HomeMy WebLinkAbout ORDINANCE AUTHORIZING THE EXECUTION OF A REDEVELOPMENT AGREEMENT BETWEEN THE VILLAGE OF MOUNT PROSPECT AND MAPLE STREET LOFTS, LLC FOR THE MAPLE STREET LOFTS PROJECT LOCATED AT 301 S. MAPLE STREET, 215 E. PROSPECT AVENUE, 225-235 E. PROSPECT AVENUE, AND4/16/2020 BoardDocs® Pro
Agenda Item Details
Meeting Apr 09, 2019 - SPECIAL MEETING OF THE MOUNT PROSPECT VILLAGE BOARD - 7:00 p.m.
Category 7. NEW BUSINESS
Subject 7.1 1st reading of AN ORDINANCE AUTHORIZING THE EXECUTION OF A REDEVELOPMENT
AGREEMENT BETWEEN THE VILLAGE OF MOUNT PROSPECT AND MAPLE STREET LOFTS, LLC
FOR THE MAPLE STREET LOFTS PROJECT LOCATED AT 301 S. MAPLE STREET, 215 E.
PROSPECT AVENUE, 225-235 E. PROSPECT AVENUE, AND 232-240 E. LINCOLN STREET
Access Public
Type Action
Preferred Date Apr 09, 2019
Absolute Date Apr 09, 2019
Fiscal Impact Yes
Budgeted Yes
Budget Source Prospect and Main TIF fund
Recommended Action Adopt the ordinance authorizing the execution of a Redevelopment Agreement between the
Village of Mount Prospect and Maple Street Lofts LLC for the Maple Street Lofts project
located at 301 S. Maple Street, 215 E. Prospect Avenue, 225-235 E. Prospect Avenue, and
232-240 E. Lincoln Street.
Public Content
Information
The Petitioner, Maple Street Lofts, LLC (MSL), proposes to construct a new mixed-use development at the southeast
corner of Prospect Avenue and Maple Street called the Maple Street Lofts. The proposal includes a six -story mixed-use
building consisting of 192 apartment units and 14,000 square feet of retail space, a seven -story 65 -unit apartment
building and 56 rowhomes with related improvements. The project includes the sale of a portion of the existing Maple
Street surface commuter lot and the construction of a 268 -space Maple Street Parking Deck that will include a mix of
commuter, employee, guest and customer spaces. The attached Redevelopment Agreement (RDA) provides the
financial and contractual terms between the Village and MSL to accomplish the proposed project.
Subject Property History
The property is zoned P-1 Off Street Parking and I-1 Limited Industrial and contains a Metra commuter parking lot
which provides 285 resident commuter parking stalls, an unimproved gravel lot on the former Parenti site, and an
office condominium building. Parenti operated their woodworking facility on the Subject Property for several decades.
While they were, and continue to be, a very successful business, the location along Prospect Avenue in the heart of
the downtown district was not ideal for an industrial use. The Village had several meetings with Parenti to discuss
relocating their operation to other more appropriate locations in the Village, but was ultimately unable to structure a
deal that worked. The Petitioner intervened and negotiated a relocation and expansion plan for Parenti at 1401
Feehanville Drive. The Village assisted in the Parenti relocation by pledging $3 million in tax increment financing (TIF)
funds in 2018, keeping Parenti and their 100 employees in the Village and opening up the Subject Property for
redevelopment.
Project Metrics
When the Village created the Prospect and Main TIF District, the Joint Review Board requested that the Village project
and maintain certain metrics demonstrating the impact of each major development project in the TIF district. The
https://go.boarddocs.com/il/vomp/Board.nsf/Private?open&login 1/3
4/16/2020
BoardDocs® Pro
chart below details the projected metrics for the Maple Street Lofts project:
Maple Street Lofts
Metric
New residential units
Population growth
Growth in EAV
Annual Sales tax generation
Retail and commercial base (sq. ft.)
