Developer to rescue failed Buffalo Grove project
With a once-booming housing market hit by the recession, an established homebuilder is coming to the rescue of a stalled Buffalo Grove development.
In 2004, Buffalo Grove approved the Villas of Chestnut Ridge, a development of 21 single-family homes on the east side of Prairie Road at Daybreak Terrace.
But only three homes are even close to being built, while the other 18 lots remain fallow.
Enter Red Seal Development Corp., which has been responsible for such Buffalo Grove projects as the Villas of Manchester Greens.
Red Seal has entered into an agreement with Parkway Bank and Trust Co., which now owns the subdivision, to complete the project, although because of the market, plans have been scaled down.
Todd Fishbein, president and CEO of Red Seal, told the Buffalo Grove Village Board recently that the homes - once projected to sell in the high-$500,000 and mid-$600,000 range - are expected to sell in the low- to mid-$400,000 range, with similarly scaled-down architecture, although, he said, it would be consistent with the aesthetics of the area.
"The most critical aspect of this plan, in our opinion, is to offer product that is a Red Seal quality home in Buffalo Grove at a price point that reflects today's market, as opposed to the market from two (or) three (or) four years ago," Fishbein said.
The board agreed to change the annexation agreement that brought the project into the village to reflect the architectural changes.
It also agreed to relax the deadline for Parkway to pull down an unused cell tower.
Eugene Kraus, representing Parkway, said no one previously associated with the tower is stepping forward to remove it.
"I'm not certain who to even speak to about removing it, except for calling some guys that I know to come over with saws and a torch," Kraus said.
The board will allow Parkway to explore its options, setting a deadline of April or whenever the first occupancy permit on one of the 18 homes is issued for the tower to come down.
Buffalo Grove Trustee DeAnn Glover said she was pleased with the design of the new homes. "They aren't just square boxes," she said, adding that it will be nice to drive down the street without seeing hills of dirt.
Trustee Jeffrey Braiman praised Red Seal's reputation, stating that he has had the opportunity over the past 32 years to work with Red Seal on a number of real estate matters, representing purchasers, "and I have always found them to be excellent developers."
Fishbein said Red Seal has handled similar projects, including one in Antioch involving 27 homes.
One area resident, Tushar Patel, mentioned to Fishbein during the meeting that, "Nobody is taking care of the land period," noting that any time it rains, puddles remain and are slow to evaporate. He also said tall weeds are a problem. He added, "A lot of the dirt drifted and damaged my fence,"
Fishbein assured him that part of the arrangement with the bank will address stormwater and pollution issues.
He said the weeds will come down in size, but the root structure will have to remain as part of the erosion control.
"We'll keep it clean," he said.