HomeMy WebLinkAboutRESOLUTION - 50-18 - 12/11/2018 - Class 6B - 1281 JarvisRESOLUTION NO.50-18
A RESOLUTION DETERMINING THE APPROPRIATENESS FOR CLASS 6B STATUS
PURSUANT TO THE COOK COUNTY REAL PROPERTY CLASSIFICATION
ORDINANCE AS AMENDED JULY 17, 2013 FOR CERTAIN REAL ESTATE LOCATED
AT 1281 JARVIS 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 17, 2013, 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, in the case of abandoned property, if the municipality or the Mayor and Board
of Trustees, finds that special circumstances justify finding that the property is "abandoned" for
purpose of Class 613, even though it has been vacant and unused for less than 24 months, that
finding, along with the specification of the circumstances, shall be included in the resolution or
ordinance supporting and consenting to the Class 6B application. Such resolution or ordinance
shall be filed with the eligibility application. If the ordinance or resolution is that of a
municipality, the approval of the Board of Commissioners of Cook County is required to validate
such shortened period of qualifying abandonment, and a resolution to that effect shall be included
with the Class 6B eligibility application filed with the Assessor; 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 1281 Jarvis Avenue, in
the Village of Elk Grove Village, Cook County, Illinois, with the Property Index Number 08-27-
400-071-0000, 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.
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 1281 Jarvis
Avenue, Elk Grove Village, Cook County, Illinois, identified by Property Index Number 08-27-
400-071-0000, declared eligible for Class 6B special circumstances status pursuant to the Cook
County Real Property Classification Ordinance as amended July 17, 2013, 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 6 IN DAVID'S RESUBDIVISION OF THE NORTH 220 FEET OF THE EAST 420
FEET OF LOT 230 IN HIGGINS INDUSTRIAL PARK UNIT 165, A SUBDIVISION IN
THE SOUTHEAST 1/4 OF SECTION 27, TOWNSHIP 41 NORTH, RANGE 11, EAST
OF THE THIRD PRINCIPAL MERIDIAN, IN COOK COUNTY, ILLINOIS.
Section 2: That the Special Circumstances as outlined by the petitioner are attached hereto as
Exhibit "A" and made a part thereof.
Section 3: 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 Number 08-27-
400-071-0000.
Section 4: 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 closing:
a. Upgrade the facade, landscaping, signage and parking lot;
b. Upgrade the office space and warehouse space.
Section 5: 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 11th day of December 2018.
APPROVED this 1111 day of December 2018.
ATTEST:
Loretta M. Murphy, Village Clerk
APPROVED:
Mayor Craig B. Johnson
Village of Elk Grove Village
2
EXHIBIT A
SARNOFF • 13ACCASH
P R O P E It T Y T A X L A W
Special circumstances requested by 1281 Jarvis LLC
1281 Jarvis Ave., Elk Grove Wage,,Illinois (PIN: 08-27400-071-0000)
1281 Jarvis LLC ("Applicant") is requesting a Resolution in support and consent of a Class 6b
Incentive on the above -referenced property based on occupation of an abandoned property that has been
vacant for less than 24 continuous months with a purchase for value, special circumstances and substantial
rehabilitation. The Applicant plans to purchase the subject property and rehabilitate the same for its
related entity, Luxahaus, to occupy for its operations consisting of the light assembly, warehousing and
distribution of cabinets, windows, millwork and more.
The subject property consists of an approximately 15,400 square foot site with a roughly 5,525
square foot building that has been 100% vacant and unused since December 31, 2016. The property is in
need of substantial rehabilitation. Therefore, the Applicant plans to invest approximately $200,000 to
$250,000 to immediately rehabilitate the subject property. Based on initial inspections these
improvements will be to improve the facade, update the landscaping, add new signage, install a new
concrete driveway and ramp, repair the dock drive apron per Village standards, install new exterior
windows, clean and tuckpoint as necessary, install new exterior LED lights, update the landscaping, repair
the parking lot, build out a showroom, update the office, kitchen and bathrooms and repair the electrical
as well as to complete other general maintenance. Please note that all of the rehabilitation costs could
significantly vary depending on a variety of factors such as market variances. Further inspections of the
subject property may require additional improvements. The rehabilitation will create approximately 10 to
20 construction jobs.
The Applicant's related entity, MG Bros Construction, Inc., is located next door to the subject
property at 1295 Jarvis Ave. and is a general construction contractor. MG Bros Construction, Inc.
currently has 8 (all full-time) employees and has 100-200 part-time employees. Luxahaus is a new
business that will be related to the Applicant and MG Bros Construction, Inc. Luxahaus plans on hiring 2
employees (all full-time) as soon as possible, and depending on growth, the hopes to grow to 20 in the
next one to two years. In addition, Luxahaus will look to hire all qualified Elk Grove Village residents for
future hires.
Elk Grove Village can also expect that Luxahaus and its employees will invest commercially back
into the community by visiting local establishments such as restaurants, gas stations, grocery stores and
more. In addition, Elk Grove Village can expect that Luxahaus will attract business and various
customers to the Village in the course of its operations.
Based on our research and the additional costs that must be incurred to rehabilitate the building in
order for this to be a successful endeavor, the Applicant must possess a Class 6b Incentive to complete the
substantial rehabilitation thereof and to successfully operate the property. It is for these reasons that it is
necessary to grant the Applicant a Resolution in support and consent of a Class 6b Incentive for the
subject property based on occupation of an abandoned property that has been vacant for less than 24
continuous months with a purchase for value, special circumstances and substantial rehabilitation.