Why the 605 Davis Proposal Fails Evanston
The Evanston Action Coalition (EAC) calls on the Evanston City Council to reject the proposed 605 Davis Street planned development and to uphold the Land Use Commission’s recommendation against approval.
The project, as submitted, raises serious concerns about fiscal responsibility, zoning integrity, and neighborhood impacts. 605 Davis would be Evanston’s tallest building, quadrupling by-right zoning allowances. The current zoning permits 92 units, an 85-foot maximum height, and a floor-area ratio (FAR) of 6.5, while the proposal seeks 430 units, 31 stories, 330 feet, and a FAR of 12.9. It also eliminates required setbacks and proposes only 80 on-site parking spaces versus the 250 required, partly by relying on leasing city-owned spaces in downtown parking garages. Approving allowances of this magnitude would undermine the City’s already generous downtown zoning code and set a precedent that makes it difficult to enforce consistent standards in the future—eroding Evanston’s livability and desirability.
EAC is especially concerned about the significant potential lost tax revenue tied to this proposal. The developer is seeking a 30-year property tax reduction incentive under Illinois Affordable Housing Special Assessment (AHSA). It is estimated that $40 million in property tax revenue would be diverted away from the City and our schools—amounting to nearly $500,000 per affordable unit—funds that would otherwise be realized if the parcel were developed under a typical planned development that complied with both affordable housing requirements and full property taxes.
The risk to Evanston’s schools is particularly acute. District 65 is facing a structural deficit and will weigh the closure of up to four elementary schools, projected to save only about $2 million per school. Closure scenarios are scheduled to be announced the same day as the 605 Davis vote. Meanwhile, the City of Evanston is facing a projected $10 million budget deficit. When revenues fall short, the burden shifts to existing homeowners and condominium owners—many of whom already face some of the highest property tax bills in the region. As Land Use Commissioner and Evanston real estate professional Darush Mabadi asked: “what is this (development) actually costing us?”
Evanstonians should not be forced to subsidize the tax share of a luxury high-rise with projected market rents of $3,000 for a studio to $6,200 for a three-bedroom unit. Such pricing, combined with the high land values projects like this generate, will only accelerate upward pressure on rents and property values city-wide, making Evanston even less affordable, and it will not provide the workforce affordable housing that Evanston residents have been demanding.
Beyond finances, the project fails to address practical risks and concerns highlighted by the Land Use Commission. Daily deliveries and ride-hail traffic for 600+ new residents will likely clog already congested Davis Street. Expert testimony warned that the project would exacerbate already uncomfortable wind speeds at Fountain Square with wind conditions exceeding safe thresholds for children, seniors, and other vulnerable residents—at the very moment the City is trying to attract more street-level retail and pedestrian activity. The developer’s own wind study shows a 67% increase in the areas of Fountain Square unsuitable for sitting or standing during the warmer months—meaning that, most of Fountain Square itself would be too windy to use for 80% of the summer. This analysis, conducted by Dr. Gul Agha, Professor Emeritus at the University of Illinois and member of Evanston’s Environment Board, underscores the severe microclimate risks posed by this project.He has also called attention to how the project conflicts with Evanston’s greenhouse gas (GHG) emissions goals, explaining: “While housing density near transit stops is advantageous for reducing GHGs, it falls short of the huge GHG increase that a high-rise of this sort causes.” The proposed retail component itself appears too shallow to be viable for most businesses, risking yet another underperforming or vacant downtown storefront.
Time and again, developers—including Vermilion—have claimed they cannot achieve a viable return on investment without excessive variances, only to return with more feasible and palatable proposals once their original plans were rejected. In fact, at this very site in 2018, Vermilion proposed a 33-story luxury apartment tower that was rejected by the then–City Council. Vermilion subsequently returned with an 18-story office building, which was approved. The operative point is not whether the use was office or residential, but that feasibility was possible at half the originally proposed height.
The same dynamic has been seen with other projects in Evanston, such as the multiple iterations of Horizon’s Legacy Development, where the developer once claimed only a 25-story building was financially viable. Ultimately, they returned with an 11-story project that was approved, proving that these feasibility claims are often overstated.
The Land Use Commission has already determined that this project does not meet Evanston’s standards for a planned development and wisely suggested that a smaller proposal that more closely conforms to Evanston’s zoning code would help mitigate the real risks that have been presented. The City Council should respect that process and vote no on 605 Davis. Evanston deserves downtown reinvestment that is fiscally sound, consistent with the zoning code, and aligned with the community’s vision—not projects that shift risk to taxpayers and weaken the city’s planning framework.
We call on the City Council to ask Vermilion Development to return with a new proposal that better complies with zoning, protects tax revenues, and addresses the City’s real needs. A small concession, like shaving a few stories from the proposal, will not accomplish this nor allay the very real fiscal, traffic, wind, environmental, and neighborhood concerns. As Commissioner Mabadi said at the Land Use Commission meeting on August 27th, “this site screams development… Someone will build on this site without question.” The City Council should value our land and resident feedback. Evanston cannot afford to give away 30 years of tax revenue on a project that fails our zoning standards. We can and must demand development that best meets the needs and aspirations of Evanston’s residents.
—Evanston Action Coalition Steering Committee