McHenry rejected big developments in 2024. Will downtown’s future be central to 2025’s election?

Council’s reaction to Shodeen proposals may be featured on April 1 ballot

A  2-1/4 acres between Route 120 and Green Street that is owned by City of McHenry on Friday, July 12, 2024. Shodeen Group LLC will present to the McHenry City Council's committee of the whole their plans to develop two downtown locations. The city and Shodeen entered in a “standstill” agreement in April 2023, to not market to another developer this site or the former wastewater treatment site off Waukegan Road on the Fox River.

During early discussions for downtown McHenry redevelopment in 2024, a majority of McHenry City Council members indicated that they were not in favor of high-density apartments proposed by developer Shodeen Group.

Those votes – and the future of downtown development – could become the centerpiece of 2025’s municipal elections. One of the dissenting voices, 4th Ward Alderwoman Chris Bassi, is challenging two-term Mayor Wayne Jett on the April 1 ballot as Jett seeks reelection.

Down the ballot, two people have filed for each of the open City Council seats:

  • In the 1st Ward, where longtime Alderman Victor “Vic” Santi is not running for reelection, Bobbi Baehne and Mark Seaquist have filed to run.
  • 3rd Ward: Incumbent Frank McClatchey and Stephen Doherty.
  • 5th Ward: Incumbent Andy Davis and Christopher Moore.

The stage for development dissent was set in early April 2023, before the 2023 municipal elections. McHenry made a deal with Geneva-based developer Shodeen Group. In what the city called a “stand-still” arrangement, McHenry agreed not to market to other developers two downtown properties it controls, and the city would work with Shodeen toward proposals the City Council could accept by March 2025.

McHenry Mayor Wayne Jett, left, will face off against 4th Ward Alderwoman Chris Bassi, right, who is also running for mayor in the April 1, 2025, elections. The two sit on either side of City Attorney David McArdle during the Sept. 16, 2024, city council meeting.

Then, in June, Shodeen proposed a development outside of that agreement, at 1111 N. Green St. Shodeen’s idea was a $30 million, six-story, mixed-use building including 88 apartments, commercial space and 157 under-roof parking spaces. The developer also asked McHenry for $8 million in public funding – $6 million via a tax increment financing district and $2 million in city grants funded by a 1% food and beverage tax across McHenry.

In a nonbinding vote June 17, 2nd Ward Alderman Andy Glab, 3rd Ward Alderman Frank McClatchey, Bassi and 6th Ward Alderman Michael Koch indicated that they would not support the plan, citing various reasons including density, the lack of owner-occupied condominiums and the public expense.

The agreement falls apart

Concerned that the council might not get behind its plans for the 2¼ acres of city-controlled land at Elm and Green streets and the 7-acre former wastewater treatment plant on the Fox River, Shodeen came back in July to present the company’s ideas for those sites.

The developer presented a $98 million plan for the site at Elm and Green streets with 303 apartments, 8,000 square feet of retail space and 422 parking spots across three buildings.

The $190 million plan for the former wastewater treatment site called for 496 apartments, 839 parking spaces and a 130-room hotel.

Both sites had TIF funding requests: $20 million at Elm-Green and $35 million for the former wastewater site.

A pontoon boat cruises past the the former wastewater treatment site off Waukegan Road along the Fox River in McHenry on July 12, 2024.  Shodeen Group LLC will present to the McHenry City Council's committee of the whole its plans to develop the site and another downtown location.

Residents both for and against development spoke during the meeting. Again, a majority of the council indicated in a nonbinding straw ballot that they did not support Shodeen’s ideas.

In a guest column published in the Northwest Herald before the council meeting, Bassi called the proposal a “gross misuse” of taxpayer money.

Jett had said Bassi’s essay was full of false information and noted that Bassi was one of the council members who did not join a tour of other Shodeen projects the company offered. Jett also has said Shodeen’s proposal was only preliminary, and further negotiations would be needed.

The negative reaction caused Shodeen to pull out of the stand-still agreement. McHenry also canceled agreements to purchase property on Waukegan Road adjacent to the former wastewater plant.

Local election looms

Although Bassi has said that she won’t starting campaigning until January, she noted that the city’s focus on downtown redevelopment was part of why she chose to run against Jett.

“Neighborhoods were not being given equal attention, with the bulk of resources and funding going to the Downtown District at the expense of the city as a whole,” Bassi wrote in a message to the Northwest Herald.

Jett began his campaign immediately after filing for reelection. He points to the other redevelopment in McHenry’s downtown, including his own initial investment in Green Street properties, as a highlight of his eight years as mayor. He has said he wants to keep momentum going for new growth.

He needed to start his campaign early, Jett said, to leave time in the spring to work on planning for the RISE Up Foundation’s September 2025 concerts. The foundation’s concert festival, run by Jett and his wife, Amber Jett, have raised $1.2 million for city projects since 2021.

Have a Question about this article?