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Home My WebLink AboutRESOLUTION - 17-26 - 3/10/2026 - 6B 1700 Estes AvenueRESOLUTION NO. 17-26 A RESOLUTION DETERMINING THE APPROPRIATENESS FOR CLASS 6B STATUS PURSUANT TO THE COOK COUNTY REAL PROPERTY CLASSIFICATION ORDINANCE AS AMENDED JULY 27, 2018, FOR CERTAIN REAL ESTATE LOCATED AT 1700 ESTES AVENUE, ELK GROVE VILLAGE, ILLINOIS WHEREAS, the Village of Elk Grove Village desires to promote the development of industry in the Village of Elk Grove; and WHEREAS, the Cook County Assessor is operating under an ordinance enacted by the Cook County Board of Commissioners, and amended from time to time, the most recent amendment becoming effective as of July 27, 2018, 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, the Petitioner has applied for or is applying for Class 6B property status pursuant to said aforementioned ordinance for certain real estate located at 1700 Estes Avenue, in the Village of Elk Grove Village, Cook County, Illinois, with the Property Index Number 08-35-102-045-0000, has proven to this Board that such incentive provided for in said ordinance is necessary for development to occur on this specific real estate. NOW, THEREFORE, BE IT RESOLVED by the Mayor and Board of Trustees of the Village of Elk Grove Village, Counties of Cook and DuPage, Illinois: Section 1: That the request of the Petitioner to have certain real estate located at 1770 Estes Avenue, Elk Grove Village, Cook County, Illinois, and identified by Property Index Number 08-35-102-045-0000 declared eligible for Class 6B status pursuant to the Cook County Real Property Classification Ordinance as amended July 27, 2018, is hereby granted in that this Board and the Village of Elk Grove Village, Illinois, has determined that the incentive provided by the said Class 6B Tax Incentive Ordinance is necessary for the said development to occur on the subject property, legally described as follows: LOT `A' (EXCEPT THE EAST 30.0 FEET THEREOF) IN J.L WILLIAMS RESUBDIVISION, BEING A RESUBDIVISION IN THE NORTHWEST '/4 OF SECTION 35, TOWNSHIP 41 NORTH, RANGE 11 EAST OF THE THIRD PRINCIPAL MERIDAN, IN COOK COUNTY, ILLINOIS Section 2: That the Village of Elk Grove Village, Illinois hereby supports and consents to the Class 6B Application and approves the classification of the subject property as Class 6B property pursuant to the Cook County Real Property Classification Ordinance and the Class 6B tax incentives shall apply to the property identified as Permanent Real Estate Index 08-35-102-045-0000. Elk Grove Village is in receipt of an economic disclosure statement that is included with the application packet. Section 3:: That the Mayor and Village Clerk are hereby authorized to sign any necessary documents to implement this Resolution subject to the petitioner completing the following conditions within twelve months of the approval of this Resolution: a. Resurfacing and restriping the parking lot; a. Landscaping enhancements; b. Installation of new concrete sidewalk; c. Replacement of the loading dock and bollards in accordance with Elk Grove Village standards; d. Replacement of monument and pole signs, fagade updates and improvements and various general maintenance items. Section 4: That this Resolution shall be in full force and effect from and after its passage and approval according to law. VOTE: AYES: 6 NAYS: 0 ABSENT: 0 PASSED this loth day of March 2026. APPROVED this loth day of March 2026. ATTEST: S. ahon, Village Clerk Mayor rC atg B. Joh on Village of Elk Or a Village 2 yr yr Elk Grove Village Class 613 Property Tax Terms and Agreement The APPLICANT shall perform the WORK upon the SUBJECT PROPERTY located at 1700 Estes Avenue Elk Grove, Illinois 60007 in accordance with the PLANS and in full compliance with all applicable codes, ordinances, rules, regulations, permits, and plans as outlined in Attachment A, imposed by the VILLAGE, and shall complete the WORK in a good and workmanlike manner or risk voiding this agreement. The WORK shall include all building and landscaping alterations as proposed by the