Lake Zurich sells downtown land to developer who plans to make the site a ‘destination’

The Lake Village Board approved the sale of some prime downtown real estate to True North, a development firm that promises to make the retail space “great.”

The property is at the corner of Main Street and Old Rand Road and currently has three retail units, including an ice cream shop and a shoe repair store. Since 2006 the property has been owned by the village, and True North, the Chicagoland developers, have agreed to buy it for $200,000 plus an investment of $1.5 million in repairs and renovations — both inside and outside the property — within two years, according to terms of the sale.

The property will be developed within a tax increment financing district – a special, temporary taxation intended to keep tax dollars within an area for the purpose of redevelopment – and True North will get $100,000 in reimbursement from that fund during the redevelopment. After that, the village will get the tax proceeds from the TIF through 2038 – when it is set to expire, according to the terms approved at the March 4 Village Board meeting.

A representative from True North announced the planned project in early February and at the meeting last Monday night. The board approved the deal without objection. Village Management Services Director Kyle Kordell told the board nothing in the proposal had changed since village trustees’ initial review, though the petitioner was again on hand to answer any lingering questions

Kordell called the sale and anticipated redevelopment an “exciting opportunity for the main street district.”

George Ieremciuc, the owner of True North, praised both the village and the property, though he stressed the property could be improved and that he would do it.

“It has to look good, it has to be accessible and it has to be inviting to go in,” Ieremciuc told the board. “I don’t like to quit until it becomes a destination.”

Given the extensive renovation both inside and outside that Ieremciuc has planned, Trustee Marc Spacone asked whether the developer would harm existing businesses by closing them for renovations.

“How do you do the renovations inside and support the current tenants so they don’t experience a hardship and end up going out of business?” Spacone asked.

Ieremciuc said he had not figured that out yet.

“Maybe I can supplement some loss of income [with] like free rent or something like that. But I need their cooperation,” he said. “Or maybe it’s a new tenant and I build it to their specifications, or if it’s an existing tenant they might have to move out for one or two months.”

Mayor Tom Poynton also expressed concern that scaffolding outside the building could impact walkways during summer events in the village, though Ieremciuc said he could get rid of the scaffolding during any downtown events. He said external work wouldn’t shut down any stores or close sidewalks.

After a 10-minute discussion, trustees seemed satisfied with the proposal and the Village Board passed the agreement and without any further objection.

Jesse Wright is a freelancer.

Related posts