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HomeMy WebLinkAbout7.2 A Resolution In Support of C.V. Land Holdings, LLC Application for a Cook County Class 6B Tax Incentive for the Property Located at 1731 Wall Street2/20/2018 BoardDocs® Pro Agenda Item Details Meeting Feb 20, 2018 - REGULAR MEETING OF THE MOUNT PROSPECT VILLAGE BOARD - 7:00 p.m. Category 7. NEW BUSINESS Subject 7.2 A RESOLUTION IN SUPPORT OF C. V. LAND HOLDINGS, LLC APPLICATION FOR A COOK COUNTY CLASS 6B TAX INCENTIVE FOR THE PROPERTY LOCATED AT 1731 WALL STREET. Type Action Preferred Date Feb 20, 2018 Absolute Date Feb 20, 2018 Fiscal Impact No Budgeted No Recommended Action Approve the resolution in support of C. V. Land Holdings, LLC application for a Cook County Class 6b tax incentive for the property located at 1731 Wall Street. Information Attached to this memorandum is a resolution that would grant approval of a Class 6b property tax incentive for C.V Land Holdings, LLC (CV) for the property located at 1731 Wall Street in the Lake Center development at the northwest corner of Algonquin and Elmhurst Roads. The subject property is currently vacant land that has been owned by the Alter Group for several decades. CV is requesting the 6b incentive to enable them to competitively lease the proposed facility by leveling the property taxes with those of surrounding counties. The Village has granted several Cook County Class 6b tax incentives to attract and retain businesses. The 6b incentive reduces the assessment level for qualified manufacturing and warehouse/distribution facilities from 25% to 10% for the first 10 years, 15% for year 11 and 20% in year 12. After year 12, the assessment level returns to the full 25% for the benefitting property. The 6b incentive can also be renewed for additional 12 -year terms if supported by the Village. If approved, CV would construct a 130,000 warehouse distribution facility on the 8.6 acre parcel. CV is requesting the Class 6b incentive to reduce the property taxes to around $1.40 per square foot for the property. They estimate that their tax bill would rise to around $3 per square foot without the incentive. Similar properties in nearby Lake and DuPage County range from $1 to $1.50 per square foot. Alternatives 1. Approve the resolution in support of C. V. Land Holdings, LLC application for a Cook County Class 6b tax incentive for the property located at 1731 Wall Street. 2. Action at discretion of Village Board. Staff Recommendation Staff recommends that the Village Board approve the resolution in support of C. V. Land Holdings, LLC application for a Cook County Class 6b tax incentive for the property located at 1731 Wall Street. https://www.boarddocs.com/iI/vomp/Board.nsf/Public# 1/2 2/20/2018 1731 Wall Cover Letter 01 10 18 (003).pdf (437 KB) BoardDocs@ Pro 1731 Wall Site Plan 1.pdf (232 KB) mgflpffi�� https://www.boarddocs.com/iI/vomp/Board.nsf/Public# 2/2 El January 10, 2018 Village of Mount Prospect 50 S. Emerson Street Mount Prospect, IL 60056 Attn: William J. Cooney, Jr. 5500 West Howard Street si<o�i(i�e, uu 60 077 Re: 1731 Wall Street -Request for Cook County 6b Tax Incentive Approval Dear Mr. Cooney: Given the current Cook County tax situation and the fact that the project is in direct competition other projects/sites in DuPage County just south of our location, The Alter Group is requesting the approval of the attached Class 6b Cook County Application for the above referenced project. As a basis for request, we offer the following information: according to the Civic Federation report on the Estimated Effective Property Tax Rates for Northeastern Illinois, Cook County has an effective tax rate of 6% to 6.6%. The effective tax rate for nearby DuPage properties are approximately 2.8% or less. Thank you for your attention in this matter. If you have any questions or comments, please call me at (312) 391-1142. Sincerely, Michael D. Ricamato Vice President — Development r-- (1) C) N �U) J LU W a ,� L �w cn z Q � z� w O z C) u aQ LLJ a oaU O r F -- -re"ITliT� Cook04 CO COOK COUNTY ASSESSORS OFFICE r z 118 NORTH CLARK STREET, CHICAGO, IL 60602 PHONE: 312.443.7550 FAX: 312.603.6584 "�l I N 0 WWW.COOKCOUNTYASSESSOR.COM CLASS 6B ELIGIBILITY APPLICATION Carefully review the Class 6B Eligibility Bulletin before completing this Application. For assistance, please contact the Assessor's Office, Development Incentives Department (312) 603-7529. This application, a filing fee of $500.00, and supporting documentation (except drawings and surveys) must be filed as follows: This application must be filed PRIOR TO the commencement of New Constniction or PRIOR TO the commencement of Substantial Rehabilitation Activities or PRIOR TO the commencement of Reoccupation of Abandoned Property. Applicant Information Name: _C.V. Land Holdings, LLC - beneficial owner Telephone: (312 391-1142 Address: 5500 W. Howard St City: Skokie State: IL Zip Code: 60077 Contact Person (if different than the Applicant) Name: -Robert E. Welsh Telephone: (31Z_ ) 551-3332 Address: c/o Madigan & Getzendanner, 30 N. LaSalle St., Suite 3906 City: Chicago State: IL Email: rwelsh@madigetz.com Property Description (per PIN) Zip Code: 60602 If you are applying for more than three different PINS, please submit the additional PIN information in an attachment. Street Address (1) 1791 Wall Street Permanent Real Estate Index Number: 08-23-203-031-0000 (2) 1761 Wall Street Permanent Real Estate Index Number: 08-23-203-032-0000 (3) 1731 Wall Street Permanent Real Estate Index Number: 08-23-203-033-0000 City: Mt. Prospect State: IL Zip Code: 60056 Township: Elk Grove Existing Class: 1-00 5 )tj j uw Attach legal description, site dimensions and square footage and building dimensions and square f6otage. for List, of PIN­s'� Identification of Person Having an Interest in the Property Attach a complete list of all owners, developers, occupants and other interested parties (including all beneficial owners of a land trust) identified by names and addresses, and the nature and extent of their interest. Industrial Use Attach a detail description of the precise nature and extent of the intended use of the subject property, specifying in the case of the multiple uses the relative percentages of each use. Include copies of materials, which explain the occupant's business, including corporate letterhead, brochures, advertising material, leases, photographs, etc. Nature of Development Indicate nature of proposed development by checking the appropriate space: New Construction (Read and Complete Section A) Substantial Rehabilitation (Read and Complete Section A) Incentive only applied to the market value attributable to the rehabilitation Occupation of Abandoned Property - No Special Circumstance (Read and Complete Section B) Occupation of Abandoned Property - With Special Circumstance (Read and Complete Section C) Occupation of Abandoned Property - (TEERM Supplemental Application) (Read and Complete Section C) SECTIONA (NEW CONSTRUCTION/SUBSTANTIAL REHABILITATION) If the proposed development consists of New Construction or Substantial Rehabilitation, provide the following information: Estimated date of construction commencement (excluding demolition, if any): April, 2018 Estimated date of construction completion: December 2018 Attach copies of the following: 1. Specific description of the proposed New Construction or Substantial Rehabilitation 2. Current Plat of Survey for subject property 3. 1" floor plan or schematic drawings 4. Building permits, wrecking permits and occupancy permits (including date of issuance) Complete description of the cost and extent of the Substantial Rehabilitation or New Construction (including such items as contracts, itemized statements of all direct and indirect costs, contractor's affidavits, etc) Page 2 of 9 SECTIONB (ABANDONED PROPERTY WITH NO SPECIAL CIRCUMSTANCE) If the proposed development consists of the reoccupation of abandoned property, purchased for value, complete (1) and (2) below: 1. Was the subject property vacant and unused for at least 24 continuous months prior to the purchase for value? OYES FINO When and by whom was the subject property last occupied prior to the purchase for value? Attach copies of the following documents: (a) Sworn statements from person having personal knowledge attesting to the fact and the duration of vacancy and abandonment (b) Information (such as statements of utility companies) which demonstrate that the property was vacant and unused and indicate duration of such vacancy 2. Application must be made to the Assessor prior to occupation: Estimated date of reoccupation: Date of Purchase: Name of purchaser: Name of seller: Relationship of purchaser to seller: Attach copies of the following documents: (a) Sale Contract (b) Closing Statement (c) Recorded