Lake County Gazette

A consultant informed the Waukegan City Council that a housing study, focusing on a mid to higher density market rate rental apartment community at 131 North County Street, revealed a significant undersupply in the rental housing market.

"Overall, northern Lake County could absorb a minimum of 13,175 new market rate rental apartments over the next five years, and up to 2000 units over that period, if enough supply was brought to market," said Erik A. Doersching, president and CEO of Tracy Cross & Associates, the city's consultant, according to a video of the July 21 meeting. "And that increase, or that upside potential, is really related to the pent-up demand that is existing."

According to the video, Doersching told the city council that his company's study revealed Waukegan's vacancy rate at 0.3% and Northern Lake County's at 0.7%. The study projected a demand for 1,375 to 2,000 new market rate rental apartments over the next five years.

The Tracy Cross & Associates' CEO said that the proposed development could potentially absorb ten units per month and be fully occupied in less than a year. He mentioned that when the study was completed in May, Northern Lake County had a possible demand for 2,000 units while fewer than 400 units were in development.

Doersching further explained that Northern Lake County has 54,000 total households with 10,000 individuals aged 35 or younger. These ages fall under the primary profile for an urban-oriented multifamily development. He noted that potential renters under age 34 have no apartment rental product available and emphasized Waukegan's demographics and income support for multifamily developments. The downtown developments surveyed were reportedly fully occupied with waiting lists.