Loading...
HomeMy WebLinkAbout5. NEW BUSINESS 04/06/2010 Village of Mount Prospect Community Development Department MEMORANDUM FROM: MICHAEL E. JANONIS, VILLAGE MANAGER DIRECTOR OF COMMUNITY DEVELOPMENT ~. ~/:r&, 4 J I" '0 TO: DATE: MARCH 29, 2010 580 SLAWIN COURT - CLASS 6B INDUCEMENT RESOLUTION SUBJECT: Attached to this memorandum is a resolution that would grant approval of a Class 6b property tax incentive for First Industrial Realty Trust, Inc. who is the current owner of 580 Slawin Court. This property is located in the Kensington Business Center and has been vacant for over 2 years. The 2- year vacancy qualifies the property for the 6b designation pending approval of the attached resolution by the Village. First Industrial is requesting the Class 6b abatement so that they can competitively recruit prospective tenants for the property. It is estimated that the abatement would reduce the amount of property tax per square foot from $5.87 to $2.35 for this property. They are competing against other industrial buildings in the market that have tax rates below $2 per square foot, putting them at a competitive disadvantage. Please forward this memorandum to the Village Board for their review and consideration at their meeting on April 6th. Staff will be present at that meeting to further discuss this matter. ~~1oo~ " L/WV OFFICES AMARI & LOCALLO LEON.'\RD l' AMARI JOSEPH F. LOCALLO. JR. JOI-IN G. LOCALLO .".NTHONY M. F.ARACE FRANCO A. COLADIPIETRO 7:\4 NORTH \VELLS STREET OF COUNSEL VICTOR ,. CACCIATORE MICHAEL V. FAVIA ..\NTHONY J. FORNEl.LI CARL ,. FRANK PHILLIP C. GOLDSTlCK BRUNO I. TASSONE SCOTT D. VERI-) EY CHICAGO. ILLINOIS 60654 TELE PilON E (:~J2) 2;-,S-~.'i.')O F;\CSI1\.-IlLE (3121 2SfH:SS!'>J K/\THERINF. A.AM.".RI VESNA MARUS)C DAN I EL R. LYNCH JOSEPH F. LOCALLO. 111 www...mariandloca[[o.com March 18, 2010 Village of Mount Prospect c/o Mr. William Cooney, AICP 50 S. Emerson St. Mount Prospect, IL 60056 RE: Class 68 Real Estate Tax Incentive Address: 580 Slawin Court Parcels: 03-35-104-055 and 053 Petitioner: First Industrial Realty Trust, Inc. Dear Mr. Cooney: We are sending this letter on behalf of First Industrial Realty Trust, Inc. First Industrial owns the property located at 580 Slawin Court, Mount Prospect, IL - Property Index numbers 03-35-104-055 and 053. We hereby formally request a Municipal Resolution from the Village of Mount Prospect which determines that certain real estate, referenced above, is appropriate for the 68 real estate tax incentive due to Special Circumstances. The subject property has remained vacant for over two years. The Cook County Assessor's office allows for application of the real estate tax 6B incentive for properties that have remained vacant for over 24 months. Since there will be no purchase for value, the Assessor's office will require a resolution passed from the Village of Mount Prospect which supports and consents to the 68 incentive based on Special Circumstances. The Village's finding of Special Circumstances would need to be approved by the Cook County Board of Commissioners. The following Special Circumstances justify the Village's support of the 68 incentive: 1. The subject property has remained vacant for over two years. Ownership has not been able to lease the property mainly due to the real estate taxes. The 68 incentive would make the property more marketable. 2. The subject property is inferior compared to a newer facility. The ceiling height in the subject property is 14 ft - compared to newer industrial buildings with ceiling heights between 24 ft and 30 ft. This makes leasing difficult; however the 68 incentive makes the subject marketable and competitive during these economic times. 