East Dundee may include retail shops in proposed parking deck

A downtown parking deck in East Dundee could include space for retail shops on the main level.

Trustees this week approved a $167,000 contract with McHugh Construction Co. in Chicago to come up with plans for a two-story parking deck for the downtown district. The city expects to close next month on property at 309 Jackson and 304 Hill, near the intersection of Jackson and River streets.

The village proposes using both parcels, totaling about 3/4 of an acre, for a parking deck to help meet the demand for parking spaces in the downtown district, which currently has roughly 700 parking spaces.

“There’s been a shortage of parking for several years due to the successful nature of the downtown and our successful events,” East Dundee Village Manager Erika Storlie said.

The Chicago-based firm will draft plans for a two-level parking deck without retail space and a two-level parking deck with retail space on the main level facing River Street.

While trustees suggested having retail space on the lower level could be a benefit, Village President Jeff Lynam questioned if the village should be getting into the retail business.

“We’re treading in very dicey waters here,” he told trustees at Monday’s village board meeting. “This is not what we’re supposed to be doing with public funds. We are not land speculators.”

Trustees, however, noted they are simply asking for options for the parking deck and not committing to one plan or another at this time. Initial estimates show a two-level parking garage with 163 spaces would cost the city $6 million to build.

While the village has struggled with downtown parking, some trustees indicated they would prefer giving up some spaces to get more out of a parking deck.

“I’m not going to spend $6 million on a parking garage that’s just going to give us parking,” Trustee Scott Kunze said. “If it’s going to give us more than that ... if we can do that, then I can get on board with the parking garage. But I’m not going to give $6 million for just parking spaces.”

Kunze and others said the city could sell the retail space to a property manager, who would then work to lure tenants to the space. Trustee Kathleen Mahony said additional retail spaces could be a benefit not just to the downtown area but could also boost sales tax revenue for the village.

Trustees on Monday also approved terms for the purchase of the property for the parking deck.

Under the terms, the village could not charge for parking for the first five years and could not host any public or private events on the property which is adjacent to other downtown businesses.

The village hopes to begin construction on a parking deck this summer and have it substantially completed by November, Storlie said.