The Oswego Village Board Tuesday will consider a revolving loan and a grant for a new pizzeria planned downtown.
The owner of the property at 5 S. Madison St., EJ Vision LLC, was awarded $40,000 in village grant funding earlier this month for a “fast casual wood-fired” pizza place called Billy Bricks, which has several locations operating in the Chicago area.
Now, the owner of Billy Bricks is requesting $232,716 in loan funding from the village and a $40,000 grant – separate from the earlier grant – to “help offset the high building material and construction costs that exist in the current market.”
“This represents a total financial assistance package of $272,716 for the project. The requested incentive amount is based upon a total project budget of approximately $545,432,” Oswego Economic Development Director Kevin Leighty said in a report to trustees.
“The project budget is comprised of costs for the design and construction of the buildout which includes architectural drawings, installation of a walk-in refrigeration unit, new HVAC and fire alarm systems, and individual estimates for the carpentry, plumbing, electrical, flooring and concrete work,” Leighty said. “Due to the extent of the work needed to convert this building to a functional restaurant space, the property owner EJ Vision LLC was approved for $40,000 in grant funding independently from Billy Bricks last month.”
EJ Vision has its own separate project budget that involves the installation of a grease trap, a new fire sprinkler and alarm monitoring system, and various water and sewer service line upgrades to support the new building improvements. Those improvements are valued at approximately $130,000, Leighty said.
The village’s grant program has a $248,281 balance which is “adequate” for the award request, Leighty said.
The village’s revolving loan fund and grant programs were established to provide financial assistance to new or expanding businesses in Oswego, he said.
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The loan would have an interest rate of 3%, with a 10-year maturity date of July 1, 2036, according to village documents.
“The village will earn 3% from the investment and will also receive additional TIF increment from the improved equalized assessed value along with sales tax dollars from the sales made at this new business,” the Oswego economic development director said of the proposal.
Linda Girardi is a freelance reporter for The Beacon-News.