McHenry approves 177-unit development despite objections over rented townhouses

Developer will return before construction starts

Entry sign for McHenry, Illinois

The McHenry City Council has approved the annexation of 122 acres, including 27 acres for developer Redwood’s proposed 177 rental townhome units.

By city ordinance, both the annexation agreement for the site and the ordinance annexing the land on the southeast corner of Chapel Hill Road and Route 120 need the mayor to weigh in. That means Mayor Wayne Jett had a rare vote on the measures, which both passed with 6-2 votes on Dec. 16.

Second Ward Alderman Andy Glab and 4th Ward Alderwoman Chris Bassi were the two “no” votes against the two annexation measures as well as the Redwood development package. Both cited a preference for owner-occupied homes, which Redwood does not build.

McHenry needs more single-family affordable homes. I think a rental community does not solve this problem,” Bassi said before the vote. She is running for mayor next year against Jett, who is seeking reelection.

Redwood’s Paul DeKruiff said the company caters to empty nesters, with tenants averaging 52 years old and their developments averaging 1.6 people per two-bedroom home and 1.5 cars per home. The developments have 12 mph speed limits, and overnight street parking is not allowed.

The units planned for McHenry range from 1,300 to 1,600 square feet, and each has two bedrooms, two bathrooms, a patio and a den that does not have a closet. They are single-story connected units that the developer calls townhouses.

The company hears all the time that “no one will pay” or that they “don’t know anyone” willing to pay their rent, which can be equivalent to the mortgage on a $400,000 home, DeKruiff said.

“I guarantee someone in this room will” know someone who lives there, he said. The company has developments in 11 states, he said, “and we are never below 90% occupancy.”

Redwood residents also generate between $48,000 and $51,000 “in disposable income that circulates back through the economy,” he said.

Seventh Ward Alderwoman Sue Miller said she went out to view the company’s recent Volo development.

“As fast as you got these done, there were moving trucks in the driveway,” Miller said. “They are pleasing to the eye.”

The development “will be a good addition to our [housing] inventory,” she said, adding later that rental housing “is where the market is moving.”

Redwood will need to return to the city before construction begins for the final plat of subdivision, said Ross Polerecky, director of community development.

Redwood only controls the acres that its development sits on, Polerecky said. The additional 95 acres, including frontage along Route 120, is set aside for commercial development. Other portions of the newly annexed land also may be housing in the future.

Have a Question about this article?