Cost of Woodstock’s Old Courthouse project surpasses $16 million

Woodstock approved another round of change orders for the Old Sheriff’s House and Courthouse, bringing the expected cost of the project to about $16.3 million.

The City Council last month also approved a contract for the final tenant to occupy the courthouse once it opens.

The newest change order, totaling about $262,000, relates to finishes on the project, City Manager Roscoe Stelford said. At this point, the goal is to have the building turned over to the city in mid-June and the businesses renting space there.

Work started on the building in early 2022.

The largest additions in the new change order include additional wooden flooring and additional demolition of unsalvageable plaster, according to city material. Those items by themselves total almost $200,000.

The expected cost of the project has risen in the past year and a half.

In July 2020, it was expected to come in at about $8.4 million before having another $5 million tacked onto it in late 2021, mostly because of higher market prices for building supplies, equipment and labor, officials said at the time. The council also decided to add a geothermal field underneath a parking lot across the street from the courthouse complex’s rear.

The city is trying its best to control the costs but also realize this is a long-term investment for our community.

—  City Manager Roscoe Stelford

An additional estimated $1.5 million in change orders, along with other costs, brought the total up to a little more than $16.3 million, according to city material.

The city will need to pay a little more than $1.5 million out of its own pocket, with the plan being to reimburse the total with money earned through a tax increment financing district, also known as a TIF district.

Other sources the city is using to pay for the project include about $9 million in bonds, tax credits worth about $4.7 million through a partnership with PNC Bank, $750,000 in TIF revenue and about $328,000 in federal credits.

The courthouse sits within one of the city’s TIF districts, which was established in 2019 to help spur economic development in the city’s downtown area and along Route 47.

A TIF district is a financial tool used by governments to help fund various redevelopment projects by earmarking newly created property tax revenue within the district for redevelopment and improvement projects.

Stelford called the investment into the building “a balancing act,” as the city is trying to be careful with the costs but wants to make sure the project is done right.

“The city is trying its best to control the costs but also realize this is a long-term investment for our community,” Stelford said.

Given the circumstances, however, which have included inflation and typical problems one might expect in renovating a 150-year-old building, Stelford said he thinks it’s gone as well as it can. The age of the building brought with it “a whole host of surprises” once work began, he said.

The council also approved a lease at its Feb. 21 meeting with Makity Make, a do-it-yourself craft studio in Algonquin. The business will occupy the last spot in the courthouse, which is meant to be reserved as an area the public can visit.

Originally, the city had kicked around the idea of placing Creative Woodstock, a city-run arts center, in the spot. But given concerns about it needing city support to operate, officials thought choosing a business that could help maximize revenue was a better choice.

Makity Make is the fifth entity to sign a contract with Woodstock to occupy the space.

The first four, all approved in 2022, were E3 Artisan’s Ethereal Confections, KATLO Inc.’s Public House of Woodstock, the Woodstock Area Chamber of Commerce and MobCraft Beer Inc.

“The building is leased to capacity, so we’re good to go,” Stelford said.