Neighborhood Opportunity Fund (NOF)

Neighborhood Opportunity Fund (NOF) is sponsored by City of Chicago Department of Planning and Development (DPD) and SomerCor. The Neighborhood Opportunity Fund provides grants for permanent builds and renovations for small businesses and certain nonprofits on Chicago's South, Southwest, and West Sides.

City of Chicago NOF | Commercial Corridor Grant by SomerCor Park Manor 75: NOF Feature in Greater Grand Crossing Neighborhood Opportunity Fund (NOF) The Neighborhood Opportunity Fund (NOF) was launched in 2016 to build strong and vibrant commercial corridors on the South, Southwest, and West Sides of Chicago. It is a reimbursement grant and technical assistance program that supports permanent builds and renovations of commercial spaces.

SomerCor is proud to administer the NOF Grant on behalf of the Chicago Department of Planning and Development (DPD) . Unlike many other City financial incentives programs, the NOF program is not funded through local property taxes or federal dollars.

Funds are sourced through the Neighborhood Opportunity Bonus program, which enables downtown developers to make financial payments to the City in exchange for density bonuses for new construction projects. Eighty percent of the proceeds are allocated to the NOF. NOF grants cover 75% of eligible project costs up to $250,000 and up to $50,000 in additional funding may be provided for approved technical assistance.

Grant eligibility depends on project location, project use, and the amount of financial assistance being requested. Grant funds can only be accessed through reimbursement or an escrow agreement for work started after receiving an NOF Conditional Award Letter (CAL). Questions?

SomerCor offers weekly office hours 10 am -12 pm on Wednesdays for inquiries regarding the NOF. Requests are handled on a first-come, first-serve basis. Click here to attend!

The NOF grant consists of the base grant, which may include coverage for acquisition of the project property, as well as the possible addition of the Technical Assistance Fund (TAF) for approved technical assistance. Grant funds can only be accessed through reimbursement or an escrow agreement for completed work.

Grantees can request up to three disbursements from either method or request to receive the full amount upon project completion. The base grant is calculated from the project's eligible expenses, which are identified from the itemized costs on the project's construction bid(s). The base grant cannot exceed 75% of total eligible project costs or $250,000 (whichever is less).

​ Acquisition of the project property may qualify as an eligible expense if it is part of a larger rehabilitation or new construction project. The acquisition costs are credited to the actual construction project and will impact the base grant amount. Technical Assistance Fund The TAF provides financial assistance for approved design, permitting, and construction management service providers.

It is provided in addition to the base grant. The maximum amount is 20% of the base grant amount or $50,000 (whichever is less). *Regardless of the total eligible project cost, the maximum award amount for the NOF grant is $250,000 and the maximum amount of the TAF is $50,000​ The NOF can fund projects comprising any of the following uses independently or combined in a mixed-use development.

All uses must be revenue-generating and in substantial compliance with the Chicago Zoning Ordinance. Commercial (office, retail, exteriors of mixed-use residential) Cultural (museums, theaters, performance venues) Non-profits with an on-site commercial component Artisanal manufacturing, production, and services with an on-site commercial component The project property must be located along a NOF-eligible commercial corridor.

Verify if your property's location is eligible with the interactive eligibility map . Applicants must have site control of the property in the form of a deed, lease (minimum five years and landlord approval for proposed project), or executed purchase and sale agreement The following are examples of project types that are ineligible for the NOF grant: Project properties that are outside the NOF qualified investment area (QIA).

Verify your property is located on a eligible commercial corridor with the interactive eligibility map .

Places of worship that exclusively promote or incorporate religious teachings of any kind (e.g. after school programming with religious education) Residential properties including home-based businesses and live/work spaces​ Heavy manufacturing or industrial businesses or properties​ Social services organizations including workforce development, schools, and daycare centers Projects that only correct deferred maintenance issues (e.g. boiler system replacement) Projects that only address building repairs compelled by a Court Order due to significant issues, mechanic liens, building code violations, or substantial past due property taxes Projects that only conduct minor structural/site repairs and improvements (e.g. outdoor patio resurfacing) Projects that only create new surface parking lots (e.g. design, construction, resurfacing) All expenses must be approved by the City of Chicago before construction starts and prior to any payments to contractors.

