Construction on a 100-unit apartment building on Route 31/LaFox Street in South Elgin could begin in mid-July following the Monday approval of a tax increment financing agreement and a special use permit.
The South Elgin Village Board voted 5-1 for both measures needed for Fox View at the River at 355 N. LaFox St. It was the third revision of development plans since first being presented in August 2016.
Trustee Lisa Guess voted against the development and associated TIF funding.
Originally, the developers sought approval for a four-story, 72-unit building with interior and exterior parking. A later revision proposed a four-story building that would go up an additional half-story on the river side.
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The plan as approved calls for a four-story building with 100 market-rate units and exterior parking only on 4.1 acres.
As part of the agreement, SCG TMG Fox View South Elgin LLC will build a permanent band shell and picnic shelter on the north end of Patton Mill Park for village events.
The band shell will be used for Riverfest and other village events, said Marc McLaughlin, South Elgin director of community development. The developer will be required to have it finished in time for the village’s 2019 festival, he said.
“In addition to a $20 million building and site improvement, the developer (also) is building a bus shelter,” McLaughlin said, “and installing Village Center standard streetscape — sidewalk, brick, stone, lighting — throughout the project.”.
The developer and village agreed on $1.2 million in TIF incentives, including $412,000 to help purchase the property and the transfer of vacated right-of-way, including parts of Stone and Kane streets and an alley,
The village also agreed to reduce sewer and water connection fees from $302,400 to $191,707, McLaughlin said.
Trustee Scott Richmond said a downtown market-rate apartment building is something the South Elgin Economic Development board has wanted for more than a decade.
“This is the residential development we have been trying to get,” Richmond said.
The hope, said Trustee Mike Kolodziej, is commercial development on Route 31 and the village center area will follow.
“We want to have our downtown area rejuvenated, and this as a catalyst for commercial development to follow,” he said.