In exchange for the extension from the village, the developer has agreed to make repairs at their cost to the existing parking garage to keep it open until spring of 2014, and reimburse the village for any lost tax increment financing (TIF) monies that could result from the delay, according to a village staff memo. The village would use the TIF funds to pay for its share of the new public parking in the development.
The Village Board in January 2012 approved the plans for a new 20-story retail and residential building that will contain 20,000 square feet of retail space and 270 apartments. Per the agreement, developer Sertus Capital Partners—the former name of Lake Street Investors—will construct a parking garage with 588 spaces, 300 public and 288 private, replacing the currently deteriorating L-shaped garage.
According to the Wednesday Journal, PNC Bank is demanding $4.9 million in principal and interest from Lake Street Investors, LLC, for a mortgage loan provided in 2006 to finance the acquisition of the property at 950-954 W. Lake St. Abu-Taleb said Tuesday the developer hasn't made a payment on the property since March 2012.
The Journal also reported the development firm could change hands to Golub & Company, where Michael Glazier, Sertus' face of the development, started work in August. A Sertus spokesman told the paper Golub has had discussions with Sertus and with PNC Bank about taking over the development and buying the past due note. (Read the Sept. 17 Wednesday Journal article here)
Salzman said at an Oct. 8 community forum that the main issue the village faces at this point, with regard to the development, is a legal one, due to a "very tightly-crafted" redevelopment agreement. He added the fact that the developers asked for an extension after missing their deadline will make for an "interesting conversation" among board members.
The Village Board meets at 6:30 p.m. Monday, Oct. 21, at Village Hall, 123 Madison St., Oak Park.