Deed (d) Assignment of Beneficial Interest (e) Real Estate Transfer Declaration Page 3 of 9 SECTION C (SPECIAL CIRCUMSTANCES) If the applicant is seeking special circumstances to establish that the property was abandoned for purposes of the Incentive where there was a purchase for value, but the period of abandonment prior to purchase was less than 24 months, complete section (1). If the applicant is seeking special circumstances to establish that the property was abandoned for purposes of the Incentive where there was no purchase for value, but the period of abandonment prior to the application 24 continuous months or greater, complete section (2). If the applicant is seeking special circumstances to establish that the property was abandoned for purposes of the Incentive where there was no purchase for value, but the period of abandonment prior to the application was greater than 12 continuous months and less than 24 continuous month, complete section (2) and the TEERM Supplemental Application. 1. How long was the period of abandonment prior to the purchase for value? When and by whom was the subject property last occupied prior to the purchase for value? Attach copies of the following documents: (a) Sworn statements from persons having personal knowledge attesting to the fact and the duration of the vacancy and abandonment (b) Information (such as statements of utility companies) which demonstrate that the property was vacant and unused and indicate duration of vacancy (c) Include the finding of special circumstances supporting "abandonment" as determined by the municipality, or the County Board, if located in an unincorporated area. Also include the ordinance or resolution from the Board of Commissioners of Cook County stating its approval for less than 24 -month abandonment period. Application must be made to the Assessor prior to the commencement of reoccupation of the abandoned property. Estimated date of Reoccupation: Date of purchase: Name of purchaser: Name of seller: Relationship of purchaser- to seller: Attach copies of the following documents: (a) Sale Contract (b) Closing Statement (c) Recorded Deed (d) Assignment of Beneficial Interest (e) Real Estate Transfer Declaration Page 4 of 9 2. How long has the subject property been unused? 24 or greater continuous months (Eligible for Special Circumstance) ❑12 continuous months but less than 24 continuous months (Eligible for Special Circumstance under TEERM) - Complete TEERM Supplemental Application F1Less than 12 continuous months (Not Eligible for Special Circumstance) When and by whom was the subject property last occupied prior to the filing of this application? Attach copies of the following documents: (a) Sworn statements from persons having personal knowledge attesting to the fact and the duration of the vacancy and abandonment (b) Information (such as statements of utility companies) which demonstrate that the property was vacant and unused and indicate duration of vacancy (c) Include the finding of special circumstances supporting "abandonment" as determined by the municipality, or the County Board, if located in an unincorporated area. Also include the ordinance or resolution from the Board of Commissioners of Cook County stating its approval for lack of a purchase for value. Application must be made to Assessor prior to the commencement of reoccupation of the abandoned property. Estimated date of reoccupation: Page 5 of 9 TEERM SUPPLEMENTAL APPLICATION (This form will ONLY be utilized for applicants who specifically elect for TEERM) This supplemental eligibility application is for properties that have been abandoned (due to special circumstances) for at least 12 continuous months and less than 24 continuous months with no purchase taking place. Under the TEERMProgram, qualifying industrial real estate would be eligible for the Class 6B level of assessment from the date of substantial re -occupancy of the abandoned property. Properties receiving Class 6B will be assessed at 10% of market value for the first 10 years, 15% in the 11th year and 20% in the 12th year. The terms of this program are Not Renewable. No applications will be taken after November 30, 2018. I applicant/representative hereby specifically elect to submit this Supplemental Application for the TEERM program. Further affiant sayeth not. Agent's Signature Agent's Mailing Address Applicant's Name Applicant's e-mail address Subscribed and sworn before me this day of Signature of Notary Public Page 6 of 9 Agent's Name & Title Agent's Telephone Number Applicant's Mailing Address 20 How many construction jobs will be created as a result of this development'? 