Developer May Get $900K In Elmhurst Incentives

Elmhurst IL

20 August, 2021

8:34 AM

Description

ELMHURST, IL — Elmhurst may give a developer of townhomes in a "blighted" area more than $900,000 in incentives. On Monday, the City Council's Development, Planning and Zoning Committee plans to discuss what to offer the developer for the proposed 36-unit complex at 240 W. Lake St. No city water main is in front of the property in question. The committee previously indicated that water and stormwater improvements to the area would be appropriate and eligible for special tax district money, according to a memo by Assistant City Manager Michael Kopp. Those improvements would amount to $585,000, he said. The developer, John Pembrooke of Island Masonry, has requested, among other things, a full waiver of permit fees, totaling $360,000, Kopp said. Kopp said Pembrooke wanted certainty about financial assistance before submitting a zoning application. "Mr. Pembrooke has stated that without the City's participation, this project cannot move forward," Kopp said in the memo. The committee's leadership changed after the city election a few months ago. The previous committee believed the city should consider incentivizing permit fees and utility work, for a maximum of $945,000, Kopp said. The utility money would come from the neighborhood's tax increment financing district, or TIF, where growth in property tax revenue is designated for improvements in that area. As a TIF, the neighborhood is considered "blighted." The property in question is the site of a Ford auto body shop, which has gone unused for a dozen years. The developer originally sought $1.7 million from the TIF, but the city indicated it would not approve that request. The issue was discussed in a July meeting of the committee.