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Proposal calls for replacing ‘aging, underutilized’ Regal Lake Zurich theater with apartments

Developers are seeking feedback from Lake Zurich officials for what would be the largest residential community in town.

The proposed 282-unit June Terrace mixed-use development also would include a quick-serve restaurant on an outlot about 20 acres known as the Regal property at 755 S. Rand Road (Route 12).

MJK Real Estate Holding Company LLC, a Deerfield-based retail and restaurant developer, and Continental Properties Company Inc., a privately-owned Wisconsin-based firm that has developed 35,800 homes in 20 states, are partnering on the proposal.

  MJK Real Estate Holding company and Continental Properties Company are proposing a mixed-use development on the 20-acre site commonly referred to as the Regal cinema property at 755 S. Rand Road in Lake Zurich. Joe Lewnard/jlewnard@dailyherald.com

Each will present concept plans for a nonvoting courtesy review during the village board meeting at 7 p.m. Monday at village hall, 70 E. Main St. or online live or after the fact at lakezurich.org.

The residential portion, described as a “diverse and unique housing type,” envisions 282 apartments from studio to three-bedrooms, in eight, 3-story buildings. The restaurant would be 4,000 square feet and feature indoor and outdoor seating, according to the proposal.

“This would be the largest development Lake Zurich has experienced at 282 units,” said Michael Duebner, assistant village manager.

The overall development will require partial rezoning to accommodate the combined uses.

Regal Cinemas’ parent company, Cineworld, went into bankruptcy in early 2023 and announced the closure of dozens of locations. Lake Zurich wasn’t on the list at the time but that apparently changed and the property has been for sale.

“They decided to divest of the Lake Zurich location,” Duebner said. “It’s an older property and they would have to make considerable reinvestment.”

Rendering of rental units for the June Terrace development being proposed on the 20-acre site at 755 S. Rand Road, commonly referred to as the Regal property. Courtesy of village of Lake Zurich

The entire site totals about 23 acres and includes undeveloped land to the south.

  A proposed mixed-use development including a 282-unit rental community and a quick-serve restaurant is planned for 20 acres at 755 S. Rand Road in Lake Zurich commonly known as the Regal property. Joe Lewnard/jlewnard@dailyherald.com

As planned, the project would add value to the area by replacing the “aging, underutilized theater” with an unnamed national restaurant chain alongside a “walkable, high-end rental residential community to reinvigorate this section of the Rand Road corridor,” according to materials presented to the village.

June Terrace would feature a clubhouse with a 24-hour fitness center, resident lounge and leasing office. Amenities include a resort-style swimming pool, leash-free pet park, car care center, 24-hour maintenance and a dedicated on-site team.

The apartment community would expand housing options for young professionals and empty nesters, according to the plan. About 46,000 vehicles daily travel on busy Rand Road.

“It’s an interesting discussion,” Duebner said. “They feel strongly about the site and the location.”

Meanwhile, construction is ongoing at Continental’s the Springs at Mundelein, a “garden-style” community of 147 apartment homes on the west side of Butterfield Road south of Huntington Drive in Mundelein.

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