Council Approves Changes to Accommodate Trader Joe's at Emerson/Maple

By Mary Helt Gavin

The excitement over the possibility of a Trader Joe's grocery store coming to Evanston galvanized City Council members into approving changes to the planned development ordinance governing the project proposed for 1890 Maple Ave., at Emerson Street. Developer Robert King of Carroll Properties proposes a 14-story mixed-use high-rise rental building for the site.

Timing and Trader Joe's
At the July 14 City Council meeting, Mike Deegan, a representative of Trader Joe's, said the company would set up a Trader Joe's in that project. In addition, David Reifman of DLA Piper, attorney for the developer, said Trader Joe's had signed a letter of intent in late June, indicating they would establish a grocery store in the 1890 Maple Ave. development.

A question remains, however, as to when that might be. On Aug. 11 City Council gave the project a two-year deferral in its construction start-time, until October of 2010. Further, Alison Mochizuki, director of national publicity for the company, told the RoundTable on Aug. 18, "As of today, Evanston, Illinois, is not in our two-year plan."

Gregg Gaines, a colleage of Mr. Reifman's at DLA Piper, told the RoundTable believes Trader Joe's has "every intention to build on this site. ... All we have to do is start construction by October of 2010, and maybe the construction time is why [the Evanston Trader Joe's] is not in the two-year plan."

Mr. Gaines said he had seen the letter of intent but would not discuss its terms except for expanded curb cuts on Emerson Street and "exposure from the street." He said DLA Piper was hired only as the "zoning attorney" but added, "Trader Joe's is negotiating and finalizing the final lease agreeement."

The PUDs
The first planned development approved by City Council granted zoning relief for height and parking allowances. Under that agreement, Mr. King also agreed to pay $150,000 as a public benefit to the City, to be used for upgrading and re-timing the traffic lights along Emerson Street between Ridge and Maple avenues.

At the July 14 meeting, the developer requested a curb-cut on Emerson Street to accommodate the Trader Joe's customer and freight traffic. At the July 28 meeting, the developer said he had reduced the retail space from 40,000 square feet to 15,000 square feet; added two apartments, bringing the total to 154; and added sufficient parking to meet the City's 249-space requirement for the project.

The new proposal calls for a curb-cut on Emerson Street for entry to the project, and the elimination of two metered parking spaces, for which the developer will pay the City $4,500 annually.

Eric Russell of KLOA Traffic Consultants, whom the developer hired to conduct a traffic study, said the grocery store and apartments would generate about 50 additional trips per day during the morning rush period. He said there would be no significant difference during the peak evening period.

Because of the expected increased traffic and the width of the trucks - up to 62 feet - City traffic experts also recommended relocating the curbs on University Place in the rear of the development. Other proposed changes include eliminating the free parking on both sides of Emerson Street between Ridge and Maple avenues, possibly adding metered parking on the south side and eliminating parking altogether on the north side. The Parking Committee may address the potential parking changes.

During citizen comment at the Aug. 11 City Council meeting, at which the new planned-development ordinance was approved, Lorraine Posner, who said she lives nearby and walks to many places in the downtown area, asked that aldermen not approve the project. "It is not well thought-out," she said.

"The downtown plan talks about 'walkability,' but with this plan there is too much traffic on Emerson for safe walking and there is not enough parking [in the project to accommodate Trader Joe's patrons]. You were about to reject the building before the magic words 'Trader Joe's' were uttered."

Alderman Edmund Moran, 6th Ward, who has consistently opposed the project, voted against the measure. "I have objected to this project in terms of scope and location. ... It is not the correct project for this place," he said.

Council Approves $25,000 to Bravo

By Larry Gavin

The City will use TIF funds to reimburse Bravo for part of the cost of the awnings and fencing for its new restaurant at Church Street and Maple Avenue.

On Aug. 11 City Council approved a request to reimburse the Bravo restaurant chain up to $25,000 for "streetscape improvements" at its new Italian restaurant on the northeast corner of Church Street and Maple Avenue. The request spawned a lengthy debate at the City's Economic Development Committee (EDC) meeting held on Aug. 6, with two members of EDC questioning why the payment should be made. City Council, however, readily approved the payment out of the Downtown II TIF funds by a vote of 7 to 1, with Alderman Edmund Moran, 6th Ward, casting the sole no vote.

At the EDC meeting Dennis Marino, interim director of the City's Community Development Department, said staff recommended that the City contribute $25,000 for partial reimbursement of the cost of awnings, wrought iron railings and signage, which he said will enhance the exterior appearance of Bravo's restaurant façade and the plaza in front of the restaurant. He said Bravo was putting more than $700,000 into retrofitting the space, which was previously occupied by a Wolfgang Puck Café.

Mr. Marino added that City staff was prioritizing other capital improvements in the area, including a widening of the sidewalk on Maple Avenue, a potential enhancement of the plaza in front of Borders and modifications to the Maple Avenue Parking Garage to address lighting and convenience parking issues. The Bravo improvements are "part of an overall package," he said.

At the ECD meeting Ald. Anne Rainey, 8th Ward, said the improvements proposed for reimbursement would enhance the area and $25,000 was a very reasonable amount. "I don't think there's a better way to spend the TIF money," she said.

Ald. Melissa Wynne, 3rd Ward, said, "I think this is terrific, especially in this economy. We should welcome them."

Ald. Moran opposed the payment. He said Bravo had 16 or 18 restaurants nationwide and was a highly successful business. "This is not expenditure to draw them here. They are here." He also questioned whether the plaza was truly a public place, because the tables outside would be fenced off. "Nobody can simply walk up and sit down in the plaza there," he said.

