Lake Zurich has formalized an agreement that continues a 75-day exclusive window for a developer to prove he can build a project to rejuvenate a section of the village's downtown.
Now operating as LZ Promenade LLC, developer John Breugelmans wants to erect a four-story building on roughly 2 acres overlooking the village's namesake lake. His plan for the taxpayer-owned property calls for a mixed-use structure with 60 rental apartments that eventually would be converted to condominiums, along with a restaurant, bar, coffee shop and ice-cream parlor.
By a 5-0 vote Monday night the Lake Zurich village board approved an agreement of understanding that continues the 75-day exclusive period Breugelmans has had for the land since April 1.
As part of the agreement, Breugelmans was supposed to make a $10,000 deposit for the public property, using certified funds, within 48 hours of village board approval. Village President Tom Poynton confirmed Breugelmans provided the cash to Lake Zurich on Wednesday.
Poynton reiterated Thursday that "the clock is ticking" on Breugelmans.
Under the deal, Breugelmans must provide "satisfactory proof" to village officials that he has adequate, available financing to complete the project. His deadline is June 7.
Lake Zurich also is demanding Breugelmans "and any other legal entity making the development proposal as owner, his partner or participant" certify being financially sound, current in all obligations and not owing money to any other governmental unit. The agreement also says Breugelmans or others in the project must certify they have not declared bankruptcy or defaulted on a loan in the past seven years. What Breugelmans proposes for the 2-acre site is similar to a project he and noted architect Lucien Lagrange pitched to Lake Zurich officials last year. The property was described as suitable for "destination retail" in a July 2012 presentation submitted to the village.