Illinois e-News Release

For Immediate Release                                    

Tuesday, July 29, 2025                          

Contact: Andrew Field 

[email protected] 

CHICAGO – The Illinois Housing Development Authority (IHDA) Board approved funding totaling $40 million for the development of four non-congregate shelters that will create 194 units with 422 beds for persons experiencing homelessness. These non-congregate facilities will provide private rooms for individuals and families to reside and will not require occupants to sign a lease or occupancy agreement, while also offering necessary support services to help them during their housing transition.

“Here in Illinois, we understand that ending the homelessness crisis requires a multifaceted and equitable approach, and that begins with meaningful investments to improve our housing infrastructure,” said Governor JB Pritzker. “These four new shelters, which are repurposed from unoccupied properties, will offer a unique private housing support option for over 400 people. I’m thankful to the team at IHDA for their ongoing efforts to destigmatize homelessness and improve available accommodations for Illinoisans.”

According to the “Home Illinois: Illinois’ Plan to Prevent and End Homelessness,” on any given night in Illinois, an estimated 25,787 people are experiencing literal homelessness - living in shelters and transitional housing programs, in parks and abandoned buildings, in cars, and on the streets. The HOME-ARP Non-Congregate Shelter Development Program provides funding to experienced shelter providers to purchase or redevelop a building into a facility with private rooms to assist those who are homeless, at risk of homelessness, fleeing/attempting to flee domestic violence, sexual assault, stalking, or human trafficking.

"This investment is not just about buildings; it's about restoring hope and dignity to our neighbors experiencing homelessness," said IHDA Executive Director Kristin Faust. "We believe everyone deserves a safe and stable place to call home and these four developments offer private spaces where individuals and families can stabilize, receive vital supportive services, and ultimately transition to permanent housing. IHDA is deeply committed to providing the resources and care needed to help individuals and families regain their footing and build brighter futures.”

Three of the awarded developments involve the conversion of former hotels into housing while the other will bring necessary improvements to a former warehouse that has already been transformed into housing. This model of transitional housing offers public health benefits as well as opportunities to provide supportive services intended to help occupants regain their long-term housing stability. 

"As a member of the U.S. House Appropriations Subcommittee on Transportation, Housing and Urban Development, I've seen firsthand the critical need for programs like HOME-ARP," said Congressman Mike Quigley (D-Chicago). "This initiative will be a lifeline for countless individuals and families experiencing homelessness, ensuring some of our most vulnerable have access to the critical resources they need to get back on their feet. I'll continue fighting in Washington to increase funding and resources for programs administered by the U.S. Department of Housing and Urban Development that provide safe, stable housing for our veterans, seniors, persons with disabilities, and families.”

To ensure the health and safety of those seeking shelter, awardees must be current shelter providers that participate in the Emergency Solutions Grant Program or the Emergency & Transitional Housing Program administered by the Illinois Department of Human Services or have another verifiable operating funding source.

Financing was provided through the HOME-ARP appropriation in the American Rescue Plan Act of 2021. More information about the HOME-ARP Non-Congregate Shelter Development Program is available on the IHDA website.

The following four developments were approved to receive funding: