Richard F. Friedman Neal & Leroy, LLC Chicago, Illinois

 Historic significance  Existing structure  Site of...  Architectural significance 3

 Masterwork Crown Hall on IIT Campus – Ludwig Mies van der Rohe

 Historic Site Site of Mrs. O’Leary’s barn Old Chicago Water Tower 5

 Ensemble Royal Street, French Quarter, New Orleans 6

 Identify common heritage  Honor  Innovation  Beauty  Accomplishment  Tangible example of past  Environmental  Tourism 7

 International—UNESCO World Heritage Site  National—National Historic Landmark or listed on National Register of Historic Places  State—listed or designated  Local—Locally designated landmark 8

 International—none.  National—limited: “take into account”  State—not used  Local—protection against change or destruction 9

 It’s my property to do with as I please.  You’ve taken my property without just compensation.  Fifth Amendment takings clause  It’s all subjective.  Fifth and Fourteen Amendment due process clauses  It’s unfair because the burden falls on me. 10

 Elimination or reduction of economic exploitation 11

 Elimination or reduction of economic exploitation 12

 Additional governmental involvement in private property  Designation  Review and permit process  Must be open to the public (not!) Madlener House 13

 No objective standard for designation or review of demolition or modification application. Prentiss Women’s Hospital, Bertrand Goldberg,

 No mutuality of benefit/burden. 15

 Mount Vernon—private purchase  U.S. v Gettysburg Ry. Co. U.S. (1896)—public use  Euclid v. Ambler, 272 U.S. 365 (1926)—zoning  French Quarter and other historic districts  National Hist. Pres. Act of 1966, 16 USC 461 et seq.  Illinois enabling act (65 ILCS et seq.) and Home Rule  Penn Central Transp. Co. v. City of New York, 438 U.S. 104 (1978) 17

 Early days – private preservation  George Washington’s estate, Mount Vernon, Virginia, purchased in 1858 by the Mount Vernon Ladies’ Association 18

 19 th and early 20 th Centuries – governmental Civil War veterans return to Gettysburg battlefield 19

 Zoning – Euclid v. Ambler—U.S. Sup. Ct  Historic district protection—1930’s ▪ Constitutional amendment—Louisiana ▪ Legislation – Santa Fe, NM  Urban renewal - -“With Heritage So Rich”  National Historic Preservation Act of 1966  1960’s – local preservation laws Schiller (Garrick) Theater Dankmar Adler & Louis Sullivan

Penn Central principles  Landmarking is a proper gov. activity  Landmarking by itself is not a taking  Designation standards may be promulgated  Constitution does not guarantee max. return  No taking unless all benefit or return elim.  Taking is measured by what remains  Property may have value in use even if it does not create income

 Constitution  State enabling act  Home Rule 23

 Local control: Enabling Act 65 ILCS 5/ or home rule  Commission is advisory only—corporate authorities retain the power to designate landmarks or grant permits or certificates of economic hardship  Members appointed  Full-time staff  Functions  hearings  regulations  Enforcement  education  investigation 24

Mayor CommissionStaff Council 25

 Building/demolition permits are reviewed by landmark commission  Inconsistent remodeling is not permitted  Designation does not include interiors  Private landmarks are not open to the public 26

 Certificate of appropriateness  Certificate of economic hardship  Owner must prove no economic benefit or return  Penn Central standard  It is insufficient to show a mere reduction in value 27

 SHPO (State Historic Preservation Officer)  Recommends National Register listing  Certifies rehabilitation as historic  20 ILCS 3405/1 et seq. 28

 The quality of significance in American history, architecture, archeology, engineering, and culture is present in districts, sites, buildings, structures, and objects that possess integrity of location, design, setting, materials, workmanship, feeling, and association and  (a) that are associated with emade a significant contribution to the broad patterns of our history; or events that have  (b) that are associated with the lives of persons significant in our past; or  (c) that embody the distinctive characteristics of a type, period, or method of construction, or that represent the work of a master, or that possess high artistic values, or that represent a significant and distinguishable entity whose components may lack individual distinction; or  (d) that have yielded, or may be likely to yield, information important in prehistory or history.  [more than 50 years old unless of extraordinary importance] 29

 Applies only to federal “undertaking”  Protects properties listed and eligible for listing on the National Register  Comment by ACHP and interested parties  Head of agency must take impact of federal project into account—then may proceed 30

 The Secretary may approve a transportation program or project...requiring the use of... land of an historic site of national, State, or local significance (as determined by Federal, State, or local officials having jurisdiction over the park, area, refuge, or site) only if—  (1) there is no prudent and feasible alternative to using that land; and  (2) the program or project includes all possible planning to minimize harm to the...historic site resulting from the use. 31

 Certificate of appropriateness  Certificate of economic hardship  Challenge to original designation standards 32

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 Deductible as charitable donation  Transfer of right to modify or demolish protected element—permanent restriction  National Register or local landmark district  Real Property Conservation Rights Act, 765 ILCS 120/0.01 et seq.765 ILCS 120/0.01 et seq.  Appraisal and other substantiation required  Measured by loss of development potential or market value  Code Sec. 170(h) and Reg. Sec A-14  NPSbrochurehttp:// download/easements_2010.pdfhttp:// download/easements_2010.pdf 35

 National Register or local historic district  Tax credit = 20% of rehab costs  Rehab must be certified as historic  Credits may sold to provide immediate funds  Commercial, industrial or residential rehab  Must be for-profit  Minimum investment of 100% of adjusted basis in improvement  Code Sec. 47 and Regs.  Brochure: x/download/HPTI_brochure.pdfhttp:// x/download/HPTI_brochure.pdf  Limited state analog (not yet Illinois) 36

 Not a landmark or listed on National Register  Tax credit = 10% of rehab costs  Rehab need not be certified as historic but must retain historic walls  Credits may sold to provide immediate funds  Residential rehab not eligible  Pre-1936 buildings only  Minimum investment of 100% of adjusted basis in improvement 37

 Single-family up to 6-unit (owner-occupied)  National Register/local designation or district  Eight-year assessment freeze with four-year kick up  Certified rehab  Must invest 25% of market value Charles N. Loucks House 38

 Class L  Available to Class 3, 4, or 5a or 5b (commercial)  Nat. Reg. property or local dist.  Approved by City Council  Tax rate reduced 60% for 10 years  Rehab must be certified by IHPA  Investment = 50% of assessed  value of improvement Chicago Board of Trade 39

 Fee waivers  Grants  Advice  Zoning bonus—Adopt-a-Landmark  TIF and other development assistance 40

Richard F. Friedman attorney at law 203 N. LaSalle St. Suite 2300 Chicago, IL Chicago Landmark Commission 33 N. LaSalle St. Chicago, IL