The International Olympic Committee’s decision Friday regarding the 2016 host city will have a massive impact on the future of Chicago real estate. The decision is so paramount that President Obama himself will be in Copenhagen to speak on behalf of Chicago– a first for any U.S. President. In addition to a modernized public transportation system and the development of vacant land, Chicago hosting the 2016 Olympics would mean the transformation of the Michael Reese Hospital campus into the residential site for the Olympic athletes. This site for the village is appealing to the Olympic Committee because it would allow athletes to be in close proximity to the venues.
As of now, plans include splitting duties between several developers in order to minimize risk. Officials have also recently acquired a substantial insurance policy where the insurer will pay for construction costs if developers are unable. Sources say that funding to build the village will likely come from the low-income housing grant options, and after the Olympics, many of those residences will be available for low-income rental and buying. Experts also say that the impact may be regional and stretch into Northwest Indiana as Chicago does not have sufficient training facilities for the large number of athletes that must be accommodated.
In short, real estate professionals and developers may see an unprecedented rise in business if Chicago is chosen as the 2016 host city. Friday’s decision could result in drastic changes in the Chicago real estate landscape for both the long and the short term. In the mean time, watch closely for updates– we know we will!