Permanent building improvements that enhance the appearance or viability of a property are generally eligible for reimbursement.

Eligible improvements include, but are not limited to : Site preparation, such as environmental remediation work and demolition Exterior improvements, such as roofs, walls, doors, and windows Interior improvements, such as stairs, floors, and ceilings Mechanical system upgrades, such as electrical, HVAC and fire prevention Acquisition costs that are part of a larger redevelopment project The following items are not eligible for reimbursement.

Ineligible expenses include, but are not limited to : Any work on the interior of residential units. However, the exterior of residential portions of mixed-use buildings may be eligible.

Operational expenses of any kind (e.g. inventory, staff salaries) Costs related to furnishings, fixtures, and equipment that are not permanently installed at the project site (e.g. tables and chairs) Repairs and improvements for government facilities These lists are not comprehensive. For more information on eligibility and requirements, please see the NOF's official DPD page or contact NOF@cityofchicago. org .

Interested in applying for the NOF but not sure where to start? We offer several resources to assist prospective applicants in building their application. Search below for a Community Partner to help with your application.

Click here to view the map in a new window. Interactive Eligibility Map Frequently Asked Questions Application Documents Checklist Grant Information Sessions Prospective applicants are encouraged to attend a grant information session in-person or online. In-person | July 9, 2026, 10 a.

m. - 12 p. m.

Hosted by Greater Southwest Development Corporation The Chicago Police 8th District Community Room at 3420 W 63rd Street Chicago 60629 Additional dates coming soon.

NOF Program Overview Slideshow Spanish Version | Versión en español Resources to Optimize Your Application Business Affairs and Consumer Protection (BACP) Resources - Free business education resources covering a variety of relevant topics for new and seasoned business owners SCORE - Supported by the SBA, SCORE offers a host of resources to help start or grow your business, including business plan templates for existing businesses and start-ups Chicago Zoning and Land Use Map - Ensure the property is zoned for your proposed business type Cook County Clerk's Recordings - Check for liens, pending cases, court orders and other issues Cook County Property Tax Portal - Check for past-due taxes on your project property DPD Design Guidelines - View the Department of Planning and Development (DPD) neighborhood design recommendations Dept.

of Buildings Records - Search building permit, inspection and violation records by address American Institute of Architects (AIA) - Explore resources that help you understand what it is like to work with an architect ChiBlockBuilder - The City of Chicago’s application portal for the purchase and redevelopment of City-owned vacant land in partnership with community stakeholders Community Development Financial Institutions (CDFIs) - SomerCor has developed a list of approved CDFI service providers that are pre-qualified to provide lending services for NOF participants in support of financing and completing their projects ChiBizHub - A portal for aspiring entrepreneurs and business owners looking for resources to start, scale, or accelerate their business in Chicago Chicago Business Center (CBC) Services - Business funding (debt and/or non-debt) opportunities for those who have historically lacked access to banks and capital networks as well as information on business funding resources IL Department of Commerce and Economic Opportunity - Confidential business guidance and other resources for start-ups and existing small businesses Cook County Small Business Source - Business advising facilitated by partners throughout Cook County Minority Business Development Agency (MBDA) - Promotes growth and competitiveness of US minority-owned businesses Small Business Advocacy Council (SBAC) Financial Growth Opportunities - A portal with up-to-date opportunities for grants, tax credits, and other funding Chicago Wards and Alderpeople - Find your local ward and alderperson as well as information about the City Council, including meetings, legislation, live streaming and other resources Chicago Community Plans - A list of updated Community Plans that guide development in targeted Chicago neighborhoods Neighborhood Business Development Centers (NBDCs) - No-cost hyper-local business development assistance to entrepreneurs and business owners throughout the city Connect to Cook Data Portal - A portal that utilizes geographic Information systems (GIS) to highlight strategic opportunities for location, investment, or development Chicago Open Data Portal - Find city data, find facts about your neighborhood, create maps and graphs about the city, and freely download the data for your own analysis Community Partner Contact Information Neighborhood and development organizations that support NOF applicants and work with DPD to support the NOF grant program Here you can find toolkits to assist you with specific aspects of the NOF application.

