Social and affordable housing creates stable neighbourhoods and "strong and vital" cities, according to Chicago's assistant commissioner for housing, Ms Andrea Smith.
However, implementation required the sort of political commitment which has made it a success in the "windy city", Ms Smith said in a keynote speech to the Irish Auctioneers and Valuers Institute spring conference in Galway.
In Chicago's case, Mayor Richard Daley showed his support for the concept by moving in to one of the first developments with a social and affordable housing dimension, known as Central Station, Ms Smith said.
She was aware of the negative perceptions about the concept in Ireland. Home builders had put up stiff opposition to the previous Government's decision to reserve 20 per cent of new residential developments for social housing.
Late last year, the Social Housing Bill was amended to give local authorities and developers "more options", including an agreement to reserve land or provide houses or sites at another location.
Unfounded fears fuelled misinformation which could only be countered by education, Ms Smith said.
She was aware that some house-buyers here were afraid to purchase in newer estates which might have a social housing element, opting for older estates where many houses might be rented out to the same people who would qualify for affordable housing.
Chicago's experience demonstrated that by allowing people of various incomes to own their own house, a commitment to neighbourhood was nurtured.
A major part of the Chicago housing budget is earmarked for education, which includes facilitating meetings to break down some of these barriers.
"Property prices are such that affordable housing is not just for the poor any more and the poorest families can often share the same values at the rich."
When Mayor Daley took office in 1989, he inherited a city of 3.5 million people which had pockets of disinvestment and decline, Ms Smith said. He drew up a blueprint for housing, education, social services and tourism; housing is now one of 42 agencies in the city and has $300 million budget.
After extensive consultation with community groups, developers, public representatives and citizens, it became clear that middle-income earners such as police officers, teachers and medical workers, also fitted into the bracket.
This was when "smart growth" development issues were becoming more important to people who were fed up with commuting in heavy traffic.
The housing agency now runs programmes aimed at encouraging rather than "mandating" co- operation between developers, agencies, community and church, home-owners and tenants.