EDC member Daniel Minnimeyer also opposed the payment. He said Bravo had already committed to locate in Evanston, and the payment would not be made to induce them to come here.

Mr. Minnimeyer also questioned making a payment toward the awning, which would promote Bravo's corporate identification. He said paying them $25,000 "would be good will. It would be an 'Atta boy!' ... But why would we pay them something after they're already committed? It's a gift."

Ald. Lionel Jean-Baptiste, 2nd Ward, said the public would benefit from the payment: "It's a public area. ...That whole area is used as a public space." He added, "Improving the viability of existing businesses is a valid purpose of a TIF." The City's TIF consultant, Robert Richlycki of Kane, McKenna and Associates, Inc., confirmed the reimbursement was appropriate from a legal standpoint.
Mr. Marino said the Bravo restaurant is expected to open in September.

New Chamber President Wants Unified Economic Plan

By Mary Helt Gavin

Jim Marsh, who took over as president of the Evanston Chamber of Commerce earlier this summer, says he would like to see a unified economic development plan for the City.

"Our [present] economic development plan seems to be more residential. We need to bring developers together and entice businesses to come and to stay."

Mr. Marsh said he has talked with the Chamber's executive board and they agree. "We'd like to see Evanston come up with real ways to [do that]," Mr. Marsh told the RoundTable. "Evanston could become the new nanotechnology center or a design center."

Mr. Marsh said he and the board see the Chamber's having a part in creating or implementing such a plan but added, "It can be bigger than the Chamber - it has to come from the City, from the community and the business community. ... There are a lot of people out there invested in the community." He also said, "I don't know how much we can get done in a year, but we'll definitely hold the banner."

Other directors serving on the Chamber's executive committee are Don Huff (financial adviser, Merrill Lynch), past president; Randy Usen (senior vice president, First Bank & Trust), president elect, who will also serve as treasurer; Eugene Sunshine (senior vice president for business and finance, Northwestern University), vice president for regional affairs; Ron Fleckman (president, Cyrus Realty Group, Inc.) vice president for membership; Corrine Passage (senior vice president, production and systems development, Pivot Point International), vice president at-large; Lawrence Widmayer (senior agent, Commercial Group, Koenig & Strey, GMAC), vice president for governmental affairs; and Kristen Murtos (senior vice president, marketing and business development, Evanston Northwestern Healthcare), vice president for marketing.

New Chamber board members are Tommy Dortch, president, T&L Auto Collision & Rebuilders; Steve Hagerty, president, Hagerty Consulting, Inc.; Tommy Jenkins, clinical massage therapist, Thera-Massage; Joseph Romano, president, Romano Brothers & Co.; Tracey Samlow, president, MJ Catering Inc.; and David Fisher, owner, Rock Star Consulting.

Committee Approves $500,000 Subsidy to Farmer's Best Market

By Larry Gavin

The City's Economic Development Committee decided unanimously to approve a $500,000 subsidy to Farmer's Best Market to assist Farmer's Best to build out its store at 430 Asbury Ave. The subsidy would be provided over time by sharing City sales taxes with Farmer's Best up to the $500,000 amount.

Farmer's Best has entered into a 12-year sublease of the space at 430 Asbury Ave., which has been vacant for three years, said Morris Robinson, economic development planner. The store will sell produce, fish/meat, groceries, and beer and wine. "They are coming in with a wonderful store, a wonderful design," Mr. Robinson said.

The principals met with neighbors at the site last month, and more than 200 people attended, showing support for the store. Referring to Aldermen Ann Rainey, 8th Ward, and Anjana Hansen, 9th Ward, Mr. Robinson added, "The aldermen were adamant: They wanted a grocery store."

Nick Merikas, one of the principals of Farmer's Best, said the stores they operate emphasize freshness. Their stores are full of fresh produce, fresh fruit and have a wonderful deli, he said. They will be competitive for the whole community, whether households make $40,000 or $150,000, he added.

The shop owners requested a sales-tax- sharing subsidy to help offset the cost of the cooler/refrigeration equipment needed for the store, which is pegged at about $560,000, said Bob Richlyki, a representative of the City's consultants Kane, McKenna and Associates, Inc. He said Farmer's Best's sublease did not contain an allotment for tenant improvements, although the rent charged under the sublease was less than the amount being paid under the original lease. He said a gap exists between the estimated cost of the improvements and start-up inventory, pegged at about $2.2 million, and Farmer's Best's ability to finance the improvements.

Farmer's Best projects it will have sales totaling about $94 million during the six-year period 2009 through 2014. Based on those projections, the store would generate about $1,035,000 in City sales taxes. Under the sales-tax-sharing agreement, one-half of the sales taxes generated would be shared with Farmer's Best, up to a maximum of $500,000.

"I think this is all very, very good news," said Ald. Melissa Wynne. "I have a lot of people in my ward who would like this type of store. We've used sales tax in the past to bring businesses."

Ald. Edmund Moran said Ald. Rainey, Ald. Hansen, and Mr. Robinson worked very hard to make this happen, adding, "I think this is going to be a terrific development."

The site of the new store was formerly occupied by an Osco Drug store. Osco was closed about three years ago, after CVS acquired Osco and opened a new CVS store on Howard Street and Asbury Avenue. Ald. Rainey said CVS could have leased the vacant space to an auto parts store or for other uses. By not doing so, "they showed respect to our community," she said.

The Committee directed staff to prepare a sales-tax-sharing agreement for the Committee to review. The arrangement is still subject to City Council approval.