Ground will be broken soon on Palatine Harley dealership

Hog enthusiasts should have a new place to shop in Palatine by this time next year, if not sooner.

Construction on a bigger, more modern City Limits Harley-Davidson is expected to begin within a few weeks. The new 40,000-square-foot motorcycle dealership will be located at Rand Road and Spruce Drive, about a half-mile southeast of the current location.

On Monday, the Palatine Village Council approved providing up to $250,000 in tax increment financing due to unforeseen site preparation costs. Dealership CEO Anthony Giglio was already due to receive the village funding under the 2007 redevelopment agreement, but the money was to be paid out in conjunction with the future construction of a restaurant on a portion of the property. Now, his company will receive the TIF funds upon obtaining a temporary certificate of occupancy. Councilmen had no issue with moving up the payment schedule.

"I still think this is a reasonable request," Councilman Jack Wagner said.

Deputy Village Manager Mike Jacobs said the soil on the property isn't contaminated, but it's also not the most suitable for a project of this type. Unexpected expenditures include excavation, tree removal, drain tiles and additional concrete for stabilization purposes.

"(The owner) is ready to go," Jacobs said. "He's just trying to find out how to offset some of these costs."

Giglio said he still intends to build a themed restaurant at some point, though he wanted to keep the details quiet for now. He hopes to have a foundation permit in hand this week or next.

Palatine officials estimate the relocation will result in at least 150 percent more sales tax revenue and a minimum of $4.5 million over the life of the business.

Jacobs isn't aware of any future plans for the current City Limits property, which is owned by former proprietors or the dealership. The village gave Giglio time allowances for the project due to military commitments.