Special financing district considered to spark private investment in downtown Antioch

Antioch is preparing to establish a special financing district to spark private investment and other improvements in its downtown area.

Village officials this week set a Nov. 12 public hearing date and established a registry for interested parties that want to be in the loop of what's happening with a proposed tax increment financing district.

“The goal is to encourage private investment downtown that is otherwise not occurring,” said Andrew Lichterman, village administrator.

The public hearing and registry are the first steps in a process, Lichterman said, before the district is officially created.

For decades, the sometimes controversial mechanism has been used by communities throughout the region as an incentive to boost interest and provide public incentives for redevelopment.

To do that, property values in a designated area are frozen for up to 23 years to affected taxing bodies. Property tax is calculated on the higher value as improvements are made and the increase (increment) is set aside to be used for a variety of development-related expenses.

A study commissioned by the village and released earlier this month outlined why Antioch's downtown is eligible under state law governing TIF districts. The general bottom line in any TIF district consideration is that without the assistance an area wouldn't improve on its own.

The study by the Chicago firm SB Friedman Development Advisors LLC, estimated there would be $76 million in eligible redevelopment costs in Antioch's TIF district.

The company also reported the current $15.4 million existing equalized assessed value of all taxable parcels in the proposed TIF would increase to an estimated $144 million by the end of the TIF in 2050.

In Antioch, the proposed TIF redevelopment area spans about 108 acres consisting of 203 tax parcels generally bounded by Lake Street, Hillside Avenue, Orchard Street and Williams Street and the Metra North Central commuter rail service.

It includes vacant and improved properties and about 119 buildings. The vacant land is designated as blighted because of a lack of growth in property value.

The improved portion is eligible as a “conservation area” with 91% of the buildings over 35 years old. Deterioration, lack of growth in value, inadequate utilities and structures below minimum code standards are other factors that make it TIF eligible.

Encouraging construction of new commercial, residential, civic/cultural, public, and recreational development is among eight plan objectives.

Replacing the former village hall buildings the key corner of Main Street (Route 83) would likely be candidate for TIF assistance. An informal presentation envisioned a mix use with a restaurant on the ground floor and residences above but a formal application hasn’t been submitted.

mzawislak@dailyherald.com