3. The Interior loading docks take up usable space - compared to a newer facility. Again, the 6B incentive makes the subject marketable and competitive during these economic times. 4. Substantial money needs to be invested into the subject property in order to upgrade the building. Without the incentive, the building will remain vacant and money would not be invested into the property. 5. The following are potential upgrades needed for the property: 1. There are 6 older rooftop mounts HVAC units which service the entire building 2. The property suffers from signs of wear and tear. For example, the Roof needs to be replaced and there are stained ceiling tiles due to leaks from the rooftop HVAC units. When considering whether to support the Class 6 incentive, please consider the following analysis. In 2009 the Cook County Assessor proposed the following assessment for the subject property: PIN Land Buildina Total Total Total Assessment Assessment Assessment Market Value RE Taxes 03-35-104-055 82,366 825,809 908,175 $3,632,700 $177,589 Because the property remained 100% vacant, the Assessor granted vacancy relief and the assessment was reduced as follows: PIN Land Buildina Total Total Total Assessment Assessment Assessment Market Value RE Taxes 03-35-104-055, etc 82,366 165,161 247,527 $990,108 $48,403 If the Class 6B incentive was applied to the Assessor's proposed value, the assessment I real estate tax breakdown is as follows: PIN Land Buildina Total Total Total Assessment Assessment Assessment Market Value RE Taxes 03-35-104-055, etc 32,946 330,324 363,270 $3,632,700 $71,036 As you can see, the subject property will generate approximately $22,633 more in real estate tax revenue with class 6 compared to if the property remains 100% vacant. Please note that all real estate taxes are estimated based on the 2008 tax rate and multiplier. Please let us know, as soon as possible, when this issue can be addressed at a Village meeting. For your review, we have enclosed a copy of the 68 application that we intend on submitting to the Cook County Assessor's office. We thank you in advance for your cooperation and attention to these details. As always, please feel free to contact either myself or Anthony M. Farace in our office, with any questions or if more information is needed. Enclosures: " ZONING MAP " 't '" "'" .'11 ll' " " 301-A -042. II .. ([Q4> ___J , ~ If oJ, L.' .. .. ~ ..z.a7.12 ....1.2.... ~02- B -(J~I %-11." II " Q @) PT. 30' Pt, -()~() 307 -02.9 301-8 I I, pT. I -001 I I I I I : (iQD I I I I I I I -043 ,~ N " 3~3.D p+. 40' ';"'008 -05Z 3oZ'C ---- .. : "I -os". @ PT. '02 -056' " " R -------.-'1 I(E.N~IN<irTO ! . Re",,,,". 0 C.R't41r Ph R..... No'. ~ I<ENSIN<irTO .' R.~,,". 0 K..,,~i"3i:o". ( SIDe. .. R..;.. N.D"'..t Kf.NS'N(io"O~ Re s...la. of: t.il K...~;.~t.n j C Se.e. .... Rc.c.. :r "l"l8. Z I KE,NSIHGid II Re511l>.:1 Cen\tr p~ with pt..-P "1-7.-11 Ree. Nov, 1 KENNSINGTO L.t 301 ." K. . t\" NWY.. R.., Mor Ill, I l<EN~JNGToJ D ....sul:. oft~~ R"". "'.IV" J KENS'NGTO Q . R...u. ..c:- t..A....... Pl.., Ra-c.. S.,. 17.1 KEN5INGTO~ 5...1.. .f p." S..". 3$"-'U Itec.. Fe!.. I. KUISI"'G.To~1 Slll~. .oJ p.r $..". 3S"-4 R..c.. 3'~"",. I KE"'S''''IOTO~ Suit. G~ L. C............ RC'llIll .f Lo'fl 40 J c.e,.,t.,. P...... he.. A....,). 7. KENS.NGTO S,,~. .. L.+. b""",:i+ofll e . Q,.J LO+$ 4 CARte. Pl,U] Rat.. Mflr..2. KEN5INlOTO. il P...." b. of Kens'n!