Funding Delay Halts Eco-Friendly Renovation Project for Affordable Housing

Marsha Jacobs
Published Apr 27, 2025



A big update was planned to make two apartment buildings in Chicago better for the environment and cheaper for elderly people with less money to live in. These buildings would get things like solar panels to save energy. 

A group that helps make housing affordable had even gotten all the money lined up, including a special $5.4 million loan from the government. But now, everything is stopped because the government's housing department changed its mind about giving the loan.

Aaron Gornstein, the boss of the group trying to fix up the buildings, said they can't move forward, and everything is waiting because of this delay. People think the delay happened because the program for the loan relies on green energy and addressing climate change and sustainable housing, and the current president doesn’t appear support that.

A person speaking for the housing department said they are checking the program to make sure it helps make housing more affordable, not just focusing on making buildings use less energy.

Because of this, the plan to fix up the buildings, including replacing old parts like windows and adding new heating systems, is not sure when it will start. This pause affects many other projects across the country too.

The loan was part of a big plan by the previous government to help update old apartment buildings to be more resistant to climate change and less expensive to live in by making them use energy more efficiently. 

The idea was that using less energy would make it cheaper to run these buildings, which means people living there wouldn't have to pay as much for rent.

Some people argue this isn't just about being "green" but about saving money and making living conditions better for people. But with the current stop, all these improvements and jobs that would have come from the renovation work are also paused.

Even another big fund set aside for climate and clean energy actions is being stopped. This means less money for projects like the one planned for the Chicago apartments, which aimed to do a lot of updates and even give jobs to about 2,300 people.

Officials and experts are worried about this change and hope the government will rethink and allow these projects to go ahead. Losing the federal money makes it very hard for such plans to find funding from other sources.

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