November 28, 2024
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Builder backs out of redevelopment of Woodstock’s long-vacant former Die Cast land

By Claire O'Brien
The city of Woodstock recently heard three different proposals to revitalize the old Die Cast site in its downtown. The City Council discussed the proposals further at its Tuesday, Nov. 15, 2022, meeting.

The would-be developer of the long-vacant former Die Cast site in Woodstock, shown in 2022, has pulled out of a deal to build on the property. (Gregory Shaver — gshaver@shawmedia.com/Gregory Shaver for Shaw Media )

Months after Woodstock approved a plan to redevelop the former Die Cast site near downtown, shovels will not be going into the ground soon after all.

The developer for the project, Chicago Hubs Realty, told the city in September that it was having financial difficulties after the Illinois Housing Development Authority withdrew affordable housing credits. That made it unfeasible for the company to move forward on phase one, according to city documents.

However, an Illinois Housing Development Authority spokesperson said the agency did not see a submitted application from Chicago Hubs Realty for low-income housing tax credit in the agency’s database.

The large-scale redevelopment of the long-vacant former factory site was to be completed in multiple phases. Phase one, focusing on affordable senior apartments, was expected to be under construction this year after the City Council gave its blessing in February. The project came with a $108 million price tag, and the developer was seeking about $18 million in tax increment financing funds. The property sits in a TIF district downtown that was approved in 2019 and expires in 2042.

A TIF district is a redevelopment incentive for which increased property tax revenue generated by new construction within the district is funneled back into the project to cover some redevelopment costs.

The city considered Chicago Hubs Realty’s inability to secure the financing to mean that the developer defaulted on the TIF agreement, and the City Council officially canceled the contract Nov. 19.

Mayor Mike Turner said it was a “disappointment” to see the agreement get canceled. He said the developer was a “good partner with good intent” but ultimately couldn’t secure the financing for the project. Turner said the city has a “great asset” in the property.

City Council member Gordie Tebo said the city’s process was thorough and honest. He said he felt bad the redevelopment didn’t pan out but didn’t feel bad about the efforts made on it.

Council member Bob Seegers said the city could learn from what transpired and agreed with Tebo that the city did as well as it could to secure the redevelopment.

“We’re better off just ending it and moving forward, and I’m excited about that,” Seegers said.

Woodstock Director of Business Development Danielle Gulli said the city will be going back out to market for the project.

A message left Tuesday for WellQuest, the company behind Chicago Hubs, was not returned.

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