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Construction

Park Ridge Council Considers Incentives for Hilton Hotel Construction

2024-12-10

After years of deliberation, the Park Ridge City Council has shown a willingness to adopt a new development incentive plan. This plan involves using city resources, including money, to attract a development proposed for 1440 Higgins Road. The Dec. 2 City Council meeting did not result in a firm vote, but it did gain enough support to start drafting a formal economic incentive package for future consideration.

Key Features and Benefits

The proposed plan will cost the city approximately $4.6 million in shared tax money, tax abatements, fee waivers, and more. If the project fully develops, it will bring a Hilton-brand hotel with 112 rooms to the area, generating property, hotel, and sales tax revenues from visitors who will dine and shop locally. The project was initially delayed due to the COVID-19 pandemic. A previous hotel proposal marked the second planned development of the property, which was approved in June. However, the developers later presented a more expensive request that was rejected. Now, MDSA Properties has a new plan that requires less from the city and is eager to start work on a Tru by Hilton hotel.In addition to what the developer has asked of Park Ridge, they have also requested property tax relief from Cook County. Other incentive requests include hotel occupancy tax sharing for up to 12 years and waiving of permit fees for the project, as well as relief from stormwater detention requirements.Councilwoman Harmony Herrington expressed concerns about waiving permit fees, stating that it seemed overly generous. She believes that the abatement schedule should be specific to hotels and that providing advantages to certain developers is inequitable.According to Hotel Appraisers and Advisors, independent hotel advisors to Park Ridge, almost every hotel in the county receives some form of tax and local incentives to support their projects in the initial stages. The hope is that future hotel tax revenue and additional tourism spending will compensate for the initial costs.Hilton franchisee Amin Lakhani emphasized the need to finalize the tax abatement agreement as it is necessary to begin demolishing the current structure. According to his timeline, the tear-down will start next year in late winter, followed by construction the following spring.City Council members did not provide formal approval at the Monday night meeting but generally seemed receptive to the proposal. City staff is now tasked with drafting a formal economic incentive agreement for council consideration.City Manager Joe Gilmore supports the proposal, stating that it makes economic sense and that virtually every hotel in the county receives similar local benefits. He believes that without these incentives, many hotel projects would not be viable. Sharing the occupancy tax revenue means the city will have at least some new revenue, along with the additional spending from visitors.Even so, not all council members were in favor of all the conditions. Some wanted assurances that the developer could not obtain the incentive deals and then sell the land and development to another company for a different project and make more money. City Council attorney Michael Durkin will look into whether any of the development incentives can be transferred.Mayor Marty Maloney took an informal poll, and most on the council favored some form of development incentive plan. Although it was not an overwhelming majority, it showed a preference for moving forward.The council is expected to revisit the issue later for further consideration.

Sen. Martine Gulick, a prominent figure in Vermont's political scene, was recently seen explaining a literacy bill on the floor of the Senate at the Statehouse in Montpelier. This event sparked a significant discussion about the state's educational infrastructure and the need for construction aid.

Unraveling the Future of Vermont's School Construction

Background on Vermont's School Infrastructure

Vermont's schools stand as the second oldest in the nation, facing a substantial infrastructure challenge. According to the Agency of Education, an estimated $6 billion is required in the next two decades to address these issues. The current state of deteriorating school infrastructure is disrupting classrooms and putting a strain on the education system.Lawmakers are well aware of this problem and are planning to address Vermont's school funding system in the upcoming legislative session. The lack of a state-funded school construction program for over 15 years has shifted the financial burden onto local school budgets and property taxes.

The Proposed School Construction Aid Program

The proposed school construction aid program aims to provide much-needed support. It would cover 20% of a project's eligible cost, with the possibility of an additional 20% if certain criteria are met. The Agency of Education would take on the primary responsibility for implementing the program, with an advisory board providing consultation.Jill Briggs Campbell, the interim deputy secretary of education and a member of the construction aid working group, emphasized the need for at least three full-time positions within the agency to ensure the smooth operation of the program. The working group unanimously endorsed a draft piece of legislation last week, setting the stage for further discussions in legislative committees.

