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CITY OF WEST CHICAGO
DEVELOPMENT COMMITTEE
AGENDA ITEM SUMMARY
ITEM TITLE:
AGENDAITEMNUMBER: _ ©-©.
Conceptual discussion of the potential for a Zoning Map
Amendment (Rezoning). FILE NUMBER:
Greco/DeRosa
Between Menards and Former VW Dealership COMMITTEE AGENDA DATE: Jan. 14, 2019
COUNCIL AGENDA DATE:
A)
STAFF REVIEW: Tom Dabareiner AICP SIGNATURE
APPROVED BY CITY ADMINISTRATOR: Michael Guttman SIGNATURE
ITEM SUMMARY:
Greco DeRosa Investment Group (GDIG) has acquired an interest in property located along the south
side of North Avenue and between Menards and the former VW dealership. GDIG seeks a map
amendment to a portion of the area. The 16.5 acre property is zoned B-3 Regional Shopping District
and is additionally guided by a PUD. As proposed, 14.5 acres would be rezoned to M Manufacturing,
leaving a two acre B-3 property along North Avenue. GDIG requests comments and feedback from
the Development Committee on the rezoning concept coupled with retaining a small restaurant/retail
outlot.
The current local marketplace sees modest activity in the small retail/restaurant arena and strong
warehousing/logistics use interest. As proposed, this development would tap into both areas. The
proposal has the potential of generating more property tax on land long ignored by the retail communi-
ty. However, the City loses the potential for large-scale “greenfield” retail development by surrendering
it permanently to another use. Furthermore, it is generally considered poor planning practice to mix
semi-truck traffic on-site with retail traffic. Finally, there are no known users for the properties
Analysis
With any map amendment/rezoning request, the City considers the following findings of fact (re-
sponses are in italics). One caution: this is not the required public hearing itself, so the information be-
low is offered only as a guideline for discussion:
A. Existing use(s) and zoning of the property in question. Multiple properties are involved in the
proposal and all of them are currently vacant. The 2-acre B-3 outlot, as proposed, falls short of
the 5-acre minimum size required in the B-3 District, however the PUD guiding development of
St. Andrew’s Square allows lots as small as 0.67 acres. While tapping into a very active market
today and gaining use of some long vacant properties, the 14.5 acre rezoning would open up
much of the property to a broad range of manufacturing activities, not only the warehous-
inglogistics proposed. These uses are not always compatible with neighboring retail and resi-
dential uses.
B. Existing use(s) and zoning of other lots in the vicinity of the property in question. The northern B-
3 property is across North Avenue from property zoned B-3. The proposed Manufacturing prop-
erty would be adjacent to B-3 to the north, east and south. (The B-3 property to the south con-

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tains a detention pond.) Existing Manufacturing lies to the west, unconnected to the proposed
rezoning area. There is a small area of exposure, although not adjacency, to existing residential
property to the southeast, the closest of which is located 93 feet away. Once rezoned, any num-
ber of manufacturing uses could locate on the property. Some uses are more obtrusive than
others, such as permitted uses like metal stamping or plastics processing or special uses such
as asphalt plants and salvage facilities. In general, mixing frequent semi-truck usage with re-
tail/restaurant traffic is not considered desirable for safety and circulation reasons. Finally, it
should be noted that the expectations of the neighbors have long been for some kind of retail
development.
C. Suitability of the property in question for uses already permitted under existing regulations. The
area that would remain B-3 would be eligible for the same list of uses it is today. The remaining
14 acres would change significantly, although some uses, such as motor vehicle repair, broad-
casting studios, and offices, are allowed in both districts.
D. Suitability of the property in question for the proposed use. With redesign of the site to restrict
the mix of vehicular traffic and to providing significant buffering between it and its neighbors, the
proposed warehousing/Nogistics use may be allowable. Better site circulation may be achieved
by making a connection to Atlantic Drive to the west.
E. The trend of development in the vicinity of the property in question, including changes (if any)
which may have occurred since the property was initially zoned or last zoned. The proposed us-
es of small restaurant/retail uses and logistics/warehousing activities are consistent with the cur-
rent trend of development. The City can look to the longer term and may wish to preserve land
for a time when commercial returns.
F. The effect the proposed rezoning would have on implementation of the Comprehensive Plan.
Any rezoning would not fulfill the goals of the Comprehensive Plan for this location, which calls
for commercial type uses.
G. Impact on surrounding properties. /f properly buffered with separate access, negative impacts
could be minimized. The rezoning would create a small, remnant B-3 property with no known
users at its southeast corner and isolate the detention pond to the south. While not immediately
adjacent, the residential properties to the southeast may have concerns with a change from re-
tail to manufacturing.
H. Impact on health, safety and welfare of the community. /f designed properly, there are few, if
any, negative impacts to health, safety and welfare of the community regarding the proposal.
That said, the community relies on the predictability afforded by a community’s land use rules
and regulations. Each time a change is made, careful consideration of the findings of fact and
the impacts on others’ trust in the rules should be considered.
In brief, staff believes the proposed map amendment and use, as proposed, does not meet the in-
tention of the Comprehensive Plan, creates the potential for unintended and unwelcome uses, and
may have negative impacts on use of the neighboring properties.
Should Aldermen wish to recommend the rezoning, staff asks that it be conditioned on adding ro-
bust buffering and significant circulation changes to separate traffic (such as a connection to Atlan-
tic Drive), as well as include the areas adjacent to the proposal’s southern limits. These changes
will require an amendment to the St. Andrew’s Square PUD.
Pe: Location Map with Current Underlying Zoning
Various Material Submitted by Greco/DeRosa

