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The city’s system of color-coding buildings that have historical or architectural value makes little sense and should be overhauled, Mayor Richard Daley said Wednesday.

His comments came after the owner of a vintage Loop high-rise that once housed the Chicago Mercantile Exchange was granted a demolition permit, prompting cries of protest from preservationists

Meanwhile, Daley said he takes seriously the advisory vote by Wrigley Field area residents who, by a ratio of 4 to 1, said that certain neighborhood nuisances must be remedied before permission is granted for a proposed expansion of the ballpark.

“We are going to listen to the community and we are going to be fair to everybody,” Daley said. “We are going to listen to this community.”

The city’s Buildings Department on Feb. 27 issued a demolition permit to the owners of the former Chicago Mercantile Exchange building, 300 W. Washington St., one of 9,600 structures in the city ranked “orange” under a survey of buildings that was completed by the city in 1995.

The orange ranking, second in importance only to red, denotes “some architectural feature or historical association that made (the properties) potentially significant in the context of the surrounding community.”

But because demolition permits can be denied only for buildings given landmark status by the City Council or those under active consideration for landmark designation, the color coding system carries no legal weight, Daley said.

“What are you putting him on the orange tag for?” he asked. “You should tag him yes or no. You shouldn’t just put him on a status and watch him. That is ridiculous.”

The city’s Planning Department is “looking at the whole process,” but the system “definitely” needs to be overhauled, Daley said.

The mayor voiced no opinion on the merits of the old Mercantile Exchange building, which was designed by noted architect Alfred Alschuler and constructed in 1927.

“I don’t understand the big stink over it,” said Ald. Bernard Stone (50th). “If it isn’t under consideration by the Commission (on Chicago Landmarks), the (owner) is within his absolute rights in applying for demolition…If some of these bluenoses had their way, they would landmark the entire city of Chicago. We do it on an individual basis, and that is the way it should be done.”

Executives of CC Industries, the Crown family firm that owns the building, are expected to meet with Planning Department representatives to discuss plans for the site, but Daley administration officials acknowledged there seems to be little that can be done to block a possible demolition.

On the Wrigley issue, meanwhile, about 80 percent of voters in eight precincts surrounding the ballpark voted yes on the question, “Shall the East Lake View Neighbors’ issues of traffic congestion, inadequate parking and public urination be resolved to the satisfaction of the neighbors before any seating expansion of Wrigley is permitted?”

“I have been involved in United Center,” Daley said. “I have been involved in White Sox Park, Soldier Field. This is the most controversial when it comes to a community. Eighty percent are telling Tribune, `We block clubs, we community organizations (say) you have to listen to us. We don’t care who you are.’ And that’s what they are saying.”

Tribune Co. owns the Cubs as well as the Chicago Tribune.

A mayoral aide said Daley has not ruled out the proposed 2,000-seat bleacher expansion but apparently believes that recent proposals to ease congestion and reduce nuisances outside the park must go further.