Algonquin's Riverside Square sold

Riverside Square in Algonquin has a new owner, but plans for the future of the vacant, half-built property in the heart of downtown are still up in the air.

Village Manager Bill Ganek said he had a brief meeting Friday with developer John Breugelmans, who told him the sale of the property was finalized earlier this week.

“I don't know if it was sold directly to Mr. Breugelmans or to a corporation,” Ganek said, adding he didn't know what the sale amount was.

Breugelmans, principal for Lakeland Asset Management, did not disclose his plans for the property, Ganek said.

“Depending on what his plans are, we'll have to explore what the options are,” he said.

In January, Breugelmans said he had been interested in buying the property at Routes 31 and 62 since March 2010, and wanted to complete its construction into mixed-used retail and condominiums. He did not submit a bid for a court-ordered auction of the property Jan. 20 because he thought the minimum $1.25 million bid was too high, he said.

The construction of Riverside Square started in 2007 but halted in 2008 when the builder defaulted on his loans. Multiple lien-holders have claims against the property totaling about $2.1 million, according to a local attorney.

About a year ago, the village filed a lawsuit to force then-property owner Amcore Bank to demolish the vacant property. Amcore was later taken over by Harris Bank.

As for the village's outlook on the recent developments, Ganek remained neutral.

“If it's positive progress, I guess it would be good. We're reserving judgment until we know better what the plans are,” he said. “I'm sure we'll be having more discussions with him.”

Breugelmans did not respond to requests for comment.