\-o" P......3"n& .. RESOLUTION NO. A RESOLUTION IN SUPPORT OF FIRST INDUSTRIAL REALTY TRUST, INC. 580 SLAWIN COURT, MOUNT PROSPECT, ILLINOIS, MAKING APPLICATION FOR COOK COUNTY CLASS 6B TAX ABATEMENT 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 new businesses to become established in the Village of Mount Prospect, Cook County; and WHEREAS, without the Cook County property tax incentives, the Village of Mount Prospect is at a competitive disadvantage with the neighboring counties of Lake and DuPage in attracting industrial development; and WHEREAS, the subject property has been vacant for more than 24 consecutive months; and WHEREAS, First Industrial Realty Trust, Inc. has requested the Village of Mount Prospect to support its application for a Class 6b Real Property Classification at 580 Slawin Court, Mount Prospect, Cook County (Property); and WHEREAS, the Village of Mount Prospect has found that special circumstances exist in that the Village is at a competitive disadvantage with nearby DuPage and Lake Counties and their tax structure; 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 PRESIDENT AND BOARD OF TRUSTEES OF THE VILLAGE OF MOUNT PROSPECT, COOK COUNTY, ILLINOIS ACTING IN THE EXERCISE OF THEIR HOME RULE POWERS: SECTION ONE: That the President and Board of Trustees of the Village of Mount Prospect do hereby support and consent to the application of First Industrial Realty Trust, Inc. for a Class 6B Property Classification from Cook County, which allows a 10% assessment level for the first 10 years, 15% in the 11 th year and 20% in the 12th year for the Subject Property located at 580 Slawin Court and legally described as: PIN: 03-35-104-053-0000 and 03-35-104-55-0000 Lot 3020 in the Kensington Center-Resubdivision Twenty, in part of the Northeast Quarter of Section 35, Township 42 North, Range 11, East of the Third Principal Meridian, in Cook County, Illinois. A Page 2/2 Class 6 Tax Abatement 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 development of the property is subject to compliance with all requirements of the 1-1 (Light Industrial) District and development standards ofthe Village of Mount Prospect. SECTION FOUR: That this Resolution shall be in full force and effect from and after its passage and approval in the manner provided by law. AYES: NAYS: ABSENT: Passed and approved this day of April, 2010. Irvana K. Wilks Mayor M. Lisa Angell Village Clerk H :\CLKO\WI N\RESOLUTION\class6btaxFirstind ustrialRealtytrustapril6201 Oa.doc RESOLUTION NO. A RESOLUTION REGARDING THE RELEASE OF CLOSED SESSION MINUTES WHEREAS, the President and Board of Trustees of the Village of Mount Prospect have, from time to time, met in Closed Session for purposes authorized by the Illinois Open Meetings Act; and WHEREAS, as required by the Act, the Village Board has kept written minutes of all such Closed Sessions; and WHEREAS, pursuant to the requirements of Public Act 85-1355, the President and Board of Trustees have met in Closed Session to review the minutes of all Closed Sessions; and WHEREAS, the President and Board of Trustees have determined that a need for confidentiality still exists as to the Closed Session minutes for the meetings as set forth on Schedule A attached hereto; and WHEREAS, the President and Board of Trustees have further determined that the minutes of Closed Sessions, as noted on Schedule "A" and Schedule liB" attached hereto, no longer require confidential treatment and should be made available for public inspection. NOW, THEREFORE, BE IT RESOLVED BY THE PRESIDENT AND BOARD OF TRUSTEES OF THE VILLAGE OF MOUNT PROSPECT, COOK COUNTY, ILLINOIS ACTING IN THE EXERCISE OF THEIR HOME RULE POWERS: SECTION ONE: That the President and Board of Trustees of the Village of Mount Prospect do hereby authorize the release of the Closed Session minutes as indicated on Schedule "A" and Schedule liB" attached hereto and made a part of this Resolution. SECTION TWO: That the Village Clerk is hereby authorized and directed to make said minutes available for inspection and copying in accordance with the standing procedures of the Clerk's Office. 