La Grange OKs Tax Break For Business

LA GRANGE, IL – La Grange trustees this week approved a break on property taxes for an Addison business that wants to move to La Grange.

Whole Cubes, an office furniture dealership, plans to buy the 24,000-square-foot building at 9600 Ogden Ave.

According to village documents, La Grange issued permits in 2020 and 2021 for a remodeling project that was valued at $340,000.

Whole Cubes plans to further improve the 87-year-old building with roof repairs, a new restroom and an expansion of a loading dock, among other things, with the project amounting to about $240,000.

Whole Cubes is under contract to buy the building for $1.8 million. With the upcoming upgrades, the property is expected to be valued at $2.1 million, far more than its value of $650,000 in 2019, according to village records.

In 2019, the total property tax bill for the site was $44,716. Because of the vacancy, the bill fell to $27,605 in 2020.

Under the Cook County incentive, the property taxes would rise far less than they otherwise would, to $59,707. That's still about $15,000 above what they were when the building was last occupied in 2019, according to the village.

In a letter to La Grange officials, Whole Cubes said that without the incentive, the project would not be viable, citing the "heavy" Cook County tax burden.

If the building remained vacant, the company said, that would keep the property tax bill relatively low.

The tax incentive would last a dozen years. After that, the property would be assessed at its actual higher value.

In its letter, Whole Cubes said its sales would generate $10,000 a year in sales taxes for the village. And the company estimated its employees would spend $45,000 in the village each year.

Trustee Beth Augustine said the building has "languished, looking almost abandoned."

"It sure seems like this business is a fit for this property at this time," she said. "It doesn't hurt that the plans for the design exterior are actually quite attractive."

Owner Joel Stein said he started the dealership 13 years ago, renting a building for the last five years in Addison. He said he was looking for a "proper home in a good community."

The trustees unanimously supported the incentive.

Last year, another business sought the same tax incentive for the property, but then withdrew its request.