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HomeMy WebLinkAboutRESOLUTION - 22-20 - 4/14/2020 - Class 6B 1851 Touhy AvenueRESOLUTION NO.22-20 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 1851 TOUHY 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, 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 6B, 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 1851 Touhy Avenue, in the Village of Elk Grove Village, Cook County, Illinois, with the Property Index Number 08- 35-102-032-0000, 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 1851 Touhy Avenue, Elk Grove Village, Cook County, Illinois, identified by Property Index Number 08-35-102-032-0000, declared eligible for Class 6B special circumstances 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: NORTHEASTERLY OF A CURVED LINE CONCAVE NORTHEASTERLY AND HAVING A RADIUS OF 290.0 FEET, SAID CURVED LINE BEING DRAWN FROM A POINT OF CURVE ON THE SOUTH LINE OF LOT 49 IN CENTEX INDUSTRIAL PARK UNIT 6 AFORESAID, 36.54 FEET EAST OF THE SOUTHWEST CORNER THEREOF, TO A POINT ON THE NORTH LINE OF LOT 51 AFORESAID 25.23 FEET EAST OF THE NORTHWEST CORNER THEREOF, IN CENTEX INDUSTIRAL PARK UNIT 6, BEING A SUBDIVISION IN SECTIONS 26 AND 35, TOWNSHIP 41 NORTH, RANGE 11, EAST OF THE THIRD PRINCIPAL MERIDIAN, ACCORDING TO PLAT THEREOF REGISTERED IN THE OFFICE OF THE REGISTRAR OF TITLES OF COOK COUNTY, ILLINOIS ON DECEMBER 8, 1961, AS DOCUMENT NUMBER 2011608. 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- 35-102-032-0000. Elk Grove Village is in receipt of an economic disclosure statement that is required with the application packet. 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. Installation of a new security system; b. Upgrade and paint fagade; c. Seal coat and stripe parking lot; d. Structural repairs and upgrade landscaping; and e. Install new energy efficient LED lights and other general maintenance. 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 141h day of April 2020. APPROVED this 101 day of April 2020. ATTEST: Loretta M. Murphy, Village Clerk APPROVED: Mayor Craig B. Johnson Village of Elk Grove Village Exhibit A 1_.I's' I'(YN& specWUMMMUM 1851 Touhy Ave, Elk Grove Village, IL 60007 PIN: 08-35-102-032-0000 1851 TOUHY, LLC (the "Applicant") is the contract purchaser of the above referenced property (the "Subject Property") and is requesting a Resolution from Elk Grove Village supporting and consenting to a Class 6b Tax Incentive for the Subject Property based on re - occupancy of vacant property for less than 24 continuous months vacancy with a purchase for value, special circumstances and substantial rehabilitation.. The Subject Property is approximately 54 years old and currently consists of an approximately 13,500 square foot industrial building located on a 26,697 square foot site. The Applicant plans to lease the property to a related entity, Kemco Trucking, Inc. (the "Occupant") who will use the site to expand its growing business. Kemco Trucking is currently located in Elk Grove on Estes Avenue. With the new facility, Kemco's properties will work synergistically with some employees splitting time at each location. A number of Special Circumstances exist for this property. First, the Subject Property has not been vacant for over 24 continuous months. The previous occupant vacated on September 1, 2019, leaving the property 100% vacant and unused. At the time of closing, the property will have been vacant and unused for approximately 8 months. Without the incentive with special circumstances, the property would sit vacant and unused until it hits 24 continuous months vacancy. Based on the increasing Cook County tax burden, industrial properties without a tax incentive are at a distinct disadvantage, especially in Elk Grove Village. By allowing the property to sit vacant for the 16 additional months needed for reoccupation without special circumstances, the Village would lose significant property tax revenue, potential employment and other economic and societal benefits resulting from the increased employment. This project also involves an existing company already headquartered in Elk Grove. Kemco Trucking is located at 1825 Estes Avenue and has been rapidly expanding over the past year. Kemco has run out of space at its current location, and must quickly expand into the property located at 1851 Touhy to keep up with demand. Kemco already has 110 frill time employees and 30 part time employees in the Village. They plan to transfer about 10 current employees to the new location, and initially hire approximately 7-10 new full time employees. Kemco would greatly prefer to keep its locations within the same general area, and the property at 1851 Touhy is the ideal location. Without the assistance granted by the 6b, Kemco Trucking may need to look to neighboring Villages, Counties or States to continue its rapid expansion.