APPLICANT in exchange for the VILLAGE'S approval of a Cook County Class 6B Property Tax Abatement. The APPLICANT, will be issued a Letter of Receipt upon submission of a completed Elk Grove Village Class 6B Application Packet. This letter may be used to inform the Cook County Assessor's Office that the Village of Elk Grove is in receipt of the Applicant's request for a Cook County Class 6B Property Tax Abatement. The Letter of Receipt is not a guarantee of final approval and the Applicant may move ahead with their project at their own risk. The Letter of Receipt will serve as official notice that the APPLICANT is eligible for the incentive; however, final approval is not complete until there is an official Resolution passed by the Village. The Resolution will not be executed until such time all proposed work is complete. The APPLICANT has 365 days from the execution of this Agreement to complete all proposed alterations and submit a full accounting of costs. If costs are not consistent with promises made in the original application, the APPLICANT may not be granted a final resolution of 6B approval. This AGREEMENT sets forth all the promises, inducements, agreements, conditions and undertaking between the APPLICANT and the VILLAGE relative to the subject matter thereof, and there are no promises, agreements, conditions or understandings, either oral or written, expressed or implied, between them, other than as set forth herein. No subscgiieni alteration, amendment, change or addition to this AGREEMENT shall be binding upon the PARTIES hereto unless authorized in accordance with the law and reduced in writing and signed by them. In WITNESS WHEREOF, the parties hereto have executed this Agreement as set forth below: Village of Elk Gro illage 901 Wei Iingto venue Elk =- Name:SigCraig B. Johnson Title: Mayor. Clerk 1700 Estes LLC 1806 Midwest Club Parkway Oak Brook, IL r2,�—� Si n� Name: Sebastian Mad ' Title: President Date: 02 x�2,6 Mayor CRAIG B. JOHNSON Village Clerk JENNIFER S. MAHON Village Manager MATTHEW J. ROAN March 11, 2026 The Law Offices of Holland Hicks Law ATTN: Al Sarro 30 N. LaSalle Drive Ste. 3906 Chicago, IL 60602 Village Trustees JOSEPH D.BUSH JEFFREY C. FRANKE KATHRYN A. JAROSCH KEITH LASKEN TAMMY K. MILLER STEPHEN E SCHMIDT RE: Application for a Class 613 Property Tax Abatement for the property, generally located at 1700 Estes Avenue, Elk Grove Village, IL 60007 Dear Mr. Sarro: This correspondence is to confirm that the Village of Elk Grove Village has approved your request for a resolution supporting and consenting to a Class 6B Property Tax Abatement for property generally known as 1700 Estes Avenue, Elk Grove Village, IL 60007 (PIN 08-35-102-045-0000). However, the resolution will be held by the Village and released to you at such a time when the Village can verify that the terms under which the 6B was granted have been met. The terms are enumerated in the application packet in Attachment A. This letter may be packaged with the Cook County Application for a 6B Property Tax Abatement to inform the Cook County Assessor's Office that the Village of Elk Grove Village is in receipt of your Class 6B application and is processing your request. Company Name: 1700 Estes, LLC Project Address: 1700 Estes Avenue Elk Grove Village, IL 60007 Proposed Plan: Reoccupation of Abandoned Property with Greater than 12 Months of Vacancy with a Purchase for Value, Substantial Rehabilitation, and Special Circumstances. Elk Grove Village otify your office regarding the status of your application as we review and evaluate pro' docum nts and plans. If you have any immediate questions, please contact Sue Dees, Director 9nusiness Pfevelopment &Marketing, at (847) 357-4005 or by email at SdeesCe�?elkgrove.or 7. Craig B. Johnson Mayor C: Board ofustees Village. Manager Director of Community Development 901 WELLINGTON AVENUE + ELK GROVE VILLAGE, ILLINOIS a 60007-3499 TELEPHONE (847) 357-4000 • FAX (847) 357-4044 • TDD (847) 357-4088 www.elkgrove.org HOLLAND HICKS LAW HAROLD J. HICKS 30 NORTH LA SALLE STREET SUITE 3906 SENIOR REAL ESTATE ANALYST JEFFREY