Villa Park extends deadlines for $120 million Garden Station development
Villa Park trustees have approved several changes to a redevelopment agreement for a mixed-use apartment building planned for a property northwest of the village's Metra station.
The changes were part of an amendment sought by Hawthorne Development Corporation. The Burr Ridge-based developer wants to construct Garden Station -- a $120 million seven-story building that would include 348 apartments with ground-floor space for retail and restaurants.
The changes to the redevelopment agreement that village trustees approved on Monday include a partial deferment of building permit fees, plus the pushback of a couple of deadlines.
In exchange, Hawthorne Development offered an earlier March 31 completion date to demolish vacant buildings on the proposed Garden Station site. The 1.69-acre property is bounded by East Vermont Street on the north, North Beverly Avenue on the east, West Terrace Street to the south, and North Ardmore Avenue to the west.
Hawthorne Development received permission for an installment payment plan rather than paying an estimated $850,000 in village permit fees upfront. It is to make a $350,000 initial payment when building permits are issued and then five annual payments of $100,000 each on the anniversary date of the initial payment.
Hawthorne Development's deadline for all required building permits to be issued was also extended to March 1. The previous deadline was Dec. 31, 2021.
Another delayed deadline involves the construction of a Metra parking lot east of Beverly Avenue. The new lot now must be completed by June 30.
A new parking lot is needed because the developer did a land swap with the village to acquire part of the existing Metra parking lot.
Hawthorne Development said changes to the redevelopment agreement were necessary because of increased labor and material costs. Hawthorne Development also is facing construction delays due to a business owner that has refused to accept a buyout on the seven years remaining on his lease.
"We've offered him money, we've offered him space in the new building, and every time we come to a verbal agreement, he keeps raising his price," said Nick Pancotto, director of acquisitions and development for Hawthorne.
According to Pancotto, there is a pretrial hearing between Hawthorne Development and the tenant on Friday to work out a possible settlement. Once all the buildings on the property are razed and the permits issued, Pancotto estimates that Garden Station could be completed in 14 months.