So much for the "He's a wonderful property developer" line.
From Crain's Chicago Business: "The Daley administration is bailing out the developer of the high-profile Cabrini-Green redevelopment on the Near North Side, sidestepping a default on a $32-million construction loan that would be a punch in the gut to the ambitious plan to remake the city's public-housing projects.
The administration has agreed to pay a $3.4-million public subsidy early, lowering the sales target needed to get the money and trimming the number of homes in the 263-unit, mixed-income condominium development, which has been hurt by slow sales. The deal funnels badly needed cash to a venture led by developer Peter Holsten that on Dec. 15 was unable to pay off a J. P. Morgan Chase & Co. construction loan." Read the entire story here.