ST. CHARLES – A five-story building along the Fox River is now planned for Phase III of the First Street Redevelopment project.
This additional floor, along with other modifications, were included so the project can better meet the financial obligations regarding the related tax increment financing district.
“We’ve got to meet the city’s needs for the financial end of the project, as well,” Bob Rasmussen of First Street LLC told the Government Operations Committee Monday night.
The city must use its general revenue stream to make up any gap between the incremental revenue generated by the TIF and the debt service payments, Finance Director Chris Minick said.
“Neither one closes the gap entirely,” he said, referring to options for either three or four buildings on the property.
The developer’s latest site plan features three buildings that, combined, would have 104 residential units, as well as retail space. A parking deck also would be constructed.
The site is bordered by the Fox River and Illinois, First and Main streets in downtown St. Charles.
The update was for information only, but the St. Charles City Council is expected to take action on an extension for the project next month.
Rasmussen said the hope is to break ground next summer.
In other news, the City Council on Monday directed staff to draft an ordinance regarding drive-up windows for package liquor sales despite the Lundeens withdrawing their request for a drive-thru window at their new West Main Street store.
The Lundeens, who recently brought the issue to the St. Charles Liquor Control Commission, have the option to make the request later, 3rd Ward Alderman Bill Turner said.