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ACTIONS PROPOSED:
Conceptual discussion of the potential for a rezoning of the Greco DeRosa properties located south of
North Avenue and approximately between Menards and the former VW dealership.
COMMITTEE RECOMMENDATION:

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Greco/DeRosa Proposal Location
a =i
ae
~ = a
Se secae %
January 3, 2019
cf i é 0.2 mi
b+ +
0.07 0.15 0.3 km
Source: Esri, DigitalGlobe, GeoEye, Earthstar Geographics, CNES/Airbus

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1307 Schiferl Rd.
Bartlett, IL 60103
wd
GRECO | DEROSA
INVESTMENT GROUP
To: Tom Dabareiner, AICP
From: Ron DeRosa
Date: January 2, 2019
RE: 15.7 acres on the south side of North Avenue, west of Route 59
Parcels 01-28-304-004, 01-28-402-006, 01-33-101-012 and 01-33-101-011
Request:
We are requesting preliminary comments and feedback to the attached site plan and elevations to
develop a multi-tenant retail building on the North Avenue frontage and rezone the rear portion of the
site from B-3 zoning to M zoning to allow for development of warehouse and light manufacturing
buildings.
Retail Outlot Development:
We intend to develop an approximately 12,000 square foot multi-tenant retail building on the outlot on
North Avenue. The space will be divisible to 1,500 square feet and will be targeted to restaurants and
small shop tenants. The building will feature a drive-thru lane to attract restaurants and will have ample
parking in excess of 5 spaces per 1,000 square feet of building area. Exterior finishes will be high quality
and consistent with current and recent Greco/DeRosa retail developments.
Demand for small retail space is solid, particularly in areas where restaurants are missing. Greco/DeRosa
has deep relationships in the restaurant market and will leverage those contacts to bring successful
restaurateurs to this location. In addition to restaurant users, we will attract complementary retailers to
create a vibrant tenant mix.
Industrial Development:
The attached site plan includes just under 250,000 square feet of industrial space in two buildings with a
shared interior truck courtyard. Office areas and parking lots will be located on the north and south
elevations facing North Avenue and the existing detention pond. The building will be constructed of
precast concrete panels and will feature architectural elements similar to those shown in the attached
sample elevations. Greco/DeRosa has a strong track record of developing institutional quality industrial
properties that are occupied by a wide variety of financially strong businesses.
Industrial space is experiencing very strong demand with vacancy in the Fox Valley market of 5.1%
according to Colliers International’s Third Quarter 2018 report. Absorption of newly developed space has
been rapid bringing with it new jobs, daytime population and discretionary spending to support local
retailers and restaurants. This is in sharp contrast to big-box retail which has suffered a large reduction in
demand caused by fundamental shifts in consumer spending via the internet versus traditional brick-and-
mortar locations.
www.gdinvestmentgroup.com + Main: 630.580.0750 + Fax: 630.580.0749

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EAST NORTH AVENUE (IL ROUTE 64)
EXISTING
RETAIL OUTLOT
INDUSTRIAL BLDG #
Seu areca:
->s— 4, . ence rae?
sci eS ee
| | | | |
fe. INDUST IAL BLDG;
}® > -FooTpRINT: 131,040'SF-
EXISTING
DETENTION
BASIN
WI
GRECO | DEROSA
INVESTMENT GRour
scheme: 02
Conceptual Site Plan
PROJECT DATA:
SITE AREA:
GROSS: 27.76 AC
1,209,434 SF
DETENTION: @0% OSF
SLOPE: OSF
EASEMENTS: OSF
NET: 27.76 AC
1,209,434 SF
BUILDING AREA:
BUILDING 1 131,040 SF
BUILDING 2 118,560 SF
BUILDING 3 12,048 SF
TOTAL FOOTPRINT: 261,648 SF
COVERAGE:
GROSS: 22%
NET: 22%
BUILDING 1
A DOCK-HIGH DOORS 25
KNOCK-OUTS OR RATED 10
© GRADE-LEVEL DOORS 2
AUTO PARKING 131 STALLS
@1,1000 SF
REQ. ACCESSIBLE 5 STALLS
TRAILER STALLS O STALLS
BUILDING 2
A D0CK-HIGH DOORS 25
KNOCK-OUTS OR RATED 10
© GRADE-LEVEL DOORS 2
AUTO PARKING 127 STALLS
@1.07/1000 SF
REQ. ACCESSIBLE 5 STALLS
TRAILER STALLS O STALLS
BUILDING 3 (RETAIL)
‘AUTO PARKING 66 STALLS
@5.48/1000 SF
REQ. ACCESSIBLE 3 STALLS
©
= Gates mene if
DEVELOPMENT STANDARDS:
ZONING: M
MAX. F.A.R.: 1.50
MAX. COVERAGE: n/a
MAX. HEIGHT: TSF,
BUILDING SETBACKS: ,
FRONT: 40 FT
SIDE: 20 FT
REAR: 20 FT
LANDSCAPE SETBACKS:
FRONT: 20 FT
SIDE: 15 FT
REAR: 15 FT
LANDSCAPE REQ.: -
OFF-STREET PARKING:
STANDARD: 9X18
COMPACT: nja
COMPACT %: n/a
DRIVE AISLE: 24 FT
FIRE LANE: -
OVERHANG: 2 FT
TREE WELL: -
REQ. PARKING RATIO BY USE:
WAREHOUSE: 1/1000 SF *
OFFICE: 1/250 SF
RETAIL: 1/250 SF
RESTAURANT: 1/100 SF
NOTES:
carctSremn ‘eae
East North Avenue
West Chicago, IL 60185
WARE MALCOMB
1 80
Lit 1 J N
0 40 @0 160 400 NORTH
SHEET

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BEEFSHACK
SAUVAGT
HOME OF.THECHEEZY BEEF
TC3-50-12

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BOBOS
AUTOMATION
口

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[No text detected on this page; page may be blank, photographic, or graphical.]

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Industrial Spec
WAREMALCOMB
architectureIplanningIinteriors|brandingIcivil

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Concept 1
Concept 3 Concept 4
Industrial Spec
WARE MALCOMB “

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Concept 6
Concept 7 Concept 8
Industrial Spec
WARE MALCOMB

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Concept 9 Concept 10
Concept 11 Concept 12
Industrial Spec
WARE MALCOMB a

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Colliers
INTERNATIONAL
Submarket Indicators
Fox Va [ ley FOX VALLEY 32018 22018 32017
VACANCY RATE Be 516% 5.51% 8.42%
Quarter in Review NET ABSORPTION (SF) J} 115,012 531591 —-1,148,824
NEW SUPPLY (SF) @ o 0 137,573
» The Fox Valley vacancy rate decreased to 5.16 percent, the
submarket's fourth consecutive quarter of improvement and a 35 UNDER CONSTRUCTION (SF) C4 () 0 ()
basis point decline from the previous quarter. This is the lowest rate
. NEW LEASING ACTIVITY (SF) 184,285 184,429» 110,190
recorded since the second quarter of 2017. ¥
AVG ASKING RENTALRATE P $4.92 $4.87 $4.64
» Users looking for at least 200,000 square feet of space in the
submarket continue to have few options. There are two vacant
spaces currently available, plus two additional spaces that are being Vacancy Rate & Net Absorption
marketed but are occupied. -
4% 800,000
» Net absorption was positive for the fourth consecutive quarter, 12% 600.000
totaling 115,012 square feet between July and September. The . g
net absorption total through the first three quarters of 2018 2” , y “corm
has increased to 805,002 square feet, the greatest annual net 2 o% 200000 3
absorption tally recorded in the Fox Valley since records have been ~) 2
kept. es Ea a ain
. - 4% -200,000
» Bridge Development Partners has started site work on a two- 5 § § & $8 8 §&
building project at 1400 S Laramie Avenue in Cicero to be
known as BridgePoint 290. Bridge will be building 343,000 and
233,000-square-foot buildings on the site. The site was previously Available Space for Lease Profile
home to a 700,000-square-foot building occupied by National
» Five new leases totaling 237,843 square feet were signed in the
|-290 South submarket between July and September. The largest —enanyerae mi]
lease of the quarter involved cosmetic and industrial products 300,000-499,999 S= Hi
manufacturer Concept Laboratories Inc leasing 119,388 square feet aiove
at 500 S Central Avenue in Forest View.
0 2 4 6 8 10
» Two Fox Valley buildings were included in Prologis' acquisition of wVacent m Occupied ® Under Construction
DCT Industrial Trust Inc that closed during the third quarter of 2018.
The largest was the 572,000-square-foot multi-tenant building at ; s
1700-1800 W Hawthorne Lane in West Chicago. The building was Largest Available Spaces for Lease
100 percent essed a the tine of sale
1 | 488,571 601-605 Kingsland Drive, Batavia |
|
Forecast 2 286622 ‘1717 WHarvester Road, West Chicago
Positive demand and a decreasing vacancy rate have attracted | 3 243200 101. N Raddant Road, Batavia |
developers to the Fox Valley submarket, which historically favored 4 200,000 1700 Harvester Road, West Chicago ones
users that owned their facilities. Speculative construction projects are "5 146,959 | 3940 Stern Avenue, Saint Charles |
expected to break ground shortly, which may result in a vacancy rate i.
jump in the comparatively small submarket.
10

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@ Lease transaction
@ Sale transaction
# Active construction project
@ Large available block of space
j Aurora
Mhnicipal
Fox Valley | Significant Q3 2018 Lease Transactions
ee TENANT SIZE (SF) (ADDRESS TYPE
1 Ceva Logistics 1645 Downs Drive, West Chicago New lease
| 2 | Olcott Plastics "| 825-845 W Hawthorne Lane, West Chicago (Newlease |
[SSMainee =e sae 829W Hawthorne Lane, West Chicago [Newie (ea oe eae]
4 ic Cast Aluminum a : | 1200- 1250 Douglas Re Road, Batavia OO | | New lease OB |
[aes Miner r Enterprises In Inc ; 905 Paramount Parkway, ‘Batavia eee ere New lease eens baa
| 6 | Blue Peak Tents / | 12,500 | | 1099 Atlantic Drive, West Chicago | Sublease
Fox Valley | Significant Q3 2018 Sale Transactions
ibe? BUYER SIZE (SF) ADDRESS TYPE
1 Prologis 572,000 1700-1800 W Hawthorne Lane, West Part of an entity-level acquisition of DCT Industrial Trust
eae, Meee ft ATIC ae z Seioaiet tee Sa
| 2 | Prologis: 2 200, 000° | 1700 Harvester Road, West Chicago | Part of an in entity-level acquisition of DCT Industrial Trust |
3 Exeter Property Group 134, 400 950 Douglas Road, Batavia Investment sale
4 | _ Tradition Asset Management Luc | 51,200 | “1100 Commerce Drive, West Chicago
| 34 Cc tell. 15,636 3830 Ohio Avenue, Saint Charles User sale
Historical New Supply Fox Valley | Active Construction Projects
800,000
sono | MAP # TYPE SIZE (SF) ADDRESS DEVELOPER
600,000 |_| None to report
EB soo000 =
§ 400,000
B 300.000
200,000
100,000
o
=100,000
2014 2015 2016 2017 YTD 2018 Active
@ Spec o oO oO 137,573 ° oO
wats 39,539 40,009 479,645 559,475 ty) oO
Cero i) 18,000 oO oO oO oO
11 Research & Forecast Report | Third Quarter 2018 | Chicago/Industrial | Colliers International

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This Week's Chicago Deal Sheet
October 16, 2018 | Catie Dixon, Managing Editor
PUSH Holdings purchased a 167,550 SF industrial property in northwest Cook
County.
G4 Development Group has been building spec industrial
in Brewster Creek Business Park, leasing it up and selling
it.
— The latest deal, at 1411-1415 Brewster Creek Blvd., is the
third building that has sold through this process. NAI
Hiffman’s Jeff Fischer has leased and sold all three buildings, which total 325K
SF of Class-A industrial.
JLL’s Frank Griffin represented the buyer.
EXECS
KIG CRE’s multifamily institutional investment sales brokerage team has moved
to Cushman & Wakefield. Susan Tjarksen, Todd Stofflet and Jason Stevens were
hired as managing directors, and were accompanied by Laura Ballou, Jacob
Albers, Daniel Falkenberg, Caleb Zielke and Brenda Cuellar from their team.
The team has brokered over $2.4B in multifamily sales, including 145 acres of
multifamily land and more than 33,000 units.
HEE
David Friedland joined Cushman & Wakefield as the Chicago industrial group
leader. Over the last 22 years, he has completed 750 transactions topping $1B.
He previously co-owned Epic Realty Partners, which he sold to Transwestern
Commercial Services.
KEE