The properties remain privately owned, and any issues relating to their maintenance or sale are matters for the property owner. Since August 2019, the developer’s lender has initiated foreclosure proceedings and the Village anticipates this process will take several more months to conclude. A call for offers soliciting bids for the property was released as part of the foreclosure process. The Village has learned that ten developers submitted bids for the site, and that the lender has signed a letter of intent with Hoffman Commercial Real Estate to purchase the property.
While the Village waits for the foreclosure process and the sale of the property to be completed, we continue to pursue property maintenance violations with the current property owner through the district court system. The court ordered the property owner to make public safety improvements for fire detection systems and monitoring to be implemented during the fall of 2019. During recent court appearances, the judge has only required remedy of public safety-related items. He has not ordered aesthetic improvements or broader maintenance items; however, the lender authorized the court-appointed receiver to address specific maintenance items.
One Winnetka Development Approvals Repealed
On August 6, 2019, Winnetka’s Village Council voted unanimously to repeal approvals for the One Winnetka development project due to the developer’s non-compliance with the development agreement and zoning approvals.
The development agreement required that the developer provide a third-party financial guaranty of completion on or before November 18, 2018. It also required the developer to close on the Conney’s Pharmacy property and record the Plat of Subdivision no later than June 29, 2019. Both deadlines were missed, and caused a default of the agreement.
“Under all of the zoning approvals, the developer’s failure to meet the Plat of Subdivision date authorizes the Village Council to terminate their approvals,” said Peter Friedman, Village Attorney, before the Council voted to repeal the zoning approvals on August 6. “Section 13 of the development agreement says that the development agreement terminates automatically if the zoning approvals must terminate.”