New life for old Arlington Heights gas station?
Steve Ragusi tried to build a Capt'n Nemo's sandwich shop at the northeast corner of Arlington Heights and Golf roads almost 10 years ago. Arlington Heights planners had some issues with the plan and available parking on the site, so Ragusi dropped the idea and did nothing.
The property deteriorated with each passing year. Today, the abandoned gas station site consists of weeds and a boarded-up building.
"You want it to look pretty, fine, but don't ask me to do it," Ragusi said. "I want to make money. I've been eating the property taxes on that site for the past 10 years. If the village wants to condemn it, fine. It's better than nothing."
So the village board did.
On Monday, the board approved a "purchase or condemnation ordinance." This means village officials will make an offer to buy the property from Ragusi based on its fair market value. If the two sides can't reach an agreement within about 60 days, Village Attorney Jack Siegel will file a condemnation lawsuit in Circuit Court - which probably is where the two sides will end up.
"We're so far apart, it's not going anywhere," said Siegel at Monday's village board meeting.
The issue in court will be only the value of the property. The site is located in a tax increment financing district, so village has the power of condemnation. Once a price is reached, the village will pay to clean up the site using TIF funds and then sell it to a private developer, Siegel said.
Trustee Bert Rosenberg was the only trustee to vote against the ordinance, saying a vacant gas station site might end up costing a lot of money to clean up.
"I'm worried about potential costs, both actual and environmental," said Rosenberg after the meeting.
Other village officials said something has to be done to clean up one of the worst-looking and most visible areas in Arlington Heights.
"We've had numerous complaints from residents," said Village President Arlene Mulder. "Neighbors are asking me, when is the village going to do something?"
Arlington Heights officials have been trying to redevelop the 35 acres - which includes the International Plaza - since 2002, when the village board declared the area blighted and formed a special tax district to spur redevelopment. The tax increment financing district allows the village to use the extra property tax revenue generated by the improvements to pay for certain redevelopment costs.
One day after the board's declaration six years ago, owners of XSport Fitness, an International Plaza tenant, filed suit challenging the idea the area was blighted. A few years later, owners of Arlin-Golf Plaza and the entire International Plaza filed similar suits. Many of those lawsuits are still tied up in court.
In May 2007 the village board terminated a plan to demolish the International Plaza mall and build a 174,000-square-foot SuperTarget store located just east of the abandoned gas station. The deal would have reimbursed Target up to $19 million. The board cited a lapse of time due to pending lawsuits, increased costs and changing economic conditions as to why the deal fell through.
So far, no other developer has submitted a plan to redevelop the area since Target backed out, said Charles Perkins, director of planning and community development.