Yorkville approves $500,000 incentive plan for downtown
By Steve Lord email@example.com April 10, 2012 9:18PM
Updated: May 12, 2012 8:11AM
YORKVILLE — Aldermen unanimously approved a $500,000 property tax break for Imperial Investments for downtown redevelopment.
The break is largely for work already done to renovate Cobblestone Bakery and Bistro and Imperial’s offices, at Route 47 and Van Emmon Road, and the Follies Theater next door.
It also covers work Imperial is doing on apartments at 202 and 210 E. Van Emmon Road, and 306 and 308 Heustis St.
Imperial signed a development agreement last year with the city to redevelop the properties, which are all in the city’s downtown tax increment financing district. Imperial has agreed to spend a total of $2 million on the projects.
The city, in return, this week agreed to give back $500,000 in property tax breaks for the properties, which the city will cover with money from the TIF district.
In a TIF district, property taxes are frozen for all taxing districts, and money from increasing property values, which is the increment, is funneled into a special fund to encourage development. The downtown TIF district will expire after 23 years in December 2013.
The incentive was passed to the council unanimously from the Economic Development Committee, and committee members praised the work that already has been done downtown and will be done in the future.
“We’ve been trying for 10 years to redevelop downtown, and we’re finally getting something done,” said Alderman Marty Munns, 3rd Ward.
Imperial Investments was formed by Rick Tollefson and partners to facilitate the downtown redevelopment. Tollefson also owns Boombah Sports Wear, which relocated to Yorkville from Ottawa last year.
“I’m very glad both Boombah and Cobblestone are here,” said Mayor Gary Golinski.
The developer would finish the three projects by Dec. 31, 2013, according to the agreement.