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HomeMy WebLinkAbout9.3 A RESOLUTION APPROVING A PUBLIC IMPROVEMENTS AGREEMENT BETWEEN THE VILLAGE OF MOUNT PROSPECT AND TUR VENTURES LLC FOR OFF-SITE PUBLIC IMPROVEMENTS RELATED TO THE MOUNT PROSPECT TECHNOLOGY CAMPUSr� Item Cover Page Subject A RESOLUTION APPROVING A PUBLIC IMPROVEMENTS AGREEMENT BETWEEN THE VILLAGE OF MOUNT PROSPECT AND TUR VENTURES LLC FOR OFF -SITE PUBLIC IMPROVEMENTS RELATED TO THE MOUNT PROSPECT TECHNOLOGY CAMPUS Meeting November 18, 2025 - REGULAR MEETING OF THE MOUNT PROSPECT VILLAGE BOARD Fiscal Impact (Y/N) N Dollar Amount Budget Source Category NEW BUSINESS Type Action Item Information Tur Ventures LLC ("Developer,") is the owner of the properties at 1200 E. Algonquin Road and 1200 Dempster Street, which together comprise the Mount Prospect Technology Campus Planned Unit Development (PUD). On October 28, 2025, the Village Board approved Ordinance No. 6811, granting an amendment to the original PUD (Ordinance No. 6634) to allow development of a two -building data center campus totaling approximately 2.17 million square feet, along with related electrical substations, mechanical yards, and infrastructure improvements. As part of the PUD approval, the Developer agreed to fund and/or construct certain off -site public improvements necessary to support the project and benefit the surrounding area. These improvements are addressed in the proposed Public Improvements Agreement. Discussion The Public Improvements Agreement delineates the respective responsibilities of the Village and Developer regarding the design, construction, and financing of off -site public improvements associated with the project. Key provisions include: Village Improvements (Village Responsibility): 1. Algonquin Road Right -of -Way Improvements: construction of a multi -use path, street lighting, and crosswalk/signal upgrades at Algonquin Road and Linneman Roads. Staff recommends the Village take on these responsibilities so that they are completed as part of the larger Algonquin Road Bike Path and Lighting Improvements project currently underway in partnership with the Illinois Department of Transportation (IDOT). The Village has secured a federal grant to fund a majority of the project, being awarded more than $2.3 million from the Congestion Mitigation &Air Quality (CMAQ) Program. 2. Park Improvements: construction of a splash pad and related improvements at Mount Prospect Park District's RecPlex, in partnership with the Park District under a separate intergovernmental agreement. Developer Improvements (Developer Responsibility): 1. Off -site public improvements shown on the approved plans that are not designated as the Village improvements (e.g., sidewalk and street lighting improvements proximate to the site on Linneman and Dempster Roads). 2. Developer remains responsible for standard Development Sureties associated with these improvements. Developer Contributions 1. $1,000,000 for Algonquin Road Right -of -Way Improvements. 2. $1,,200,,000 toward the Park Improvements at the RecPlex. 3. An additional $800,,000 contribution towards the Park Improvements, payable two years after the initial park contribution. Timing of Payments Within 60 days after both (1) securing construction financing for the first data center building and (2) receiving a Village building permit for that building, the Developer must deposit the required contributions with the Village. The second payment towards the Park Improvements would be due two years after the initial payment, totaling $3,,000,000 in Developer Contributions toward public improvements in the area. Use and Accounting The Village will hold all contributions in escrow, provide accounting upon completion of each improvement, and return any unused funds upon project completion or after five years. Financial Impact The Village will manage and disperse the $3,000,000 in Developer contributions to fund the improvements. The Village's participation in the Park District's RecPlex improvements will be governed by a separate intergovernmental agreement. Alternatives 1. Approval of the Resolution authorizing execution of the Public Improvements Agreement between the Village of Mount Prospect and Tur Ventures, LLC for off -site public improvements related to the Mount Prospect Technology Campus 2. Action at the discretion of the Village Board. Staff Recommendation Staff recommends approval of the Resolution authorizing execution of the Public Improvements Agreement between the Village of Mount Prospect and Tur Ventures, LLC for off -site public improvements related to the Mount Prospect Technology Campus. Attachments 1. Resolution 2. Public Improvement Agreement IV =01ILII]0A04104IQ A RESOLUTION APPROVING A PUBLIC IMPROVEMENTS AGREEMENT BETWEEN THE VILLAGE OF MOUNT PROSPECT AND TUR VENTURES LLC FOR OFF -SITE PUBLIC IMPROVEMENTS RELATED TO THE MOUNT PROSPECT TECHNOLOGY CAMPUS WHEREAS, Tur Ventures, LLC, a Delaware limited company(" Developer"), is the owner of the property located at 1200 E. Algonquin Road and 1200 Dempster Street in the Village of Mount Prospect, Illinois (the "Property"); and WHEREAS, pursuant to Ordinance No. 6811 adopted on October 28, 2025 (the "PUD Ordinance"), the Village granted amended planned unit development ("PUD") approvals for the Mount Prospect Technology Campus Planned Unit Development on the Property, including approval