Grayslake to give $200,000 incentive to developers of new Dollar Tree
The Grayslake village board has approved plans to give $200,000 to the developers of a new Dollar Tree.
Over its last three meetings, the board has approved more than $1.5 million in economic incentive packages with businesses.
The Dollar Tree is being built at 1015 E. Belvidere Road. It will be across the street from FLAG Chevrolet, which the village board agreed to give $1 million at its June 5 board meeting. And at its June 19 meeting, the board agreed to give $350,000 to the developers of a new downtown restaurant at 250 Center St.
"This is another one that will help bring a business to town," Mayor Rhett Taylor said Tuesday.
Under the plan, the village money will be granted after construction is finished and the store is open for business. Assistant Village Manager Brett Kryska said the building permits for the store were finalized in June, and workers have begun the building's foundation.
Taylor said Thursday that while the three projects involved village funding for developers, each was done for different reasons.
The deal with FLAG Chevrolet - which is occupying an old site of Rockenbach Chevrolet, one of Grayslake's oldest businesses - was more about business retention, Taylor said. Developers of the new restaurant, meanwhile, intend to restore and expand a historic building and preserve its look.
"That's not just attracting a business to downtown, that's also about maintaining our historic facades," Taylor said.
The incentive plan for the Dollar Tree is more about attracting a new business, he said.
"It diversifies the property tax base, gives us a new business and increases the built environment," Taylor said.
He said the Dollar Tree will generate between $5 million and $7.5 million in annual sales, which means the village will collect between $50,000 and $75,000 in annual local sales tax.
"It does add to our revenue stream somewhat and the incentive, once they complete, would be recouped fairly quickly within a few years after their opening," Taylor said.
The $200,000 the village will give to developers is around 11 percent of the total construction cost.
According to village documents, the Dollar Tree plans to employ six to eight full-time employees and 10 to 15 part-timers.