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: NAYS: ABSENT: PASSED and APPROVED this day of April, 2010. Irvana K. Wilks Mayor ATTEST: M. Lisa Angell Village Clerk . H:\CLKO\WIN\RESOLUTION\April62010 ResolutionClosed Session Minuites.doc ~ SCHEDULE A Closed Sessions of the President and Board of Trustees of the Village of Mount Prospect were held as listed below. The minutes that have been determined may be released for public inspection are indicated by the word "Released" or "Partial Release", those determined to remain as confidential are indicated by the words "Not For Release": January 20, 2004 January 27, 2004 February 3, 2004 March 9, 2004 May 11, 2004 May 18, 2004 June 15, 2004 July 6, 2004 September 21,2004 September 28, 2004 November 16,2004 November 23, 2004 December 7,2004 January 11, 2005 January 25, 2005 February 15, 2005 April 6, 2005 April 26, 2005 May 24, 2005 June 7, 2005 June 21, 2005 July 5, 2005 August 2, 2005 August 16, 2005 September 6,2005 September 20,2005 October 4, 2005 October 18, 2005 October 18, 2005 October 25, 2005 November 8, 2005 December 13, 2005 December 20, 2005 Partial Release Released Released Partial Release Partial Release Released Released Released Partial Release Not for Release Partial Release Partial Release Partial Release Partial Release Released Partial Release Not for Release Released Not for Release Not for Release Partial Release Not for Release Partial Release Released Partial Release Released Partial Release Not for Release Not for Release Not for Release Not for Release Partial Release Not for Release 10f 1 SCHEDULE B Closed Sessions of the President and Board of Trustees of the Village of Mount Prospect were held as listed below. The minutes that have been determined may be released for public inspection are indicated by the word "Released" or "Partial Release", those determined to remain as confidential are indicated by the words "Not For Release": January 3, 2006 January 10, 2006 January 23, 2006 January 31,2006 February 7, 2006 March 7, 2006 April 4, 2006 April 18, 2006 April 25, 2006 May 2, 2006 May 16, 2006 June 6, 2006 (6:00p.m.) June 6, 2006 (8:41 p.m.) June 13, 2006 July 5, 2006 July 11, 2006 July 18, 2006 (6:00 p.m.) July 18, 2006 (7:41 p.m.) July 24, 2006 August 8, 2006 August 15, 2006 September 5, 2006 October 17,2006 November 21,2006 December 12, 2006 December 19, 2006 January 2, 2007 January 16, 2007 February 20, 2007(6:08 p.m.) February 20, 2007(8:0 p.m.) March 13, 2007 April 10, 2007 May 15, 2007 June 5, 2007 June 26, 2007 July 17, 2007 August 7,2007 August 21,2007 September 4, 2007 October 2, 2007 October 9, 2007 October 23, 2007(6:05 p.m.) October 23,2007(9:18 p.m.) November 6, 2007 November 13, 2007 November 20, 2007 (6:03p.m.) November 20, 2007 (9:00p.m.) December 4, 2007 (6:05 p.m.) December 4, 2007 (8:25 p.m.) December 18, 2007 10f 1 Partial Release Released Not for Release Not for Release Released Not for Release Partial Release Not for Release Not for Release Partial Release Partial Release Not for Release Partial Release Release Partial Release Not for Release Released Partial Release Not for Release Not for Release Release Partial Release Released Not for Release Partial Release Not for Release Partial Release Partial Release Not for Release Release Partial Release Not for Release Not for Release Partial Release Not for Release Not for Release Partial Release Released Released Not for Release Not for Release Released Released Not for Release Not for Release Not for Release Release Not for Release Partial Release Not for Release >. ('