of a final plat of subdivision and final PUD plans for the development of a data center campus (the "Project"); and WHEREAS, in connection with the Project, the Developer is required to construct certain off -site public improvements and to contribute funds toward the cost of other off -site public improvements, as set forth in the Public Improvements Agreement ("Agreement") between the Village and the Developer, and WHEREAS, the Agreement delineates the respective responsibilities of the Village and the Developer regarding the design, financing, and construction of: (i) roadway, path, crosswalk, and lighting improvements within the Algonquin Road right-of-way; and (ii) park improvements to be completed at the Mount Prospect Park District's RecPlex facility; and WHEREAS, the Mayor and Board of Trustees of the Village of Mount Prospect find it to be in the best interests of the Village and its residents to approve the Agreement in substantially the form attached hereto and made a part hereof; NOW THEREFORE BE IT ORDAINED/RESOLVED BY THE MAYOR AND BOARD OF TRUSTEES OF THE VILLAGE OF MOUNT PROSPECT, COOK COUNTY, ILLINOIS: SECTION ONE. Approval of Agreement: The Public Improvements Agreement by and between the Village of Mount Prospect and Tur Ventures, LLC, substantially in the form attached hereto as Exhibit A, is hereby approved. SECTION TWO. Authorization to Execute: The Village Manager is hereby authorized and directed to execute said Agreement on behalf of the Village, with such minor changes as the Village Manager and Village Attorney may deem necessary or appropriate, and the Village Clerk is authorized and directed to attest the same SECTION THREE, Effective Date: This Resolution shall be in full force and effect immediately upon its passage and approval in the manner provided by law. AYES: PASSED and APPROVED this 18th day of November 2025. Paul Wm. Hoefert, Mayor ATTEST: Karen M. Agoranos, Village Clerk PUBLIC IMPROVEMENTS AGREEMENT This Public Improvements Agreement ("Agreement") is entered into this 181" day of November, 2025 ("Effective Date") by and between the Village of Mount Prospect, an Illinois home rule municipality, ("Village") and Tur Ventures LLC, a Delaware limited liability company ("Developer"). RECITALS A. Pursuant to a petition filed by Developer with the Village, and after all required notices, public hearings, and meetings, the corporate authorities of the Village adopted Ordinance No. 6811 on October 28, 2025 (the "PUD Ordinance") granting certain amended development approvals for the property located at 1200 E. Algonquin Road and 1200 Dempster Street within the Village (the "Property"). B. Specifically, the PUD Ordinance amended Village of Mount Prospect Ordinance 6634 regarding development approvals for the Mount Prospect Technology Campus Planned Unit Development on the Property, including approval of: (i) a final plat of subdivision and (ii) a PUD amendment and final PUD plans (the "Approved Plans") for a data center campus consisting of two data center buildings comprising approximately 2,172,000 square feet in total, two electrical substations, a mechanical yard, and other related site improvements on the Property (collectively, the "Project"). C. Developer is the owner of the Property and proposes to complete the Project in accordance with the PUD Ordinance and the Approved Plans. D. In connection with the Project, the Developer (or its successor in title) will construct certain off -site public improvements shown on the Approved Plans and will make monetary contributions to the Village to fund certain other off -site public improvements as set forth in this Agreement. E. The Village and Developer desire to enter into this Agreement to delineate their respective responsibilities for the construction and financing of certain off -site public improvements, as further described below. In consideration of the covenants and provisions set forth herein, and for other good and valuable consideration, the receipt and sufficiency of which is hereby mutually acknowledged, the parties hereto agree as follows: 1. Incorporation of Recitals. The recitals set forth above are hereby incorporated herein by reference and are determined to be true and correct. 1 2. Off -Site Improvements - Village Work. Subject to payment by Developer of the Contributions provided in Section 4 of this Agreement, the Village shall be responsible for designing, engineering, and constructing or installing: (i) a public path and street lighting within the Algonquin Road right-of-way from Linneman Road to the western edge of the Property and crosswalk and signalization improvements at the intersection of Algonquin Road and Linneman Road (collectively, the "ROW Improvements"), and (ii) a "splash pad" and related improvements at the RecPIex, which is owned by the Mount Prospect Park District and is located north of Dempster Street between Linneman Road and Elmhurst Road (the "Park Improvements," and, collectively with the ROW Improvements, the "Village Improvements"). The parties acknowledge that the Village intends to complete the Park Improvements in coordination with the Mount Prospect Park District pursuant to a separate intergovernmental agreement. Other than payment of the Contributions, as defined in Section 4, Developer shall have no obligation to construct the Village Improvements or to furnish any public improvement, maintenance, or construction nuisance abatement sureties ("Development sureties") for the Village Improvements. 