They will walk you through the creation of required documentation, definitions of terms, and best practices for making your application as strong as possible. Our team is here to help! If you have questions that are not answered in the toolkits, please reach out to us at NOF@cityofchicago.

org . An applicant becomes a NOF finalist once their application is approved by the DPD Commissioner. ​ IT IS IMPORTANT NOT TO BEGIN CONSTRUCTION OR PAY CONSTRUCTION COSTS UNTIL THE CONDITIONAL AWARD LETTER (CAL) IS ISSUED.

Here you can find resources to aid with some pain points you may encounter as a NOF Finalist. More Finalist resources coming soon!

Finalist Documents Checklist License and Insurance Lookup: All Trade Contractors NOF-Approved Project Managers List Find a GC: Minority- and Women-owned and BEPD firms NOF-Approved Architects List Find a GC: Disadvantaged Business Enterprises (DBE) firms Legal Documents - Fillable Templates Economic Disclosure Statement - Instructions for filling out the Economic Disclosure Statement (EDS) are viewable here .

The EDS must be completed by the entity that is or will operate the business and also by the entity that owns the project property (unless you are a tenant). Affidavit and Certification of Property Owner - This affidavit provides a formal declaration regarding property status and ownership, and protects against false declarations and claims.

Principal Profile Information - This information will be used for the purposes conducting “scofflaw” checks to ensure that all applicants are current on debts owed to the City. This form must be completed by any person that has more than a 7. 5 percent ownership stake in your business or the real estate associated with your project.

If you are a non-profit organization, your Board Directors will need to complete these forms. Affidavit of Child Support Compliance - This form must be completed by any person that has more than a 7. 5 percent ownership stake in your business or the real estate associated with your project.

If you are a non-profit organization, your Board Directors will need to complete these forms. Finalist Toolkits Coming Soon! A finalist becomes a NOF grantee and project construction begins once they have signed their grant award contract, the Conditional Award Letter (CAL).

Here you can find resources to aid with some pain points you may encounter as a NOF grantee. More grantee resources coming soon!

Document Checklist for ESCROW PAYMENT OPTION Document Checklist for REIMBURSEMENT PAYMENT OPTION Department of Business Affairs and Consumer Protection (BACP) City of Chicago Processes This information is provided to help NOF grantees better understand some of the City of Chicago requirements and procedures that commonly lead to delays in project completion.

If you are unable to find the answers you're looking for, please don't hesitate to reach out with questions! The Chicago Small Business Center (SBC) is the business licensing and permitting division of the City of Chicago Department of Business Affairs and Consumer Protection (BACP) . You can apply online or in person at the SBC (121 N LaSalle St).

If you choose to apply in person, live wait times are viewable online . Licenses are separated by type and each type has its own cost . Your license fee could be anywhere from $250 up to a few thousand dollars, so it’s important to know in advance what the cost is for your business type and to budget accordingly.

There is a late fee for license renewal applications filed after the expiration date of the current license. The license renewal late fee is 25% of the amount of the license fee, but in no event less than $25. There are business activities regulated by the State of Illinois that may be exempt from City licensing.

Please review the Business License Exemptions page for a sample list of occupations/professions which do not require a Chicago Business License. Please keep in mind when budgeting your project that the NOF cannot be used for license fees.

Small Business Center (SBC) Hub APPLY for a Business License UPDATE Business License Info Permits issued by the Department of Buildings (DOB) help to ensure construction work complies with the minimum standards of safety established by the Chicago Construction Codes in order to protect public health, safety, and welfare. A permit is required before beginning most construction, demolition, and repair work.

