up a tower crane and start pouring concrete expensively,” Gassman said.
Kyle Ryan, a longtime resident of the area, worked with Gassman when he was deputy director of the 49th Ward. He said Gassman was “one of the better management leaders in our community” and will maintain the property long after completion.
Ryan called The Phoenix a “fabulous” building.
“I think we should be building more of this. It’s a great height,” he said. “If you’re scared of density, this is the wrong neighborhood for you to be living in.”
Other neighbors agreed with Ryan, saying the neighborhood needs more housing to keep rents from skyrocketing.
New data from Zumper found Chicago is the 15th most-expensive city in the U.S. for renters. The report, released Thursday, found the average October rent for a one-bedroom apartment in Chicago was $1,940. New York City topped Zumper’s list, with average rent of $4,400.
“We have to fill something on this land,” Clay said. “Our community needs the housing, and we want to do it collectively.”