Developers of a high rise at Lake and Forest in Oak Park face a $4.9 million lawsuit filed earlier this summer by PNC Bank, and have requested a 180-day extension from the village to begin construction, the Wednesday Journal reported Friday.
According to the 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. The Journal reports no payments have been made since a balloon mortgage was due in March 2012.
Construction was slated to begin by Sept. 1, or the planned development permit with the village would expire. The developers wrote the village Aug. 28 to ask for the extension, according to the Journal.
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 luxury apartments. Per the agreement, the developer will construct a parking garage with 588 spaces—300 public and 288 private.