Plans For Lake Forest Assisted Living Development Put On Hold

LAKE FOREST, IL — In response to the latest proposal for an assisted living facility and commercial development at the Amberly Woods site, the City Council last week decided to hire outside consultants and appoint a working group to come up with a comprehensive plan for the the Route 60 corridor. Aldermen unanimously decided to table the developers' request to move forward, setting it aside until a broader study can be completed.

The 8.5-acre parcel in question is located just east of Interstate 94 on the southeast corner of Route 60 and and Saunders Road. It was discussed as a potential spot for a Whole Foods grocery store in 2014, but that proposal was dropped in 2015 after aldermen voiced concerns and the grocery store decided to open directly to the west in Vernon Hills.

Community Development Director Cathy Czerniak said it was worth determining whether or not aldermen would support the proposed use of the site for an assisted living facility under any circumstances before encouraging the developers to spend more time and money preparing plans for one.

"This area has often been talked about as yet another gateway, one of many we have to our community," Czerniak said at the City Council's April 1 meeting. "But importantly, and consistent with the traditions of Lake Forest, this study will give us an opportunity to look at the area comprehensively, and to really, as opposed to making a knee-jerk decision, think about what's best for the long term — for community character, for the community financially, for residents who live in the area and for businesses in that area who are really an important part of our community to attract and retain."

The property's current owners bought the site in March 2016. According to city and county records, the land was purchase for $4.2 million by Jason Smith of Lake Bluff-based Smith Capital Management, Inc. through the entity Pendulum Lake Forest Partners LLC, which is 50% owned by Middleton Partners, a Northbrook-based real estate investment firm.

The firms are working alongside Oakleigh Assisted Living "in the process of zoning and entitlements for a new 100 unit luxury Assisted Living facility, along with two restaurants" and a retail shopping center with approximately 15,000 square feet, according to Smith's website.

The developers presented the proposal to the Plan Commission at it its March 13 meeting, requesting zoning changes, a site plan and subdivision, permission for tree removal and more to build an assisted living and memory care facility on the southern 3.8 acres of the property.

As approved as part of the 2006 Amberly Woods development plan, the area in question is currently zoned to allow a pair of office buildings with up to 42,616 square feet each, up to 45 feet tall, as long as they are at setback at least 150 feet from Route 60.

The proposal would include the demolition of the David C. Everitt estate — also known as the Baggott House or "Blithefield" — a Tudor revival mansion named a historic Lake Forest landmark in 2003. The Historic Preservation Committee would have to approve such a demolition. A copy of a historic resource assessment commissioned by the city in 2013 was not immediately available from staff.

Czerniak said the consultant and working group would investigate if the current zoning for the site is still appropriate. Changes in the real estate environment for suburban office space has changed in the 13 years since the zoning for the site was last changed.

"The Plan Commission thought this was a good opportunity, rather than incrementally looking at this site, for which much due diligence was done in the past, to really step back, make sure we're looking at the corridor, really re-evaluating and acknowledging that perhaps a change in use is appropriate," Czerniak said.

Co-owner Smith, a Lake Forest native, explained the reasoning for the proposal at the commission hearing.

"Instead of going the direction of hiring an office broker or partnering with a medical office developer, we heard very clearly that the city would like to see retail and restaurants on this site," Smith said.

Gerry Callahan, an attorney representing the developers, told the full City Council that the commission had suggested a sensible approach by acknowledging aldermen had the final say on the use of the site.

"Instead of spending months going through technical plans and burning a lot of time without really knowing is this a use, or are these uses, that the city is interested in," Callahan said. "My client doesn't want to spend months and months on a project that's not going to go anywhere if that's what the council decides."

He said he supported "having the use vetted and receiving direction on that, then an informed decision can be made by the developer as to whether to proceed."

The city already has more than $20,000 in anticipated consultant costs budgeted to be spent on updates to the comprehensive plan this year. The process would be similar to the recently completed working group for the Waukegan Road business district, according to staff. Discussions with residents, property owners, business representatives and other stakeholders will delve into the potential value of new uses, development opportunities and challenges along Route 60.

Ald. Jed Morris, 1st Ward, said it make a lot of sense to hire a consultant to evaluate the best use of the property.

"Up until now we've been talking about this parcel as a commercial development with daytime uses," Morris said. "Now we're going to potentially put a 7/24 health care facility on this lot, which puts a lot of different demands on our fire and police department that we don't really understand."

Ald. Jack Reisenberg explained he has become very familiar with the intricacies of the property over the past six years.

"There's a lot of hair on this thing," Reisenberg said, pointing out the 150-foot setback requirements were somewhat inconsistent with viable commercial uses. The 3rd Ward aldermen said he supported a deliberate approach to planning for the site.

"I think any other approach would really be 'Ready, Fire, Aim,'" he said.

Earlier:

• Whole Foods Picks Vernon Hills Over Lake Forest
• Whole Foods Has No Current Plans for Lake Forest Location
• Whole Foods Proposes Lake Forest Store