The Newmans Preserving Affordable Housing in Auburn Gresham

Maurice and Ernestine Newman believe everyone deserves affordable housing.

Through their real estate development company, EN5 Community Development LLC, the couple has spent nearly two decades restoring damaged, neglected properties in Chicago neighborhoods to create affordable housing for homebuyers and renters alike.

“I think everyone deserves affordable housing, and I think this has been our goal,” said Mr. Newman. “You shouldn't be pushed out of Chicago. If you're from Chicago, you should have an opportunity to remain in Chicago. If you want to come to Chicago, we shouldn’t make it so that it's so overpriced that the average person or couple or family can't afford to get here.”

The Newmans choose properties to rehab that have fallen into disrepair but are surrounded by nice homes on a well-maintained block or neighborhood. Whether they plan to sell or rent, they consider the houses and buildings they rehab an investment not only in the property but also in the community as well.

“We'll go into these neighborhoods, and we become neighbors,” said Mr. Newman. “We'll hang out and sit out in front of the place for hours, especially now that the weather's nice, and meet the neighbors and they're glad to see this.”

The neighbors were especially glad to see them start work on one of their current projects located in the Auburn Gresham neighborhood. Unoccupied for many years, the house had become a blight on the block and a tricky rehab project because of the extensive water and roofing damage.

CCLF provided a revolving line of credit to EN5 Community Development LLC for acquisition/rehab of single-family, residential properties to finance the rehab of the four-bedroom, two-and-a-half bathroom house in Auburn Gresham, which has an en suite master bathroom and a finished basement.

“So we were happy that CCLF, unlike a lot of lenders, is not afraid of the tough communities,” said Mr. Newman. “They're not afraid of the tough rehab projects.”

The Newmans worked with CCLF as part of the Chicago Neighborhood Rebuild program, a joint effort of the City of Chicago to help developers acquire and redevelop vacant properties to be sold as affordable housing options for new homebuyers on the South and West Sides of Chicago. “Maurice and Ernestine consistently deliver high-quality, attainable housing, specifically targeting the neighborhoods and blocks that benefit most from their investment in the community,” explains Sullivan Greif, CCLF Asset Manager.

When completed, the Newmans will put the house back on the market for sale at an affordable price, knowing that the work they’ve done to restore the house will be a source of pride for the new owners and their neighbors. The new owners also will benefit from the improvements the city has planned for the neighborhood.

Auburn Gresham is one of the communities included in the first phase of the city’s INVEST South/West plan designed to improve and reactivate the commercial centers people rely on for transportation, shopping and other services.