100 How many new permanent full-time and part-time employees do you now employ in Cook County? Full-time: Part-time: How many new permanent full-time jobs will be created as a result of this proposed development? 95 How many new permanent full-time jobs will be created as a result of this proposed development? 20 A certified copy of a resolution or ordinance from the municipality in which the real estate is located (or the County Board, if the real estate is located in an unincorporated area) should accompany this Application. The ordinance or resolution must expressly state that the municipality supports and consents to this Class 6B Application and that it finds Class 6B necessary for development to occur on the subject property. If a resolution is unavailable at the time the application is filed, a letter from the municipality or the County Board, as the case may be, stating that a resolution or ordinance supporting the incentive has been requested may be fled with this application instead. If the applicant is seeking to apply based on the reoccupation of abandoned property and will be seeking a finding of "special circumstances" from the municipality, in addition to obtaining a letter from the municipality confirming that a resolution or ordinance supporting the incentive has been requested, the applicant must file a letter from the County Board confirming that a resolution validating a municipal finding of special circumstances has been requested. If, at a later date, the municipality or the County Board denies the applicant's request for a resolution or ordinance, the applicant will be deemed ineligible for the Class 6B incentive, whether or not construction has begun. In all circumstances, the resolution must be submitted by the time the applicant files an "Incentive Appeal". 1, the undersigned, certify that I have read this Application and that the statements set forth in this Application and in the attachments hereto are true and correct, except as those matters stated to be on information and belief and as to such matters the undersigned certifies that he/she believes the same to be true. A,),4,Y ____ Signature Ronald F. S Print Name Page 7 of 9 Date agent for beneficial owner _ Title C.V. Holdings, LLC 1014113 Lik 1A Ronald Siegel as agent for the applicant set forth below, who is seeking a classification incentive as referenced below, I do hereby state under oath as follows: 1. As the agent for the applicant set forth below, I have personal knowledge as to the facts stated herein. 2. The property identified by PIN(s) with commonly known address(es), listed in Exhibit A attached and herein incorporated, are/is the subject of a pending application/renewal (circle as appropriate) for one of the following development incentives provided by the Code of Ordinances of Cook County, Chapter 74, Article 11, Division 2, The Cook County Real Property Assessment Classification Ordinance, Sec.74-60 et seq., as amended: XX Class 6B — Class 8 (Industrial property) Class 9 3. 1 have reviewed the Code of Ordinances of Cook County, Chapter 34, Article IV, Division I and The Cook County Living Wage Ordinance, Sec. 34-127 et seq., as amended (the "Ordinance'), and certify that the applicant is in compliance with the above referenced Cook County Living Wage Ordinance, due to one of the following options (check as appropriate): XX Applicant is currently paying a living wage to its employees, as defined in the Ordinance. mm Applicant is not required to pay a living wage, pursuant to the Ordinance. Furth affiant aye not. Ronald F. Siegel, agent Agent's SignaZee Agent's Name & Title 5500 W. Howard Street, Skokie, IL 60077 Agent's Mailing Address C.V. Land Holdings, LLC - beneficial owner Applicant's Name mricannato@ altergroup.com Applicant's e-mail address 312-391-1142 Agent's Telephone Number 5500 W. Howard St., Skokie, IL 60077 Applicant's Mailing Address -6- 1 Su scribed and sworn before me this !j day of Mhet_ 20 1 '7 Signature of Notary Public iw OFFICIAL SEAL KAREN ENVIYA Page 8 of 9 F"� F�J L C STATE OF ILLINOIS NOTARY PUBLIC OFFICIAL SEAL OF ILLINOIS S r MY COMMISSION EXPIRES:07/29/21 