SUGAR GROVE – When an Ace Hardware store opens in Sugar Grove this summer, residents no longer will have to trek to other municipalities to pick up hammers, saws or water heaters.
The 16,040-square-foot building is planned for 160 E. Galena Blvd., the northwest corner of Galena Boulevard and Capitol Drive.
It will be the village’s first hardware store of any kind, on track to be built and open by July 1, officials said.
“It’s very exciting,” Village Administrator Brent Eichelberger said. “It’s significant for the village.”
To illustrate the local need, Eichelberger said he had to buy a bolt two months ago. He went to the three big box stores – and they did not have it.
“I went to Ace in Batavia on Randall and told the guy what I wanted. He said, ‘Follow me – here you go,’” Eichelberger said. “They had exactly what I was looking for. I thought that was kind of interesting.”
In addition to the traditional items at a hardware store, Sugar Grove’s Ace is expected to have a robust lawn and garden section, as well as a pet food supply area that will emphasize premium products, Eichelberger said.
“This is going to be really good for the community, as we don’t have one in town,” Eichelberger said. “Obviously, people have needs for various things that Ace Hardware carries, so they can buy it and not leave town.”
Village officials approved an economic development agreement with Ace developer Mark Driscoll of DriBar Illinois LLC, Batavia, where it will pay $10,000 of the required $19,000 Kane County Road Impact Fee.
The agreement also provides that the 1 percent general sales tax will be forwarded to the developer at a rate of 100 percent the first two years; at 75 percent in the third, fourth and fifth years; and at 25 percent for the sixth and seventh years.
Eichelberger said the maximum in the sales tax provided would be $100,000.
Driscoll was unavailable for comment, but in the economic development agreement, he said that without the support from the village, the Ace project would not be possible.
The village is projected to retain $122,500 in new sales tax revenue during the first seven years of Ace being open. Eichelberger said the village will receive 100 percent of its nonhome-rule sales tax, which is also levied at 1 percent.
With regards to the sales tax share with the developer, Eichelberger said it is based on projections with no guaranteed dollar amount.
After the seventh year of sharing general sales tax with the developer, the village will receive 100 percent of the sales tax.
Eichelberger said a fair projection once the store is in its eighth year would be $30,000 to $40,000 a year in sales tax revenue.
“That is significant for the village,” Eichelberger said.
Interim Economic Development Director Walter Magdziarz said though the company has not committed to a specific number of employees, the estimate is 25 to 30.
“To be open by July 1 is the desired goal,” Magdziarz said. “And then have a formal grand opening by Labor Day.”