Des Plaines to pay Jewel-Osco $100,000 for storefront improvements

Des Plaines will pay Jewel-Osco $100,000 to help spruce up building fronts at two of the chain's grocery store in the city.

Aldermen voted this week to grant the $100,000 incentive - the total amount the city had budgeted for its facade improvement program this year - to the chain, which is planning $3 million in renovations for its stores at 1500 Lee St. and 819 Elmhurst Road.

Officials said they could replenish the facade program with funds from city reserves if other businesses apply for assistance this year.

Under the program, business owners can be reimbursed with city dollars for making improvements to storefronts. The city modeled the program after similar incentives in the city's downtown tax increment financing district.

For the facade improvement program, owners of multi-tenant commercial buildings can get half their expenses reimbursed, up to a maximum of $50,000 for a project. After the first year of the program in 2015, the city had $69,000 left over in the fund, officials said. In 2016, the fund had $8,000 unused.

Although the package won council approval, some aldermen questioned spending tax dollars on such a large company. Jewel-Osco operates 186 stores in Illinois, Indiana and Iowa as part of a larger conglomerate with more than 2,200 stores nationwide, according to the company's website.

"It just strikes me that this program ought to be more in place for small businesses, not the Jewel-Oscos of the world," 7th Ward Alderman Don Smith said, who voted for the measure after city staff members told him they would continue advertising the program to other businesses this year.

Fourth Ward Alderman Dick Sayad said he was glad the city reached out to the company.

"I know they have a lot of money and all that," Sayad said. "But still, they're residents and they do pay taxes here."