Number of building permits
Projects benefiting impacted local governments
Retail and commercial vacancy
Infrastructure improvements
Metra ridership
Base Projected
313
564
$ 1,726,826 $ 16,569,148
- $ 56,000
14,000
4
1
NA NA
$ 8,173,000
113
RDA Key Points
The attached RDA outlines the financial and contractual obligations of both parties for the proposed redevelopment
project which is one of the largest private investments in the history of the Village (estimated at $110 million) that
will generate significant tax revenues once complete. The estimated present value tax increment from the project
over the life of the TIF ranges from $14.1 to $22.4 million depending upon school impact fee, which is calculated by
number of children generated by the development. Based on an analysis by TIF Consultant SB Friedman, the
projected student impact to District 57 is 19.1 students and 5.2 students for District 214. The TIF Act would require
school impact payments to both school districts on an annual basis. Over the life of the TIF those payments would
total $5.2M based on aforementioned student projections. The TIF incremental revenues from the Maple Street Lofts
project would exceed $28.9M over the life of the TIF ($17.1M when discounted for time value of money). These funds
would be utilized to cover the cost of the Parenti and Raffaelli Ltd. relocation ($3 million), the construction of the
Maple Street Parking Deck ($6 million) and stormwater improvements ($2.173 million) associated with the project.
Any excess funds can be used to install proposed pedestrian crossings, streetscape improvements, train platform
modifications, and other improvements designed to improve vehicular and pedestrian movements in the downtown.
The highlights of the RDA are as follows:
1. MSL will purchase approximately 1.8575 acres of land from the Village for $1,606,117 ($19.85 per square foot)
to consolidate the land to construct the Maple Street Lofts mixed-use development.
2. The Village will purchase approximately .38 acres of land from MSL for $326,411 ($19.85 per square foot) to
consolidate the land to construct the Maple Street Parking Deck.
3. The Village will pay MSL up to $2.173 million to cover the cost of storm water management improvements
benefiting the area.
4. The Village will waive all permit fees associated with Maple Street Lofts Project. (Estimated value of $1.63
million)
5. Inclusion of claw back provisions that enable the Village to take back ownership of the property if the developer
doesn't meet key dates for construction of the project.
The total cost of the TIF supported project expenses, including the fee waiver, totals $13,083,037.
Alternatives
1. Adopt the ordinance authorizing the execution of a Redevelopment Agreement between the Village of Mount
Prospect and Maple Street Lofts LLC for the Maple Street Lofts project located at 301 S. Maple Street, 215 E. Prospect
Avenue, 225-235 E. Prospect Avenue, and 232-240 E. Lincoln Street.
2. Action at discretion of Village Board.
Staff Recommendation
Staff recommends that the Village Board adopt the ordinance authorizing the execution of a Redevelopment
Agreement between the Village of Mount Prospect and Maple Street Lofts LLC for the Maple Street Lofts project
located at 301 S. Maple Street, 215 E. Prospect Avenue, 225-235 E. Prospect Avenue, and 232-240 E. Lincoln Street,
subject to final attorney review.
https://go.boarddocs.com/il/vomp/Board.nsf/Private?open&login 2/3
4/16/2020
BoardDocs® Pro
RDA Support Exhibits.pdf (1,238 KB) Ordinance 407877_3.pdf (132 KB)
Ordinance Exhibit A. Legal Description for 301 S. Maple St.pdf (71 KB)
MSL RDA Redline 040919_14 - Ordinance Exhibit B.pdf (1,501 KB) public notice.pdf (112 KB)
Administrative Content
Executive Content
Motion & Voting
Adopt the ordinance authorizing the execution of a Redevelopment Agreement between the Village of Mount Prospect
and Maple Street Lofts LLC for the Maple Street Lofts project located at 301 S. Maple Street, 215 E. Prospect Avenue,
225-235 E. Prospect Avenue, and 232-240 E. Lincoln Street.
Motion by Michael Zadel, second by Richard Rogers.
Final Resolution: Motion Carries
Yea: William Grossi, Eleni Hatzis, Richard Rogers, Colleen Saccotelli, Michael Zadel
Nay: Paul Hoefert
https://go.boarddocs.com/il/vomp/Board.nsf/Private?open&login 3/3