Challenges and Uncertainties

Despite the efforts of the working group, there are significant challenges and uncertainties. The uncertainty about state financial support for Vermont's schools remains a pressing issue as voters demand education property tax relief.Asked about the likelihood of the governor including an appropriation for school construction in his budget recommendations, Sen. Martine Gulick expressed hope. She emphasized the urgency of addressing the issue, stating that Vermont's school facilities portfolio is in a critical condition and requires immediate attention.Sen. David Weeks, a Republican senator on the construction aid working group and a member of the Senate Education Committee, noted that construction aid was not among the administration's legislative priorities. However, he praised the bipartisan collaboration within the working group and indicated his support for some form of school construction aid.Weeks predicted that the legislation would undergo significant changes when it reaches committees this session and that school construction aid would be a key part of the conversations about education finance.

The Importance of Fiscal Responsibility

In the context of fiscal responsibility, the need for transparent funding sources becomes crucial. Amanda Wheeler, a spokesperson for the governor, emphasized that any proposal with a cost must be transparent about how it will be funded.Sen. Martine Gulick also highlighted the importance of looking at the future when considering fiscal responsibility. She argued that failing to address the school construction issue would have long-term consequences for the state.Although there are challenges ahead, the efforts of the construction aid working group and the potential for state support for school construction offer hope for the future of Vermont's education system.

JE Dunn Construction has achieved a remarkable feat by completing The Riv, a state-of-the-art luxury mixed-use residential development nestled in the heart of Denver's vibrant River North Arts District. This 196-unit apartment community, designed by Shears Adkins + Rockmore Architects for Transwestern Properties, offers an impressive 270,307 square feet of meticulously designed residential and retail space.

Experience the Elevated Living at The Riv in Denver's RiNo

Standing Tall and Offering Boutique-style Living

The Riv stands a magnificent nine stories tall, providing residents with boutique-style living. Its below-grade parking ensures convenience and seamless integration with the modern design. Blending seamlessly with the energy of Denver's most eclectic neighborhood, it offers a unique living experience. From the very beginning to its final completion, this project showcases JE Dunn's unwavering commitment to excellence and their collaborative efforts with partners. It truly is a place that residents can now call home.

As senior project manager Vince Stellino mentioned, "Building in a bustling neighborhood like RiNo has been a one-of-a-kind experience. There is an abundance of energy and creativity here, which presents its own set of challenges. But that's precisely what makes our work so exciting. I can't wait to see people move in and make this space their own – it's a wonderful addition to the community."

The Riv is not just an ordinary complex; it offers a variety of apartment options including studios, one-bedroom, and two-bedroom units. It is playing a significant role in the growth and revitalization of Denver's dynamic RiNo district. Residents have the opportunity to explore over 150 restaurants and bars, or hop on scooters, bikes, and the light rail to satisfy their cultural curiosity.

Contributing to the Ever-changing Pace of RiNo

With its prime location in RiNo, Denver, residents can live in an ever-changing pace with refreshing ease on the banks of adventure. The Riv becomes a hub of activity, where residents can immerse themselves in the local culture and enjoy the best that the neighborhood has to offer. Whether it's exploring the diverse culinary scene or taking advantage of the convenient transportation options, life at The Riv is truly unique.

It represents a new era of living in Denver's RiNo district, where modern design meets the energy of the community. The Riv is not just a building; it's a lifestyle choice that offers residents the best of both worlds – luxury and convenience.

JE Dunn's dedication to excellence is evident in every aspect of The Riv. From the architectural design to the construction details, every element has been carefully crafted to create a truly exceptional living environment. This new luxury residential development is set to become a landmark in Denver's RiNo area, attracting residents and visitors alike.