On February 5, 2019, the Village approved a new North Lincoln Tax Increment Financing (TIF) District, to support development of the proposed District 1860 mixed-use development on 8.25 acres at the northwest corner of Lincoln and Touhy Avenues, at the site of the former Purple Hotel. This approval came after months of work between the developer, (Chicago-based) Tucker Development, and the Mayor and Village Board. The support and assistance of countless community members, through reviews by the Economic Development Commission, Plan Commission, TIF Joint Review Board (which included members of local taxing bodies, including School Districts 74 and 219, the Lincolnwood Library District, as well as Cook County, Niles Township and Oakton Community College) and the involvement of Village residents, was invaluable. At that same meeting, the Village approved a Redevelopment Agreement with Tucker Development, which detailed the concept plan for the area, as well as the developer and Village responsibilities as the project moves forward. The Village also approved an Intergovernmental Agreement with Lincolnwood School District 74 and Niles Township High School District 219 to ensure that their costs to educate any students moving into the development from outside the Village will be covered by the revenue generated in the TIF District.
The District 1860 project consists of approximately 80-85,000 square feet of commercial space (restaurants, retail and service uses), a 220 room dual-branded Marriott hotel (Spring Hill Suites and Courtyard Hotels) and approximately 300 luxury residential apartments. Tucker Development worked in partnership with the Village over much of 2019, to achieve final zoning approvals (in the form of a Final Planned Unit Development (PUD)) by the Village Board, for Phase I of the development (including all facets of the project, with the exception of the hotel), on November 19, 2019. The hotel developer, (Rosemont, IL. based) First Hospitality Group, obtained their final zoning approvals (for phase II of the PUD) on February 18, 2020. At that same meeting in February, Richard Tucker, CEO of Tucker Development announced he had signed two restaurant tenants to the development: Fatpour Tap Works (8,000 square foot restaurant and craft beer/cocktails bar) and Fat Rosie’s (5,100 square foot taco & tequila bar from the Francesca’s Restaurant Group, with restaurant concepts throughout Chicagoland).
Building Plan Reviews/Permit
Throughout the spring and summer of 2020, Tucker Development and the Village have continued a push forward, continuously moving the project closer to construction. Tucker Development submitted construction plans in March, 2020, for the mixed-use building (containing luxury apartments and over 40,000 square feet of ground-floor commercial space) in Phase I of the development. Building plan reviews are nearing completion and a permit is anticipated to ready for issuance by the end of the summer.
This past spring, the Village also completed a process of vetting the financial consultants who will serve on the Village’s team, as the Village prepares to issue approximately $35 Million in TIF Notes to assist in the financing of this $150-175 Million development. TIF Notes are a financial instrument, in which revenues generated in the North Lincoln TIF District itself are utilized to pay off the Notes. The Village is not pledging any revenues from the General Fund (which is used for the operating costs of the Village), and there will be no commitment from the Village to repay the Notes, nor a requirement by the Village to back the revenues by the Village. On June 16, 2020, the Village approved the hiring of a Bond Counsel and an Underwriter for the project. The fees for these two consultants are also paid by the TIF revenues generated in the North Lincoln TIF District, with no cost to the Village’s General Fund. The role of the Bond Counsel is to provide guidance and an opinion regarding the proposed financing through TIF Notes, ensuring that the Village is following a complicated series of applicable State and Federal laws. The Underwriter assists the Village in the actual sale of the TIF Notes, which will be sold to investors, providing the up-front funds for financing. The investors are then paid-back through the revenues generated in the North Lincoln TIF District.
Once the Building Permit is issued, all approvals are received from outside State and local agencies, and the developer’s financing and the Village’s TIF Notes are approved, Tucker Development will proceed with the demolition of the remaining Purple Hotel foundations and begin grading the property. The largest of the three proposed buildings, which encompasses the luxury apartments and ground-floor commercial space, will be constructed first. Richard Tucker, CEO of Tucker Development, has stated that he would like to begin construction by the end of 2020, with the understanding that conditions related to the pandemic, which are outside the control of the developer and the Village, may impact these time frames. The entire three-building project is anticipated to be completed and opened eighteen (18) months after construction begins, though individual parts of the project may open slightly earlier.
This page will be updated periodically as new information about the District 1860 project becomes available.