PIN(s) 08-23-203-031-0000 08-23-203-032-0000 08-23-203-033-0000 08-23-203-034-0000 EXHIBIT A (Please type or Print) Common Address 1791 Wall Street 1761 Wall Street 1731 Wall Street 1786 Busse Road Page 9 of 9 r 00tr 00 Joseph Berrios x Cook County Assessor s t l N O RECEIPT C.V.LAND HOLDINGS, LLC C/O MADIGAN & GETZENDANNER 30 N. LASALLE STREET STE. 3906 CHICAGO, IL.60602 PIN Ctrl/Pet No Fee Code/Description Cook County Assessor's Office 118 North Clark Street Chicap-o IL 60602 Phone: 312.443.7550 Fax: 312.603.3838 Website: www.cookeountyassessor.com Order Number 11242 Order Date 9/20/17 User Name Pamela Class Qty Amt Total 08-23-203-031-0000 63084 3001 Incentive Application Class 6b Filing FOI Section Payment Received by Pamela Payment Received Date 09/20/2017 Payment Received Amount $500.00 Payment Type Received Check# 27289 1 $500.00 $500.00 Total Amount 1 $500.00 Disclaimer: All fees associated with the above referenced items are non-refundable filling fees. Acceptances of a filing fee by the Cook County Assessor's Office does not guaranteed that it will grant the requested action related to the filing fee. It is the responsibility of the submitter or the submitter's agent to provide all necessary materials related to the requested action. RESOLUTION NO. A RESOLUTION IN SUPPORT OF C. V. LAND HOLDINGS, LLC APPLICATION FOR A COOK COUNTY CLASS 6B TAX INCENTIVE FOR THE PROPERTY LOCATED AT 1731 WALL STREET, MOUNT PROSPECT, COOK COUNTY, ILLINOIS. WHEREAS, the Village of Mount Prospect encourages community development to provide for economic growth and career opportunities; and WHEREAS, through property tax incentives offered by Cook County, various opportunities exist for industrial properties in the Village of Mount Prospect, Cook County, Illinois; and WHEREAS, the Cook County Assessor is operating under an ordinance enacted bythe Cook County Board of Commissioners, and amended from time to time, the most recent amendment becoming effective as of July 19, 2017, which has instituted a program to encourage industrial and commercial development in Cook County known as the Cook County Real Property Classification Ordinance; and WHEREAS, C.V. Land Holdings, LLC has applied for or is applying for Class 6B property status pursuant to said aforementioned ordinance and has requested the Village of Mount Prospect support its application for certain real estate located at 1731 Wall Street, Mount Prospect, Cook County, Illinois and has proven to this Board that such incentive provided for in said ordinance is necessary for development to occur on this specific real estate; and WHEREAS, without the Cook County property tax incentives, the Village of Mount Prospect is at a competitive disadvantage with neighboring counties of Lake and DuPage in attracting industrial development; and WHEREAS, the corporate authorities of the Village of Mount Prospect believe that their request is in the best interest of the economic development in the Village of Mount Prospect. NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND BOARD OF TRUSTEES OF THE VILLAGE OF MOUNT PROSPECT, COOK COUNTY, ILLINOIS: SECTION ONE: That the Mayor and Board of Trustees of the Village of Mount Prospect do hereby support and consent to the application for the Class 6B property tax reduction from a 25% assessment level to a 10% assessment level for the first 10 years, 15% for year 11 and 20% in year 12. After year 12, the assessment level returns to the full 25% for the benefitting property located at 1731 Wall Street and legally described as: Lot #1 of the Lake Center Plaza Resubdivision No. 4, being a resubdivison of lots 8, 9, 10 and 11 in Lake Center Plaza, a resubdivision in the northeast'/4 of Section 23, Township 41 North, Range 11, east of the Third Principal Meridian, Cook County, IL. SECTION TWO: That the Village of Mount Prospect supports industrial growth, increased employment and economic development and this proposed development is in furtherance of this goal. The Board of Trustees of the Village of Mount Prospect further finds that this incentive is necessary for development to occur on the property. SECTION THREE: That this Resolution shall be in full force and effect from and after its passage and approval in the manner provided by law. AYES: NAYES: ABSENT: PASSED and APPROVED this 20th day of February, 2018 Arlene A. Juracek Mayor ATTEST: Karen Agoranos Village Clerk