Elgin to fix up 3 'horrible places' as council OKs foreclosure rehab deals

Emphasizing they were focusing on the "worst of the worst," Elgin leaders on Wednesday signed off on $657,164 in contracts to rehab three foreclosed homes through a federal program.

"I know the numbers look big, but they're big for a reason. These are bad," Mayor Ed Schock said, adding neighborhoods gave input on which homes to buy. "These houses are filled with mold. Some are filled with fleas, rodents, vermin. They are just horrible places that need to be fixed up."

Last year, the U.S. Department of Housing and Urban Development doled out $2.1 million to Elgin and other communities through the Neighborhood Stabilization Program to buy, sell and rehabilitate vacant foreclosed homes.

J&B Builders of St. Charles was the lowest of four bids at $228,706 for the work at 463 E. Chicago St.

J&B Builders also won a $249,533 contract to rehab 457-459 E. Chicago St. The highest bid for this project was $488,740.

Finally, Homework Construction Inc. of Elgin landed the $178,925 contract for 162 Summit St.

"It's a good program," Councilman Richard Dunne said, noting at least one Elgin company landed a contract. "It's supposed to be creating jobs in the community."

Two weeks ago, the council voted in favor of a $197,045 contract to rehab a home at 318 South St. that it bought in February.

Councilman John Prigge was the only no vote then, and he voted no on all three contracts Wednesday as well.

"I know it's a big investment but it still makes me lose sleep," Prigge said. "It's still going to be a loss (when the homes are sold)."

Councilman David Kaptain voted yes but said he preferred the city buy smaller homes, such as bungalows, instead of tackling older homes.

The council is expected to consider more bids in September. The city has bought 10 homes so far and have two more under contract.