A. HOLLAND CHICAGO, ILLINOIS 60602 THOMAS K. GILLESPIE GRETCHEN M. KUBASIAK KEVIN R. MALLOY TELEPHONE (312) 346-4321 FAX (312) 346-S619 —A s WRITER'S DIRECT DIAL NUMBER (312) 551-3310 Feburary 24,2026 LETTER OF TRANSMITTAL TO ELK GROVE VILLAGE REAL ESTATE ANALYST AL SARRO TIMOTHY D. STANNER 1700 Estes, LLC (the "Applicant") purchased the property located at 1700 Estes Avenue, Elk Grove Village, Illinois 60007 (PIN; 08-35-102-045-0000) (the "Property").on January 8, 2024. for $4,290,440. The Applicant is now requesting a Resolution from the Village of Elk Grove Village supporting and consenting to the Class 6b tax incentive designation based on the reoccupation of an abandoned property that had been vacant for at least 12 months, combined with a purchase for value, substantial rehabilitation, and special circumstances warranting the incentive. The Property has experienced long-term vacancy and significant deterioration, resulting in the need for substantial capital investment to address deferred maintenance, code compliance upgrades, and modernization of building systems. Renovation work commenced on October 16, 2025, and is scheduled for completion by April 30, 2026, with an approximate total project cost of $1,188,000. The proposed rehabilitation and subsequent industrial use of the Property would not be financially feasible without the assistance of the Class 6b incentive. The extraordinary rehabilitation costs, when combined with prevailing market rental rates and operating expenses, create a significant financing gap that prevents the project from achieving a reasonable return on investment. The 6b incentive is therefore essential to offset these costs and make the redevelopment economically viable. Without this incentive, the Property would likely remain underutilized or vacant, and the community would not realize the associated economic, employment, and tax base benefits of the proposed industrial reuse. The Applicant created approximately 10 construction jobs during the property improvements. Once a tenant is secured, the property is expected to initially employ 12-15 full- time employees, with the potential to add up to 15 additional employees over the next 10 years. While the Class 6b incentive reduces the assessment level from 25% to 10% for an industrial property for the first ten years (15% in the eleventh year and 20% in the twelfth year), the Property has the potential to generate greater overall property tax revenue —even with the incentive —than it would if it were to remain vacant or underutilized. The Village stands to benefit from increased tax revenues, job creation, and economic activity associated with the successful redevelopment. As outlined above, there are clear and quantifiable economic benefits the Village will receive should the Applicant be granted the Class 6b incentive. However, absent this incentive, the Applicant will not be able to successfully operate or redevelop the Property. Sincerely, WZ� Al Sarro Holland Hicks Law 30 North LaSalle Street, Suite 3906 Chicago, IL 60602 asarro@HollandHicksLaw.com 312-551-3301 www.HollandHicksLaw.com HOLLAND LAW HICKS mOD-43 esne4P- 7I05'£6S'LUS .J OSOS'£6S'Lbe :d L0009 slom0l'aeellln anm8gla pxenalnaq/,1an1I 099 O 0 o N5 p a W oo a ` s a al ( Z & sW p sN Y= i mom�Sw '• Wed p; Q= } F ,_ ��a z ;_2 S W3a¢o2 O a4- z' 05 ,O-3 No Oz z= 0= a a ava a$W;E§s 9�`3os�a J� x W ��asooaaaoo i � 4 4 3SUM K j O___.. m.... O u 'sssa-esss- m � a ..S 8uasa C Cz Pn � i3 yp LH °z. w LH E. j- _ 8 u ��o LL nvuemwnnu. H rj i J ¢ a yys. 3 MI v y•, ;CK it —'4111-41l— ZICS-EGS-09 :j OTOS'E6S*LVE A LOGO s!oUjjl!AE0!A0A0JS)jja pjeAalnoqAIBAIIO98 z 0 U., nD 0 -4sHu z'u z cc LU Ei 0 0- [Ell 0 o Eli t D" [Elli. [Ell 4 FED I I 3 U 10. hill J Eli, 'u DA ph *7 6�1 gd� c III f Nt § -mH'Htg _YH-HO - z _H HH gMI 111,um--IW6N. IP-Mim MM IM-I--IHM1 M �-M. H.- H m .1 .K EMH'Ian W zM'_M" HM -g-S'--2 ogw Ig■', HMI HMI -o o Ham '5z.-E 5 Vo M m-H. t. w2g°mmos 2" EMU H tqj m m M- M dgi J— HRIL -H- gh PH H, H. M syiH H Hi'M .2 gH M IM H 'Ho v 6 HHHHH. H"". fim o Hy I -is n H-1. J.1. 