Chicago's Building Code Reforms Spur Growth in Five-Story Developments
Chicago has witnessed a significant increase in the construction of five-story buildings following the implementation of the 2019 building code reforms. These reforms allowed developers to use Type III construction for five-story buildings, a method previously limited to four stories. Type III construction, which is noncombustible on the exterior but allows for wood or less flame-resistant metal framing inside, is more cost-effective than the fully noncombustible Type I construction. This change has made it financially viable for developers to build more five-story structures, leading to a more than 100% increase in such developments. The Connected Communities Ordinance of 2022, which reduced parking requirements in higher-density residential zones, also contributed to this trend by allowing more flexibility in building design and location.