Geneva City Council OKs Sales Tax Rebate to Try and Draw Businesses to Former Dominick’s

GENEVA, IL - The Geneva City Council on Monday approved a 10-year agreement with Wauconda LLC to rebate as much as $5 million in future sales taxes to attract new businesses to the former Dominick’s grocery store space at Randall Road and Fabyan Parkway.

Wauconda LLC is planning to to divide the space at the former grocery store, which shuttered in 2013, with the hopes of attracting smaller tenants and also will complete roof, sign, parking and landscaping work on the 20-year building, the Daily Herald reports.

The economic incentive agreement will provide an annual sales tax share of 50 percent going to the city and 50 percent going to Wauconda LLL up until a minimal payment of $100,000 is made to the city annually.

After the minimal payment is reached, Wauconda LLC will get 75 percent of the sales tax revenue for the rest of the year, according to city documents.

The agreement will be in effect until half of the project costs are rebated or for a term of 15 years.
Wauconda LLC plans to spend $10 million to complete work at the former Dominick’s building.

The company that owned Dominick’s, which had a store in Geneva between 1996 and 2013, still has a lease for the space at Randall and Fabyan and a part of that lease bans any grocery store from moving into the location, according to the Daily Herald. Wauconda LLC has negotiated an agreement for conditional lease termination.

More via the Daily Herald

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