Mayor: Home and commerical projects help Vernon Hills emerge from financial downturn
A solid financial position, need for more senior housing and a recovery in building activity, were among the highlights outlined Thursday by Vernon Hills Mayor Roger Byrne in a wide-ranging report on the state of the village.
Remaining a leader as a regional shopping center, enhancing revenues to fund municipal operations, and the state's dire financial condition are among the challenges the village faces, he added.
About 30 people, including village staff members, heard Byrne deliver one of his periodic status reports on village achievements and challenges. The presentation will air on the local Channel 4 over the next several weeks and will be posted on the village's YouTube site, which is accessible through www.vernonhills.org/.
Byrne said the village is continuing a steady recovery from the recession, adding that the commercial vacancy rate is the lowest in five years.
However, several sales tax incentive packages, including one that brought a Mariano's grocery store, were needed to weather the downturn. The village does not levy a local property tax and wants to keep it that way, he added. The strategy appears to be succeeding, and the rebate offered to Mariano's could be paid off in four years rather than the scheduled 10, he said.
"We did a lot during the Great Recession of keeping the (shopping) centers alive and thriving," he said. "Going forward we still have some valuable land zoned for retail, and I think we'll see activity on some real important pieces in town in the next year or so."
The village attained an AAA bond rating from two rating services, making it a rarity among municipalities, Byrne noted. Good bond ratings result in lower interest rates, and the village was able to save $1.5 million by refinancing outstanding debt, he added.
Byrne also cited the $50 million renovation at Westfield Hawthorn shopping center as a highlight. A quarter percent home rule sales tax was implemented to offset the cost of the incentive package for that project and to fund improvements in the village.
As for construction, Byrne said building permit activity has recovered to pre-recession levels. He cited home construction in the upscale Gregg's Landing subdivision, as well as the emergence of the Oaks of Vernon Hills luxury rental community, as examples of progress.
The village wants to bring more senior housing to town, but is not in active negotiations with any developers, he added.
Asked by a resident why the village approved construction of a Menards home improvement store on Milwaukee Avenue and Gregg's Parkway, when Lowe's and Home Depot already operate in the village, Byrne said each store has "varying degrees of expertise and service." The village wouldn't deny a grocery store proposal because there already are three in town, he said.