3. Off -Site Improvements - Developer Work. Developer shall be responsible for constructing or installing, at its sole cost and expense, the Developer Improvements. As used herein, the term "Developer Improvements" shall mean those off -site public improvements depicted on the Approved Plans that are not Village Improvements. The Developer Improvements shall be subject to all applicable Development Surety requirements as set forth in the Village Code. 4. Developer Contributions. Developer agrees to make the following cash contributions to the Village for purposes of defraying costs to complete the Village Improvements (collectively, "Contributions"): a. Within 60 days after the later to occur of: (i) the date on which Developer or its successor in title has secured financing for construction of the first data center building to be constructed on the Property (as evidenced by recordation of a mortgage for a senior construction loan), and (ii) the date on which the Village has issued (and Developer or its successor in interest has received) a building permit for vertical construction of such building, Developer shall deposit the following amounts with the Village: i. $1,000,000, to be held in escrow by the Village for payment of costs incurred in completion of the ROW Improvements; and ii. $1,200,000, to be held in escrow by the Village for payment of costs incurred in completion of the Park Improvements. 2 b. Two years after Developer pays the first contribution for Park Improvements pursuant to Section 4(a)(ii), Developer shall deposit an additional $800,000 with the Village, to be held in escrow by the Village for payment of costs incurred incompletion of the Park Improvements. Developer shall notify the Village when Developer or its successor in title has obtained construction financing for construction of the first data center building on the Property. Developer shall provide such notice in writing within 14 days after recording a mortgage for a senior construction loan on the Property. 5. Village Use of Escrowed Funds. a. The Village shall hold and maintain the Contributions in a segregated fund or account for the sole purpose of paying actual costs incurred by the Village (or, for the Park Improvements, by the Mount Prospect Park District) in the design, engineering, construction, and installation of the Village Improvements as provided in Section 4 of this Agreement. The Village shall be entitled to draw upon each of the escrowed Contributions, without prior notice to or consent of Developer, for the purpose of paying consultant and contractor invoices and other eligible costs incurred in completion of the applicable Village Improvements. b. Within 60 days after Village approval of the final contractor pay request for the ROW Improvements, the Village shall provide an accounting to the Developer, with supporting invoices or similar documentation, identifying with reasonable specificity all disbursements made from the Developer's Contribution for ROW Improvements pursuant to Section 4(a)(i). c. Within 60 days after final completion of the Park Improvements, the Village shall provide an accounting to the Developer, with supporting invoices or similar documentation, identifying with reasonable specificity all disbursements made from the Developer's Contributions for Park Improvements pursuant to Sections 4(a)(ii) and 4(b). If the Park Improvements are completed prior to payment of the second Park Improvements Contribution pursuant to Section 4(b), then the Village may use such Contribution to reimburse itself for costs previously incurred (without accrual of interest) and shall provide an accountingto the Developer of the reimbursed costs. 3 d. Any unused Contributions will be returned to Developer upon the earlier of: (i) the Village's completion of the Village Improvements and delivery of final accountings to Developer in accordance with this Agreement; or (ii) five years after the Effective Date. e. Developer shall be entitled, upon reasonable notice, to inspect the Village's books and records related to the accounting and use of the Contributions. 6. General Provisions. a. Cooperation. The Parties will cooperate in the performance of this Agreement and the design, engineering, construction, and installation of the Village Improvements and other public and private improvements to be completed by Developer in connection with the Project, including by sharing engineering data and information regarding the design and construction of driveways and right-of-way improvements. b. Severability0 If any provision of this Agreement is held invalid by a court of competent jurisdiction, after exhaustion of all appeals or periods for such, then such provision shall be deemed to be excised, and the invalidity thereof shall not affect any of the other provisions contained herein, and such judgment or decree shall relieve the Village and/or Developer, as applicable, from performance under such invalid provision of this Agreement. c. Binding on Successors and As . This Agreement shall be binding on the parties and their respective successors, assigns, heirs, and legal representatives. [SIGNATURES ON FOLLOWING PAGE(S)] T Dated this 18t" day of November, 2025. VILLAGE OF MOUNT PROSPECT TUR VENTURES LLC By: By: Its: Its: ATTEST: ATTEST: