Des Plaines City Council Endorses Tax Incentive for $10.5 Million Industrial Development

Project Overview

A $10.5 million industrial facility, intended for use as a warehouse or factory, has been proposed for a vacant 10-acre site on the southeast side of Des Plaines. The development aims to revitalize previously underutilized land, aligning with Sustainable Development Goal (SDG) 9: Industry, Innovation, and Infrastructure.

Developer and Location Details

• Developer: Grossprops Associates, a Lincolnwood-based company
• Site Address: 424 Howard Avenue, north side between Mount Prospect and Wolf Roads
• Site History: Former headquarters of Cloud Packing Equipment, acquired by Duravant in 2020 and integrated into Mespack US
• Current Status: Existing building demolished to prepare for new construction

Development Plan and Economic Impact

1. Construction of a 171,600-square-foot industrial building
2. Leasing to a single tenant upon completion, as confirmed by Des Plaines Economic Development Manager Suzy Aguilar
3. Expected to stimulate local economic growth and job creation, supporting SDG 8: Decent Work and Economic Growth

Tax Incentive Request and City Council Support

Grossprops Associates has formally requested a reduction in the property’s assessment rate from Cook County officials to incentivize redevelopment. The proposed tax break involves:

• Reducing the commercial property assessment rate from the standard 25% to 10% for the first 10 years
• Increasing to 15% in the 11th year and 20% in the 12th year
• Estimated tax savings of approximately $6.6 million over 12 years

The Des Plaines City Council unanimously approved a resolution supporting this request, recognizing the importance of revitalizing vacant and underused properties in line with SDG 11: Sustainable Cities and Communities.

Community and Political Support

Fifth Ward Alderman Thomas Merlin expressed strong support for the tax incentive, emphasizing the benefits of redeveloping the currently vacant site:

“It’s not doing anything sitting there vacant. If they’re going to redevelop the entire property … I’m all for it.”

Alignment with Sustainable Development Goals

• SDG 8 (Decent Work and Economic Growth): The project is expected to create jobs and stimulate economic activity in Des Plaines.
• SDG 9 (Industry, Innovation, and Infrastructure): Development of modern industrial infrastructure supports sustainable industrialization.
• SDG 11 (Sustainable Cities and Communities): Redevelopment of vacant land promotes urban regeneration and efficient land use.
• SDG 17 (Partnerships for the Goals): Collaboration between the developer, city council, and county officials exemplifies effective partnerships to achieve sustainable development.

1. Sustainable Development Goals (SDGs) Addressed or Connected

1. SDG 8: Decent Work and Economic Growth
   • The article discusses the development of an industrial building that could serve as a warehouse or factory, which relates to promoting sustained economic growth and productive employment.
2. SDG 9: Industry, Innovation, and Infrastructure
   • The construction of a new industrial facility on vacant land supports building resilient infrastructure and fostering industrialization.
3. SDG 11: Sustainable Cities and Communities
   • The redevelopment of vacant and abandoned property contributes to making cities inclusive, safe, resilient, and sustainable.
4. SDG 17: Partnerships for the Goals
   • The collaboration between the developer, city council, and county officials to provide tax incentives reflects partnerships to achieve sustainable development.

2. Specific Targets Under Those SDGs

1. SDG 8: Decent Work and Economic Growth
   • Target 8.2: Achieve higher levels of economic productivity through diversification, technological upgrading, and innovation.
   • Target 8.3: Promote development-oriented policies that support productive activities and decent job creation.
2. SDG 9: Industry, Innovation, and Infrastructure
   • Target 9.1: Develop quality, reliable, sustainable, and resilient infrastructure to support economic development.
   • Target 9.2: Promote inclusive and sustainable industrialization and raise industry’s share of employment and GDP.
3. SDG 11: Sustainable Cities and Communities
   • Target 11.3: Enhance inclusive and sustainable urbanization and capacity for participatory, integrated planning and management.
   • Target 11.6: Reduce the adverse per capita environmental impact of cities, including by paying special attention to air quality and waste management.
4. SDG 17: Partnerships for the Goals
   • Target 17.17: Encourage and promote effective public, public-private, and civil society partnerships.

3. Indicators Mentioned or Implied to Measure Progress

1. For SDG 8
   • Indicator 8.2.1: Annual growth rate of real GDP per employed person.
   • Indicator 8.3.1: Proportion of informal employment in non-agriculture employment.
   • Implied: Number of jobs created or sustained by the new industrial development.
2. For SDG 9
   • Indicator 9.1.2: Passenger and freight volumes, by mode of transport.
   • Indicator 9.2.1: Manufacturing value added as a proportion of GDP and per capita.
   • Implied: Area (square footage) of new industrial infrastructure developed (171,600 sq ft building).
3. For SDG 11
   • Indicator 11.3.1: Ratio of land consumption rate to population growth rate.
   • Indicator 11.6.1: Proportion of urban solid waste regularly collected and with adequate final discharge out of total urban solid waste generated.
   • Implied: Reduction in vacant or abandoned properties in the city.
4. For SDG 17
   • Indicator 17.17.1: Amount of United States dollars committed to public-private partnerships.
   • Implied: Number and effectiveness of partnerships between local government and private developers.

4. Table of SDGs, Targets, and Indicators

Source: dailyherald.com