New road will result from agreement over land near I-90

By Bob Balgemann

REPORTER

Property at the intersection if Illinois 173 and Interstate 90 is continuing to get the attention of village officials.

They are working toward a redevelopment agreement with DYN, Picken, LLC, which would lead to construction of a road into the Weststone property. The parcel in question is at the intersection near the 173 interchange with I-90 that has a traffic light, which never has been activated.

This is the Weststone Industrial Business Park, formerly the Picken Farm, which covers 93 acres but has yet to see any development.

The road is important to future development of the land. James Richard II, the village’s community development coordinator, pointed out a number of commercial users have looked at the Weststone property. But they chose other pad-ready properties in the Rockford area.

Interest in developing this acreage dates back to 2011, when a joint review board approved both a redevelopment project area and redevelopment plan for the parcel. But since that time nothing has happened out there.

The developer, DYN, Picken, LLC, owns about 60 acres within the redevelopment area and now plans to prepare the property for development.

In the proposal, the village has agreed to contribute $400,000 toward the infrastructure project along with one-half of the engineering fees, not to exceed $40,000.

That is being done because village officials believe redevelopment of the property will do the following:

* Further the growth of the community.

* Increase the assessed valuation of real estate located within the redevelopment project area.

* Generally increase economic development activity throughout the entire village.

* Provide a substantial number of jobs for Machesney Park residents.

* Facilitate redevelopment of the entire area within the village at Illinois 173 and I-90.

This property is within the Weststone Tax Increment Financing District and funding from the TIF will be used to help defray costs to the developer. In fact, the developer said previously the project would not be economically feasible without TIF support.

Through a TIF, additional tax revenue is generated by increases in the value of property. That new tax revenue goes back into the project, rather than being put in municipal coffers.

The infrastructure improvements must be started within six months of the approval of the agreement, and be finished within 14 months of that date. And the village will be reimbursed for its financial contribution to the project.

Village board members were expected to approve this agreement at their Aug. 15 meeting.