The Portfolio
What CHA is putting on the table — and what it takes to manage it.
The Chicago Housing Authority is the third-largest public housing authority in the nation, serving 135,000 people in over 65,000 households across all 77 of Chicago's community areas. CHA has contracted with third-party property managers since 2000 and is the largest single owner of rental housing in the city.
This solicitation — Event 3320 — is a portfolio-wide re-solicitation structured into 14 distinct packages spanning six building types: family public housing (campus-style and row homes), senior high-rise (50+ story elevator buildings), scattered sites (two-flats, three-flats, single-family across 950+ addresses), RAD-converted senior buildings, LIHTC/tax credit developments, and mixed-income communities. Total unit count exceeds 12,000 units.
Compensation is a firm fixed fee per occupied unit per month. Vacant units pay $0. Offline units pay $10. No contract value is stated in the RFP. Historical reference from 2015 puts the combined portfolio value at roughly $10M/year, implying per-unit annual fees around $500–$550. CHA's FY2026 budget explicitly calls out "higher property management fees to maintain service quality," signaling upward fee pressure from prior cycles.
This is the second consecutive year CHA has issued a portfolio-wide PPM solicitation. Event 3270 was issued in February 2025 with 19 packages; Event 3320 consolidates to 14. The re-issue within 12 months suggests either 3270 awards were never finalized, the incoming CEO wanted a fresh procurement, or CHA was unsatisfied with 3270 outcomes. 13 firms bid on 3270 — most will likely rebid.
Complexity Flags
The three biggest risk/difficulty items for any prospective bidder.
⚠ Vacant Unit Revenue Gap
Management fees are $0 for vacant units and $10 for offline units. CHA will not publish current occupancy levels ("fluid and change from day to day"). RAD portfolios were at 88.8% occupancy as of the 3270 addendum. Bidders are pricing blind on a per-occupied-unit basis with no guarantee of full revenue from day one, plus a 90–180 day KPI ramp-up period where effort is required but sanctions are deferred.
⚠ Leadership & Governance Instability
CHA's new CEO Keith Pettigrew was approved 13 days before the proposal deadline. Mayor Brandon Johnson is contesting the appointment and moving to remove Board Chairman Matthew Brewer. CHA operated without a permanent CEO for 18 months. Contract awards under the current board structure may not survive a governance change. Firms investing heavily in proposal preparation should assess whether award timing will slip.
⚠ Performance/Conditions Gap
CHA holds PPMs to aggressive KPIs (96% occupancy, 98% work order completion, 95% rent collection) in buildings with aging infrastructure and deferred capital. CHA's OIG flagged $10.4M in delinquent rent. Sustained media coverage of mold, heat failures, and pest issues spans multiple management firms. CHA will not share NSPIRE/REAC scores until after award — firms bid blind on building condition. The PPM is responsible for code violation remediation; costs are charged to the property budget, but the labor is on the PPM.
Bottom Line
This is a Conditional Bid. The opportunity is real — CHA needs competent managers and the incumbent field is destabilized after Habitat's 2024 exit. But the economics are challenging: zero revenue on vacant units, pricing blind without occupancy data, aggressive KPIs in buildings you can't inspect before award, and a governance crisis that could delay or unwind contract decisions. The ideal bidder is a mid-to-large firm with 3,000+ units of affordable/public housing under management, HUD compliance infrastructure, Illinois RE license, and the financial stamina to absorb 30–90 day transition costs. Firms without public housing or RAD experience should pass. Multi-award is available — bid the packages you can staff and operate, not the ones you hope to figure out later.
Portfolio Map
14 packages distributed across Chicago's South, West, and North sides.
South Side Cluster — Packages 1, 2, 3, 5, 8, 9, 10, 12
~8,600 units · Family, Senior, RAD, Scattered
Public Housing
RAD Senior
Scattered Site
North / Northeast Cluster — Packages 4, 6, 7, 11, 14
~3,800 units · Senior, RAD, Scattered
RAD Senior
Scattered Site
Public Housing
Citywide / Mixed — Package 13
136 units · Mixed-Income (Domain Lofts, Orchard Park, Jazz on the Blvd)
Mixed-Income
Scoring Strategy
How CHA evaluates proposals — and where the points are.
Cost is not the determinative factor. The fee proposal accounts for just 10 of 100 points (10%). Technical qualifications and past performance carry the majority weight at 70 points combined. If oral presentations are warranted, an additional 30 points are available — bringing the maximum to 130.
Past Performance (30 pts) is the single largest criterion. CHA explicitly states it will consider internal performance records for current/former CHA contractors, giving incumbents both an advantage and a risk if their track record is poor. New entrants must compensate with exceptionally strong non-CHA references.
The lowest-price scoring formula means aggressive pricing below competitors yields only marginal point gains. The strategic emphasis should be on technical quality, not price competition.
| Criterion | Points | Notes |
|---|
| Qualifications & Experience |
20 |
Demonstrate capacity across all PPM services. Must show affordable/subsidized housing experience. |
| Past Performance |
30 |
3–5 project descriptions, max 1 page each. All CHA contract performance considered including internal records. |
| Approach / Work Plan |
20 |
Management plan (5), staffing plan (5), customer service (5), transition plan (5). |
| Org Structure & Key Personnel |
10 |
Org chart, resumes, licenses, accreditation of key personnel. |
| MBE/WBE/DBE & Section 3 |
10 |
Utilization Plan (5) + Section 3 Plan (5). |
| Proposed Fee |
10 |
Lowest-price formula: (lowest fee ÷ your fee) × 10. |
| Total Written |
100 |
|
| Oral Presentations (if warranted) |
30 |
Additional points added to written score. Criteria set by evaluation committee. |
| Maximum Possible |
130 |
|
Who Should Bid
Fit assessment based on RFP requirements and competitive landscape.
Ideal Bidder
Mid-to-large property management firm with 3,000+ units of affordable/public housing under management. HUD compliance infrastructure across multiple program types (public housing, PBV, RAD, LIHTC). Current Illinois Real Estate License. Certified site staff in RIM, UPCS, COS. Demonstrated MBE/WBE/DBE and Section 3 capacity. Financial strength to absorb 30–90 day transition costs with no management fee on vacant units.
Competitive Entrant
Firm with strong affordable housing track record outside CHA but limited Chicago public housing experience. Must offset the incumbent scoring advantage in Past Performance (30 pts) with exceptionally strong non-CHA references and a compelling transition plan. Should target 1–3 packages, not the full portfolio.
Should Pass
Firms without public housing or RAD experience. Firms unable to staff certified personnel (RIM, UPCS, COS) from day one. Market-rate-only operators unfamiliar with ACOP, HUD re-examination requirements, or Section 3 labor hour tracking. Small firms (<1,000 units) without a credible JV arrangement.
