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Can changes to downtown zoning ordinances help Elgin attract new businesses?

The city of Elgin hopes updates to its downtown zoning ordinances will help attract new businesses while providing flexibility for those already there.

Last week, city council members unanimously approved four amendments to the city’s downtown code.

The changes — designed to eliminate unnecessary delays and reduce application fees for new businesses — were the result of a collaboration between city staff and the Downtown Neighborhood Association.

“This is definitely going to make Elgin more attractive to new businesses,” said Jennifer Fukala, DNA’s executive director. “And it shows that Elgin has heard the feedback and has made adjustments and is ready to do business in a different way.”

The first amendment creates an artisan industry classification that allows businesses to create and sell goods from the same location.

Businesses under 5,000 square feet with production processes that don’t involve extreme temperatures or hazardous materials, such as fine artists or candy makers, can now operate without a conditional use permit.

The second change increases the amount of floor area businesses can allocate to accessory use — think repairs for a retail bike shop or the like — from 10% to 30%.

The third amendment allows businesses such as art galleries, billiard parlors, churches, movie theaters and physical fitness facilities to hold large gatherings without applying for conditional use permits, which are costly and can take three to six months to be approved.

Fukala said these changes reflect numerous examples of challenges businesses have faced in the downtown for the past six or seven years, especially post-pandemic.

“We told businesses during COVID that they needed to evolve to survive. But our ordinances didn’t evolve along with it,” she said. “This is basically codifying that flexibility.”

A fourth amendment adjusts the minimum apartment size in the downtown districts from 600 square feet plus 250 square feet for each bedroom to simply 600 square feet. Numerous downtown buildings have had to seek approval for departures from the requirement over the years, including the Elgin Tower Building and Courtyard at 40. The change streamlines the process for building owners.

Director of Community Development Marc Mylott said that while the old ordinances may seem restrictive now, they were put in place for good reasons at the time.

“Circumstances change, conditions evolve,” he said. “Zoning ordinances are living, breathing documents. And this reflects that.”

Council member Tish Powell called the changes “a great first step.”

“This is exactly what we should be doing,” she said. “We’re eliminating barriers that exist that don’t necessarily have to exist.”

Fukala lauded city staff and the volunteers of the DNA board for their efforts.

“This is a lot of the unglamorous stuff that goes on behind the scenes, but it’s some of the most impactful things we can do to move forward and foster business growth downtown,” she said. “Businesses have to get creative to survive. We don’t want our ordinances holding them back from that creativity.”

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