Habitat also has learned that developing high-rises can be much more difficult than developing other product types. “There is more risk in [high-rise] development, because it can take a long time to get permits, often because downtown lots are harder to permit or because people are concerned with obstructed views,” says Levin. “[They’re] harder to build, since you have strict fireproofing requirements and other mechanical systems to work with, [and they’re] harder to [lease] up, because you have more units. But, we have always enjoyed the challenges.”
That’s because Habitat understands that the best tools a high-rise developer can have are patience and persistence, says Woodworth.
Presidential Towers, a 2,346-unit mixed-use development with four 49-story towers, opened in Chicago’s West Side neighborhood in 1985. “It was a tough residential market. [And, it was] a difficult economic environment in a new urban neighborhood that was just evolving,” says Woodworth.
While Presidential Towers initially struggled through lease-up, Habitat maintained its focus on its long-term prospects. “It wasn’t that the property was ill-managed or ill-conceived, it just needed time to mature, and the neighborhood needed time to mature, and the economy needed to improve,” says Woodworth. “[Now, it’s] a very successful housing development that contributed to the rebirth of the West Side and … it’s really a showcase [development] for downtown Chicago.”
Through that project, Woodworth learned first-hand that hard work and perseverance pay off. “The ability to stay in there for the long haul has been important,” says Woodworth. “Time, in this business, cures a lot of problems.” And, it doesn’t just apply to high-rise development.