8 N 2' 2- H-H 2 '2 PI i . -o Tfl�" , -1 ' ' - -Wm z 0 M. H 4.1! HR. Hw - H-U2 law 0 H, 0 z vE 9-.9- -M 42H x o uiffl --H ___- _ m,__mm o_ _,_,_,_ __,_ _ ) Mipustse §\\ ® <§ % | M � ) |4 ) ))\\� /!R)] : §\ § �; Woa 43—ne4p•miwx ZTOS'£6S'Lb8 .; OTOS'£6S'Lb8 :d L00095!OUIII! We81n a—S JIB pienaInaq/4-IIWe Z O L g O $ Y o ",,snDH 2"i1i}�B�Ili��la , 1�1� R pLLj a up J J 1 N r4 Q I C) V--: uj w � 3t - wl, IL 4h, 11 4�. r.i41. 1 w I M 1 as 33ssne HOLLAND HICKS LAW 30 NORTH LA SALLE STREET SUITE 3906 CHICAGO, ILLINOIS 60602 Special circumstances requested by 1700 Estes, LLC, or an entity to be named 1700 Estes Avenue, Elk Grove Village, Illinois 60007 (PIN: 08-35-102-045-00001 1700 Estes, LLC, or an entity to be named (the "Applicant"), is requesting a Resolution in support of and consenting to a Class 6b property tax incentive for the above -referenced property. This incentive is based on the reoccupation of an abandoned building that has remained vacant for at least 12 months, combined with an arm's-length purchase for value, substantial rehabilitation, and special circumstances justifying the incentive. The Applicant acquired the property on January 8, 2024, for $4,290,440 and began site improvements and rehabilitation work on October 16, 2025, in preparation for securing a tenant upon completion. The subject property encompasses approximately 51,064 square feet, including roughly 48,124 square feet of warehouse space and 2,940 square feet of office space. The building has remained 100% vacant and unused since February 14, 2025. The property requires substantial rehabilitation. To address this, the Applicant intends to invest approximately $1,188,000 in improvements to both the interior and exterior. Planned upgrades include resurfacing and restriping the parking lot, landscaping enhancements, installation of a new concrete sidewalk, replacement of the loading dock and bollards in accordance with Elk Grove Village standards, replacement of monument and pole signs, fagade updates and improvements and various general maintenance items Interior improvements are also planned. Please note that actual rehabilitation costs may vary significantly due to factors such as market conditions, material prices, or unforeseen issues. Additional inspections may identify the need for further work beyond what is currently anticipated. The rehabilitation project is expected to generate approximately 10 to 15 construction jobs during the improvement phase. The property is currently undergoing rehabilitation, with an expected completion date of April 30, 2026. Once the rehabilitation is complete and a tenant is secured, the tenant plans to initially employ 12-15 full-time staff. Over the following 10 years, it anticipates adding up to 15 more employees and prioritizes hiring qualified residents of Elk Grove Village for all future positions. Based on our research and the additional costs that must be incurred to improve and rehabilitate the building in order for this to be a successful endeavor, the Applicant must possess a Class 6b Incentive to complete the improvements and to successfully operate the property. It is for these reasons that it is necessary to grant the Applicant a Resolution supporting and consenting to a Class 6b Incentive for the subject property based on occupation of an abandoned property that has been vacant for at least 12 months with a purchase for value, special circumstances and substantial rehabilitation. Sincerely wyW--ol Al Sarro Holland Hicks Law 30 North LaSalle Street, Suite 3906 Chicago, IL 60602 asarro@HollandHicksLaw.com 312-551-3301 www.HollandHicksLaw.com HOLLAND LAW HICKS LEGAL DESCRIPTION PROPERTY DESCRIPTION. LOT `A' (EXCEPT THE EAST 30.0 FEET THEREOF) IN J.L WILLIAMS RESUBDIVISION, BEING A RESUBDIVISION IN THE NORTHWEST'/4 OF SECTION 35, TOWNSHIP 41 NORTH, RANGE 11 EAST OF THE THIRD PRINCIPAL MERIDAN, IN COOK COUNTY, ILLINOIS. Commonly known as: 1700 Estes Avenue, Elk Grove Village, Illinois 60007 Property Index Number: 08-35-102-045-0000 G:\COOK\Elk Grove\5112 - 08-35-102-045 - 1700 Estes Avenue\Class 6b\5112 - Attachments to EGV 6b App 1700 Estes.docx