As of June 5, 2025, the average total time for building permit issuance is 92 Days . In adherence to the conditions set forth in your grant agreement (the Conditional Award Letter [CAL]), you must produce your permit within 120 days of the issuance of your CAL. It is important for you to keep this in mind, and to account for delays, as you are planning the timeline of your project.

In DOB's Guide to Building Permits (2024) you will find information on different types of permits and a Step-by-Step Tool to walk you through the permit process for different project types. Through the Express Permit Program , some small projects are able to apply for a building permit without submitting any drawings. Other small projects can be permitted based on documentation less than full plans.

A permit must be paid for within 120 days of the notification that it is ready for payment, and the permit becomes active once payment is received. You then have 180 days from the date of payment to "begin" work for a plan-based building permit and 365 days for a permit issued through the Express Permit Program. To obtain a permit time extension or reinstatement, email expresspermits@cityofchicago.

org with the original permit number and address. Describe what work has been completed under the original permit (if any) and include the date of your last inspection with a DOB inspector (if applicable). Please keep in mind when budgeting your project that the NOF cannot be used for permit fees.

Dept. of Buildings (DOB) Homepage DOB Guide to Building Permits Express Permit Program Application Check Permit Application Status Start a Permit Application General contractors (GCs) are responsible for scheduling inspections as permitted work progresses so that the Department of Buildings (DOB) may inspect and verify the work being done is consistent with the permit drawings and the building code.

All building permit-related inspections must be requested using online forms . Only requests submitted on-line will be accepted. The DOB responds to all requests for permit-related inspections on a first-come, first-served basis.

You may request a specific date, and the Department will attempt to honor that request if an inspector is available. When requesting a specific date, please allow a minimum of four business days.

All projects involving 4 or more dwelling units, non-residential work exceeding 10,000 square feet, an institutional or assembly occupancy, or change of occupancy classification are required to obtain a Certificate of Occupancy , and inspections are required at specified intervals. Please keep in mind when budgeting your project that the NOF cannot be used for inspection fees. Dept.

of Buildings (DOB) Homepage Certificate of Occupancy Application Inspection Instruction Videos Grantee Toolkits Coming Soon! List of approved technical assistance (TA) service providers now posted! Earlier this year, SomerCor distributed a RFQ for professionals and firms to provide specific construction project management and architectural services for NOF participants.

The list of approved, pre-qualified project managers and architects is now available! Click here to view the list of approved PROJECT MANAGEMENT service providers (more profiles coming soon) Click here to view the list of approved ARCHITECT service providers (more profiles coming soon) List of approved community development financial institutions (CDFIs) now posted!

SomerCor has developed a list of approved service providers that are pre-qualified to provide lending services for NOF participants in support of financing and completing their projects. Click here to learn more.

Park Manor 75: NOF Feature in Greater Grand Crossing Black Planet Products: NOF Feature in Roseland Duo Development: NOF Feature in North Lawndale Lee’s Unleaded Blues: NOF Feature in Grand Crossing Grub Berry: NOF Feature in North Lawndale Green Llama Cafe: NOF Feature in Humboldt Park Jamaican Jerk Villa: NOF Feature in Auburn Gresham Studio Yogi – NOF Feature Project in South Shore Bronzeville Winery – NOF Feature Project in Bronzville Herban Produce – NOF Feature Project in East Garfield Park Celebrating NOF Project ‘Sisters in Cinema’ in South Shore Ivory Dental Specialists – Biggest NOF Project to Date Completed in Auburn Gresham Neighborhood NOF Grantee Osito’s Tap Celebrates Grand Opening in Little Village NOF Grant Awardee, Melvina Masterminds, to open in 2020 NOF Grant Awardee, 345 Art Gallery, Featured in Block Club Chicago With our interactive alumni map , you can explore businesses and organizations that have successfully completed NOF projects.

Click on each community area to find NOF alumni around you, or browse by industry to to find businesses that suit your needs. Thank you for supporting local businesses! Chicago Small Business Center (SBC) Neighborhood Business Development Centers (NBDCs)