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Naperville pledges $450,000 in exchange for preservation of Kroehler mansion

To better serve those who have autism and other developmental disabilities, Little Friends needs a new home.

To afford a new home, the agency needs to sell its legacy campus in the heart of Naperville. And before the sale can be finalized, the buyer needs to secure city approval for a redevelopment plan that preservationists hope will incorporate the historic Kroehler mansion.

Little Friends cleared the first hurdle in that process Tuesday when the Naperville City Council voted 7-2 to offer a $450,000 incentive to ensure the more than century-old house is preserved.

The Wright Street property could be sold at a higher value if the building was razed and the site cleared, Little Friends President and CEO Mike Briggs said. The incentive agreement aims to compensate the nonprofit for accepting a lower offer from a residential developer who promises to retain the mansion.

"Little Friends did not ask for this agreement to be in place. Instead, we have done what this council has asked us to do," Briggs said. "I know this agreement is unique, that times are tough, and this is not an insignificant amount of money."

Councilwoman Theresa Sullivan said she believes the city's involvement should have ended last year when Little Friends was granted authorization to tear down the Kroehler mansion. But in an effort to save the building, the council later approached the agency with a proposed incentive of up to $562,000 - an offer that was lowered in May to $450,000 based on the most recent bids received.

"I can't support the city contributing any amount of money to Little Friends in this way and for this purpose," Sullivan said, pointing to concerns over the financial impact of the coronavirus crisis and a lack of "public good" stemming from the private transaction.

She and Councilman John Krummen voted against the agreement.

Though many of Sullivan's points are valid, particularly in light of the pandemic, Mayor Steve Chirico said, "we did make a commitment as a council, and I don't think we can go back on that commitment."

Under the deal, Naperville would not be required to pay out the funds until Little Friends records a covenant against the nearly 4-acre campus requiring that the Kroehler house be protected. The agency would forfeit its certificate of appropriateness to tear down the structure, though the demolition of the site's Krejci Academy, gymnasium and administration building still would be permitted.

Those steps likely wouldn't be taken until after a redevelopment plan is approved, officials said, alleviating some concerns from neighbors in the East Central Homeowners Organization.

Residents also questioned whether offering such an incentive is in the best interest of taxpayers. Becky Simon, president of Naperville Preservation, Inc., said saving the mansion would be a "positive asset" for the city and its economy.

Contract purchaser Ram West Capital is now expected to move forward with submitting redevelopment plans, which have been altered since an initial concept plan was presented in May, representative Russell Whitaker said. Developers have been meeting with neighbors regarding the proposed residential project before beginning the approval process with the city.

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