Land Bank Turns Problem Property into Freeport Asset
One Community Update
June 15, 2026
Source: Journal-Standard
A once-vacant house in Freeport has been transformed from a neighborhood eyesore into a renovated home, thanks to a partnership between the city and the Northern Illinois Land Bank.
The property at 52 N. Bailey Street had been empty for years, overgrown and accumulating code violations and $16,000 in unpaid taxes, according to a community announcement. The city referred the property to the land bank, which cleared its title and sold it to a private developer for restoration.
Renovation boosts property value and neighborhood appeal
The developer completed the renovation in 10 months, addressing structural issues and securing the necessary permits. The home is now ready for a new family.
“After its renovation, the property value has nearly tripled, restoring the value of the home and those in the neighborhood,” said Elizabeth Ontiveros, land use planner for the City of Freeport. “More than that, we will gain a new resident – a neighbor who has the opportunity to integrate into the community, becoming another vibrant thread in the tapestry of Freeport.”
The renovated home is expected to generate about $4,000 per year in city and county taxes, based on similar properties in the area. This revenue will help fund schools, emergency services, road repairs and other public services.
Land bank partnership aims to revitalize more properties
The City of Freeport joined the Northern Illinois Land Bank in 2019 to help clean up abandoned sites and recover tax funds. The land bank acquires properties with unpaid taxes or other issues, clears their titles and sells them to developers for rehabilitation.
“We know from national studies and real local examples that this rehab would raise the value of not just this particular property, but all those around it,” said Eric Setter, Director of Community Development at Region 1 Planning Council, which houses NILBA.
Once a property is purchased through the land bank, the buyer is required to complete renovations within nine months or show ongoing progress. The program aims to reduce blight, attract investment and increase property values across Stephenson County.
“By clearing legal barriers, attracting investment, reducing blight, and increasing taxable property values, the program has strengthened neighborhoods and ultimately supports long-term economic development throughout Stephenson County,” said Scott Helms, Chairman of the Stephenson County Board. “We knew the Northern Illinois Land Bank would provide a mechanism to turn problem properties into community assets.
“This partnership has worked very well for the benefit of all Stephenson County taxpayers.”
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