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HomeMy WebLinkAboutVILLAGE BOARD - 10/29/1996 - SPECIAL MEETING/GROVE MALL MINUTES OF THE SPECIAL MEETING OF THE PRESIDENT AND BOARD OF TRUSTEES OF THE VILLAGE OF ELK GROVE VILLAGE, ILLINOIS HELD AT THE CHARLES J. ZETTEK MUNICIPAL BUILDING 901 WELLINGTON AVENUE ON TUESDAY, OCTOBER 29, 1996 Village President Dennis J. Gallitano called the meeting to order at 7 : 12 p.m. 1. ROLL CALL: Present : President : Dennis J. Gallitano; Trustees : Patton L. Feichter, Craig B. Johnson, Samuel L. Lissner, James P. Petri, and Paul A. Rettberg Absent : Nancy J. Czarnik Also Present : Village Manager, Gary E. Parrin; Village Attorney, George B. Knickerbocker; and Deputy Village Clerk, Ann I . Walsh A quorum was present . 2 . OPENING STATEMENT - VILLAGE PRESIDENT The purpose of this meeting is to discuss the Grove Mall Redevelopment . The first part of the meeting will be a discussion regarding the Town Center Tax Increment Financing Redevelopment Project and Plan document developed by the Village' s consultants . The second part of the meeting will consist of presentations by two responding bidders to the Requests for Proposals for the project : Hamilton Partners and the Taxman Corporation. President Gallitano welcomed members in the audience from the Elk Grove Park District - Steve Partman, Pat Clifford Mary Allen and Barbara Heller; Mary Jedzinek and Paul Kaplan of the Elk Grove Library; Representatives from the Plan Commission, Zoning Board of Appeals, School Districts and the general public . 3 . Pledge of Allegiance The President led the Board and the audience in the Pledge of Allegiance. 4 . Tax Increment Financing Plan The President introduced Consultants, Mike Obringer and Jack Pettigrew of Trkla, Pettigrew, Allen & Payne, Inc . and Mary Riordan, Special TIF attorney. The Village Attorney stated an ordinance will be brought before the Board tonight proposing approval of a redevelopment plan and project for the designation of the Grove Mall Shopping Center Redevelopment Project, the adoption of tax increment allocation financing, convening a joint review Board and the calling for public hearing, to be held on December 19, 1996 before the President and Board, as required by statute . A joint review board, consisting of a representative from each of the taxing bodies that are affected by the tax increment financing, will convene to consider the matter. Notice is to be sent to all entities and affected owners and taxpayers . The ordinance will include the Tax Center Tax Increment Financing Redevelopment Project and Plan which will be sent to the various taxing bodies . The purpose of tonight' s meeting is for the Board to be advised of the 10-29-96 1 Special Meeting contents of this document as called for in the Ordinance . President Gallitano provided a brief background of the redevelopment project describing the property condemnation and payment of 6 . 15 million dollars to Joe Serfecz owner of the Grove Mall property. The existing tenants will be vacated by December 31, 1996, although Walgreens' lease has been extended to January 31 and the Grove Theater extended as long as possible based on popular demand. As a result of a survey, interview sessions with the public regarding the town square, and recommendations of the consultants, the request for proposals were developed and distributed to over twenty developers . Four firms responded as interested parties to develop the Grove area. An Evaluation Committee consisting of the Village President, Trustee Johnson, Village Attorney, the Director of Engineering and Community Development, the Village Manager, and the Consultants reviewed and evaluated the plans presented. The Committee recommended the responding bidders appear before the Board and public to present the plans for redevelopment . After tonight the views of the Board and the public will be reviewed and it will be determined which of the two firms the Village will be negotiating with for redevelopment . The Village Attorney explained the Town Center document will provide the Board with a thorough understanding of the entirety of the process and serves as information for the joint review board as well as the general public . It covers what will be required of the Board over a period of several months . The report establishes goals and objectives of the redevelopment project and specifically how those goals will be met, including physical improvements and the financing of the project . Considerable discussion regarding minor changes to the document followed and a $200, 000 increase to the estimated redevelopment costs; the addition of demolition costs as a separate category; and the possibility of additional costs under Public Works and Utility improvements were proposed based on potential costs of the project . The President noted for the record the Estimated Redevelopment Project Costs are estimated at $9, 150, 000 with the largest component of that figure being the land cost of $6 . 5 million that includes the 6 . 15 million for the purchase plus demolition, and environmental remediation. A fair amount of remediation had to be done on the property to address the cleaners and Goodyear operation. We have additional categories of interest charges, additional categories of retention facilities and retention relocation of infrastructure improvements . In response to questions from members of the audience, President Gallitano responded that based on the preliminary work so far, the Village should recoup the dollars spent to purchase the mall and the Village has well established its eligibility for TIF Financing. Motion to adopt Ordinance No. 2517 entitled, "AN ORDINANCE PROPOSING APPROVAL OF A REDEVELOPMENT PLAN AND PROJECT FOR AND THE DESIGNATION OF THE GROVE MALL SHOPPING CENTER REDEVELOPMENT PROJECT AREA AND THE ADOPTION OF TAX INCREMENT ALLOCATION FINANCING THEREFOR, CONVENING A JOINT REVIEW BOARD AND CALLING A PUBLIC HEARING IN CONNECTION THEREWITH. " (With suggested 10-29-96 2 Special Meeting revisions and amendments to the Plan as presented before the President and Board tonight . ) MOVED: Trustee Petri SECONDED: Trustee Rettberg AYES : Trustee Feichter, Johnson, Lissner, Petri, Rettberg ABSENT: Trustee Czarnik MOTION CARRIED RECESS : 7 :35 p.m. Meeting resumed at 7 :45 p.m. with all members present as stated at the beginning of the meeting. 