Mount Prospect Fatpour still on tap, as developer’s criminal history surfaces

Mount Prospect officials say a proposed Fatpour Tap Works location for the downtown remains a priority, even as the project sits in a holding pattern — and with information surfacing about the developer's checkered legal history.

The village approved the plan for the restaurant at 200 S. Main St. in February, along with up to $800,000 in Tax Increment Financing assistance. It would be the fourth Fatpour location, joining two Chicago spots and one in Lincolnwood.

Arthur Holmer, founder of Big Onion Hospitality Group, the developer and operator of Fatpour, pleaded guilty in December 2015 to a federal bank fraud charge, admitting he submitted false loan documents to obtain $6.5 million in financing on two Chicago buildings, according to published accounts and court records. He avoided prison but was required to pay a fine and perform community service.

Village Manager Michael Cassady confirmed the village was unaware of Holmer's past legal issues during the approval process.

Village officials said conducting a criminal-background check would have been unusual for a municipality. Denying the application on the basis of a past record could expose the village to litigation, they added.

Cassady said that Holmer's recent track record gave officials confidence.

“He has closed several deals and has successfully opened very strong restaurant concepts,” he said. “What occurred with him 10 years ago isn’t necessarily material.”

Financing remains the central obstacle. The developer has yet to secure funding or close on the property and is reportedly seeking a small business loan.

Cassady said the TIF reimbursement is performance-based, triggered only after the project has cleared waivers and the work is complete.

Meanwhile the clock is ticking on the development agreement, and Cassady said the developer is running behind schedule.

Still, the village remains enthusiastic about the proposal.

“We thought it fit in really well with the mix of businesses downtown,” Cassady said.

Attempts to reach Holmer were unsuccessful.