Mayor Brandon Johnson has focused on affordable housing as a key part of his record, according to a May 21 statement. As the next mayoral election approaches, Johnson has highlighted initiatives such as the “Cut the Tape” program and support for tenants’ rights groups. A major component of his approach is the 2024 $1.25 billion Housing and Economic Development Bond, which was used to fund affordable-housing projects at an average cost of $700,000 per unit.
Johnson has recently called for rent control measures, gaining support from progressive allies in the Illinois General Assembly. Representative William Davis advanced House Bill 5765, which would allow municipalities more authority to impose fees and regulations on real estate and approve local rent controls.
The article argues that while rent control may be politically popular, it could have negative effects on Chicago’s housing market by reducing supply and discouraging investment. It says that high rents are linked not only to demand but also to factors such as high taxes, regulatory burdens like the Residential Landlord and Tenant Ordinance, and operating costs driven by city laws.
The article points out that in 2025 Chicago issued just over 4,000 residential permits compared with more than 52,000 approved in Houston during the same period. It cites slow construction growth due to municipal debt issues and credit downgrades that deter large-scale development projects. The author also discusses how local policies adopted from other cities may have unintended consequences for Chicago’s housing market.
Additional challenges include resistance from community groups concerned about gentrification—a process described here as reversing trends like economic segregation—and recent city laws limiting landlords’ ability to manage properties or evict tenants under certain circumstances. The result has been some small landlords leaving the rental market entirely.
Looking forward, suggested reforms include streamlining zoning laws and permit processes—such as allowing more duplexes or accessory dwelling units—offering tax abatements for developers or homebuyers, capping property taxes for long-term residents to prevent displacement, upzoning vacant parcels suitable for development, and reassessing affordable unit requirements.
The article concludes by stating that if Johnson wants Chicago to become “the safest, most affordable big city in America,” it will require changes beyond rent control: improving city finances and reforming current rules affecting developers.
