Wheeling Town Center delayed by 'unforeseen' gas line
Construction on the $100 million Town Center - creating a long-awaited downtown Wheeling - will be delayed about three months after developers discovered "unforeseen" underground utilities.
In a monthly update to the village board Monday, developers say the obstruction, an underground gas line owned by West Shore Pipe Line Co., wasn't identified on existing land surveys.
Chicago-based Urban R2 wants to relocate the utilities. The alternative would be scaling back the retail component of the development, a mix of restaurants, almost 300 luxury apartments and outdoor space east of the Metra station on Dundee Road.
"It was very disconcerting to my development team," Urban Executive Vice President Brad Friedman told trustees.
The discovery represents the latest hiccup in a project held up by the recession and a threatened lawsuit from four taxing bodies against the village creating two tax increment financing districts similar to ones that expired.
Developers are in talks with West Shore, Metra and Canadian National Railroad to plan the utility move. Officials don't yet know the cost of doing so, but the bill would likely be shared by developers and West Shore, officials say.
Keeping the utilities in the same spot would mean a "much more downsized project," said John Melaniphy, the village's economic director. Still, both sides are hopeful developers can finally start construction by the end of the year.
Friedman also updated the board on prospective tenants. BlackFinn (a bar and grill), Blu Fish Sushi Bistro, and Red Mango Yogurt & Smoothies are some of the eateries that have expressed interest. The anchor is Flix Brewhouse, a cinema-restauarant-brewery.
In July, the village agreed to pledge up to $8.6 million in TIF district funds, money that will reimburse developers of eligible costs.
In a TIF district, property tax payments to all local governments are frozen at their current levels for up to 23 years.
The village funnels any extra property tax revenues above those levels into a special fund that can be used to help pay for improvements to the area.
Wheeling Village President Dean Argiris told developers to give another Town Center update in 30 days.
"We've got to get the shovel in the ground," he said.