Geneva considering sales-tax incentive to fill ex-Dominick's
Geneva may offer several million dollars in sales tax rebates to attract new tenants to a former Dominick's store.
Aldermen Monday will discuss an agreement with Wauconda LLC, which owns the site at 2000 S. Randall Road.
The Dominick's chain closed its stores in December 2013.
The owner's representative, The Crown Group, has negotiated a release of the lease Dominick's owner Albertsons had for the property, according to a memo about the proposal. Albertsons had recently extended the lease for five years and was paying in excess of $1 million a year for the space, according to Geneva Mayor Kevin Burns. The lease prohibited having other grocery stores in the space.
Wauconda LLC plans to split up the 71,500-square-foot space. It anticipates spending up to $10 million to remodel the space, install new signs and improve landscaping, according to a city memo.
The proposed agreement would split the sales tax the city receives each year 50/50, until the city's portion reaches $100,000; after that, the city would get 25 percent and the developer 75 percent. The agreement would last 15 years from the start of the work and end no later than 2034.
The committee of the whole meets at 7 p.m. Monday at city hall, 109 James St.