Oak Park Reviews Affordable Housing Ordinance Rules
The village is evaluating its development requirements to determine if changes can better encourage new housing projects.
Updated on Oct. 23, 2026 in Apartments
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Oak Park village committees are reviewing potential changes to the 2019 Inclusionary Housing Ordinance, which currently requires developers to set aside 10% of units as affordable or pay fees. Local leaders are evaluating these rules to determine if they successfully encourage new residential growth while meeting housing goals.
Why it matters
The review follows findings that the current ordinance has yet to produce any on-site affordable units, despite $4.7 million collected in fees. The village is now investigating how market obstacles and tax rates affect the viability of new apartment developments.
The ordinance currently applies to developments with 25 or more units, requiring a 10% set-aside or a $100,000 fee-in-lieu per unit. While 40% of rental stock is affordable at 60% of the area median income, the village is weighing a CPI-adjusted fee of $130,000.
The players
Housing Programs Advisory Committee
A local body that advises village leadership on affordable housing policies and program implementation.
Ad Hoc Housing Advisory Task Force
A dedicated task force focused on reviewing the effectiveness of Oak Park residential development strategies.
SB Friedman
A real estate and development consultancy firm that conducted a feasibility study on local zoning impacts.
The details
Village committees are analyzing the impact of current zoning requirements, which an SB Friedman study suggests may not be enough to spur new development in the current economic climate. Staff presented options to the Housing Programs Advisory Committee to refine the balance between development feasibility and community housing needs. Discussions center on whether the 25-unit threshold and existing fee structure are hindering construction or failing to generate the intended on-site inventory.
Timeline
2019: The original Inclusionary Housing Ordinance was passed.
2023: The village conducted a comprehensive housing supply assessment.
October 19, 2026: The Ad Hoc Housing Advisory Task Force held its first meeting.
October 21, 2026: The Housing Programs Advisory Committee met to discuss ordinance changes.
November 6, 2026: The Ad Hoc Housing Advisory Task Force is scheduled to meet again.
The Home Front
Oak Park's review marks a shift in municipal efforts to reconcile strict affordability mandates with the realities of market-rate development costs. It mirrors a broader trend where cities evaluate whether fee-in-lieu structures effectively fund housing or unintentionally chill local construction.
Renters in the area should monitor these committee meetings for updates on how potential zoning changes might influence the future availability of local housing inventory. Property owners and prospective developers should keep a close watch on potential adjustments to the fee-in-lieu amounts and unit thresholds.
The takeaway
The village is reassessing its 2019 housing ordinance after failing to produce any on-site affordable units. Residents can track ongoing developments by following the schedule of the Ad Hoc Housing Advisory Task Force.
What happens next
The Ad Hoc Housing Advisory Task Force is scheduled to meet on November 6, 2026, to further evaluate the proposed ordinance adjustments.
Further reading
For more on the local rental market, visit the Apartments section.
Source note: This article includes information reported by Wednesday Journal.
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