Taylor Place
McHenry
McHenry County
Photo courtesy of Housing Opportunity Development Corporation
The Development
Taylor Place Apartments is a workforce housing development in the City of McHenry developed by Housing Opportunity Development Corporation (HODC) and Northpointe Development Corporation after three years of collaboration with federal, state, and local government agencies. Currently under construction, Taylor Place will adaptively reuse a historic office site and feed mill (the site was originally the McHenry Mills and Champion Brick Yard, built in 1870) to create a complex with 22 one-bedroom, 22 two-bedroom, and 17 three-bedroom apartments which will rent to individuals and families with incomes between 30% and 80% AMI. The historic office building will be repurposed into a community center, fitness center, and leasing offices, and new structures will include four walk-up-style townhomes and a three-story elevator apartment building. Located one block from McHenry Metra station and downtown McHenry, Taylor Place will provide residents with a walkable lifestyle and a boost to McHenry’s downtown retail stores.
Ground was officially broken in April 2024, and construction is set to be completed in fall 2025. As of summer 2024, 300 people had already applied for the 50 available units.
Goal
To address the growing need for workforce housing in McHenry County, ensuring that all workers have a safe and affordable place to call home. Taylor Place is also expected to act as an economic catalyst for the City of McHenry by increasing density near downtown McHenry’s shopping district and Metra station.
Target
Renters with incomes between 30% and 80% of the Area Median Income (AMI).
Financing
Financing included 9% LIHTC equity, $3.7 million in state financing, a restructuring of the City’s water capital development fees, a $1 million grant from the Federal Home Loan Bank, a $191,970 grant from ComEd, a $1.25 million federal grant via McHenry County, and an $800,000 grant through the Advance McHenry County initiative, created by the McHenry County Board via American Rescue Plan Act funds to advance thoughtful and impactful projects.
Success
Through diligent outreach and education of key stakeholders, McHenry County leaders were able to build consensus on the need and value of workforce housing solutions; investing significant resources into the adaptive reuse of a historic office building for this effort. Leaders across the region see this kind of development as a key tool in the economic invigoration of suburban downtowns.
Lessons Learned
The several years of collaboration between local, state, and federal officials with non-profit housing partners and private developers demonstrate the value of bringing together and educating diverse stakeholders about the importance of workforce housing.
Contact Information
City of McHenry Community Development Department, www.cityofmchenry.org
This case study was last updated in February 2026.
See More Case Studies
Home Grown is a collection of housing best practices implemented by local governments across the seven-county Chicago region. Each case study covers a housing policy, development, or program; how it works; why it was successful; and how it was funded. To see the full collection of case studies, click on the Home Grown logo.