5 . PRESENTATIONS HAMILTON PARTNERS, ITASCA ILLINOIS Present: Hamilton Partners Todd Berlinghoff James Sheridan DeStafano & Partners Greg DeStafano Realon Homes Larry Johannson Todd Berlinghoff of Hamilton Partners presented a plan designed to create an area consisting of a retail center, a residential area and Village Green featuring water jets, fountains, and cobblestone walkways. The Village Green area will serve as a central location for families and town activities . The proposal provides space for restaurants, a grocery store, drug store, movie theater and various other retail uses . Mr. DeStafano addressed the Board and expressed a commitment to this venture and the desire to insure the redevelopment of the mall as a commercially viable project . Larry Johannson, Realon Homes, spoke of a residential area consisting of townhomes or condos and located in the south west area of the property. Initial research indicates a favorable market for housing in Elk Grove for singles and/or couples seeking smaller (800 to 1100 sq. ft) and less expensive living quarters . Further discussion provided information regarding the location of the movie theater, a proposed 3-level parking structure for additional parking to be used as overflow on busy theater evenings or during special events and for Village employee parking. Hamilton Partners expressed a willingness to work with the current owner of the theater if he is interested in negotiating with them. President Gallitano announced that the renditions and drawings presented tonight will be on file in the Village Clerk' s Office along with the response to the RFP' s . Copies will be available upon request . A question and answer period ensued to review the objectives and criteria of the developer. Some of the issues addressed were the layout of the mall, perspective tenants and the accessibility of the mall to the Senior Citizen apartments adjacent to the property. 8 : 30 p.m. The President invited comments from the audience . Library Trustee Schumann inquired if residential parking would cause an overflow of vehicles in the Library parking lot . Mr Johannsson assured him sufficient parking is 10-29-96 3 Special Meeting available for the residential area. One space per unit is proposed, but Hamilton will work closely with the Village to follow Village Code. It was projected financing for the development could be obtained by January 1, with 80% of the leases secured by Spring, and construction commencing by Summer. President Gallitano called for any final comments (8 :45 p.m. ) and announced that all suggestions, comments or questions should be directed by phone to the Village Manager or put in writing to be made a part of the public record for this meeting. Recess : 8 :46 p.m. Meeting resumed 9 :06 p.m. with all present as stated at the beginning of this meeting. Taxman Corporation, Skokie IL Present: Taxman Corporation Seymour Taxman Timothy Hague Margaret Georgopulos Stuart-Nosky Architects Tim Stuart The Taxman Corporation presented a proposal for an upscale retail/entertainment center of 175, 000 square feet with a grocery store anchor, and drug store if desired by the community. Also included is the redevelopment of the movie theater, a cluster of restaurants and the incorporation of a Village Square element referred to in the center of the proposed project within the Village Green area. The Village Square and retail center will function along with the Pavilion, the Library and Municipal Complex. The Village Square component will function as a gathering element for the community and be highlighted with architectural features . The frame can function as an open air plaza with sheltering features above for the location of summer concerts, Village Christmas Tree, art fairs and various community events . Mr. Hague stated the Village Square and expansion and redevelopment of the movie theater is a feature that will enable the attraction of a cluster of restaurants to come to this project . The owner of the current movie theater has shown an interest in remaining on the property which should be an asset to the redevelopment . Restaurants would be positioned close to the entrance of the movie theater to encourage dining and taking in a movie on the same night . The balance of the tenant mix will be leased to some retail shops for clothing, houseware shops and gifts shops . The pedestrian paths, distinctive lighting, and the relocation of parking to the back of the Library were pointed out by Mr. Stuart . The retention pond has been relocated to the lower corner of the property so the land could be used for additional parking eliminating the need for a covered parking structure. The Taxman Corporation envisions having 4 to 6 restaurant categories which include family style restaurants, theme restaurants, possibly a micro-brewery and food specialty stores . 10-29-96 4 Special Meeting Audience 9 : 53 p.m. Ralph Schumann, Library Trustee, questioned the elimination of parking spaces on the north end of the property and the affect it would have on the Library. The Library employees will not be affected by this parking change but the Elk Grove employees and Village vehicles will be relocated. The Village has been discussing alternative parking for employees on Park District property. Jane Trotter, a Library Employee, questioned whether the entrance way to the library would be accessible and was informed access would remain the same. President Gallitano expressed his appreciation to the developers for their time and presentation. The audience was invited to remain after the meeting and view the plans . 6 . ADJOURNMENT Motion to adjourn the meeting at 10 : 00 p.m. Moved: Trustee Rettberg Seconded: Trustee Feichter AYES : Trustees Feichter, Johnson, Lissner, Petri, Rettberg ABSENT: Trustee Czarnik MOTION CARRIED Patricia S. Smith Village Clerk By: Ann I. Walsh Deputy Village Clerk Dennis J. Gallitano Village President 10-29-96 5 Special Meeting