Commercial ~ Industrial ~ Residential Projects
​and Public Improvements

Your Town's Goal
​Can Become a Reality.
It Begins with a Vision.

"DEVELOPMENT DELIVERED"
​OUR CLIENTS CAN MARKET THEIR TIF DISTRICT SITES TO A BROAD AUDIENCE

Marketing available sites in your community's TIF District can require massive amounts of time and expertise to communicate your message to prospective investors and developers.  "Development Delivered" websites provide easy access to local site information, maps, transportation and public infrastructure amenities, incentives, banking and other data that economic development professionals are searching for.  "Development Delivered" websites also include a customized electronic "E-Magazine" with interactive TIF District maps and contact information.  To further drive visitors to "Development Delivered" websites and generate leads, industry-specific E-Mail campaigns are available to target thousands of decision makers engaged in site selection activities.  Jacob & Klein and The Economic Development Group offer these services to their TIF District clients for an annual flat fee, plus a one-time set-up cost - all of which is eligible for reimbursement from available TIF funds.  Below are a few examples:

​City of Delavan, IL
www.developdelavan.com

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City of Gridley, IL
www.developgridley.com

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City of Peru, IL
www.developperu.com

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City of Silvis, IL
www.developsilvis.com

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ILLUSTRATIVE PROJECTS ASSISTED BY
JACOB & KLEIN AND THE ECONOMIC DEVELOPMENT GROUP

Commercial Bakery in
Peoria Heights, IL

Our Role
What does it take to renovate a 150 year old vacant building to help relocate and retain a local bakery that has been in business for about as long?  Multiple sources of funding sewed together and completed with $1.6 million of TIF Revenue Bonds. 

In 2017, the Village of Peoria Heights welcomed the opening of Trefzger's Bakery in its new Prospect Road location.  We assisted the Village's participation in this project by designing a gap financing structure that essentially limits the Village's risk to only the Developer's pledged revenue sources.  In addition to TIF, the Village established a Business Development District to generate additional sales tax revenue from the project.  Further backed by a mortgage lien and a Special Service Area Tax as a financial backstop, the Village was able to negotiate a series of privately placed bonds with a local bank to provide the final piece of financing for the $4 million+ renovation project.   As of 2019, the project has exceeded its revenue goals by not only generating the necessary funds for annual bond payments, but enough additional TIF increment and local municipal sales tax is available from the project to fully fund a bond reserve account to ensure the Village is always a year ahead of its financial commitment.

The US Small Business Administration, Hickory Point Bank and Peoria County through the Peoria County Keystone Fund Loan Program were also key participants in the final financing package.  The Kim Group provided financial and construction management assistance to the Developer.

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Assisted Living Facility in
Gibson City, IL

Our Role
Jacob & Klein and The Economic Development Group helped Gibson City negotiate an annual "pay-as-you go" redevelopment project with a Private Developer to construct a 50-bed assisted living and memory care facility.  Infrastructure improvements included sanitary sewer, storm sewer and water lines -- all of which was extended by the Developer to the site prior to construction.  Pay-as-you-go TIF reimbursements reduce risk for the municipality by allowing the Private Developer to incur the costs and then be reimbursed by the City over time from the new real estate tax increment generated by the Developer's Project.

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Commercial Travel Plaza in
​Utica, IL

Our Role
Jacob & Klein and The Economic Development Group assisted the Village of Utica with establishing a TIF District at it I-80 interchange.  We helped the Village to negotiate a redevelopment agreement with Love's Travel Stops & Country Stores and obtain a grant from IL DCEO for part of the development costs. By relying on the TIF increment and new municipal sales tax revenue generated by the travel plaza, the Village constructed water and sewer utilities that was extended under Interstate 80 to serve this new commercial development area.   The project is self-sufficient and required no other Village funds to pay for the public infrastructure.

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Commercial Project + Public Project in
Silvis, IL

Our Role
A local bank approached the City with an offer to sell its existing large local office to the City if, in turn, the City would help it with costs of relocating to a new building.  Fortunately, the new proposed bank location was within TIF District I.  With the existing bank building located outside the TIF District, we were faced with creating an approach that would permit the City to use TIF funds for the new bank’s eligible project costs in exchange for credit toward the purchase price of the existing bank building. The bank agreed with this approach and the City moved  City Hall to the former bank building and enjoys private offices, conference rooms, a drive-up window for water bill payments, a spacious records storage vault and a large City Council Chambers.  ​

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Public Project + Commercial Project in
Oglesby, IL

​Our Role
Due to the availability of real estate increment, as well as new state and municipal sales tax revenues generated within the then TIF District I, the City was able to finance the purchase of a former bank building and remodel it for new City Clerk’s offices, Council Chambers and a community meeting room.  Jacob & Klein was called upon to give legal advice relating to the purchase with existing TIF revenues. We also reviewed and approved the purchase contracts and remodeling costs for qualification under the TIF Act.  Fortunately, the bank constructed a new facility within a TIF Area near the City's I-39 interchange.

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Public Infrastructure Project in
Heyworth, IL

In 2009 the Village of Heyworth took advantage of the Federal American Recovery and Reinvestment Act (ARRA) Build America Bonds (BAB) Program to finance the development and upgrading of most of its public infrastructure.

Borrowing at historically low interest rates -- and using only part of the TIF increment generated from their existing TIF Districts -- the Village Board planned the overlay of subdivision streets, installation of new water lines, beautifying the old Downtown and upgrading its sewer system.

Leveraging part of the proceeds of the BABs with Illinois Department of Transportation funds a new U. S. Route 136 entrance to the Village was created with curb, gutter and turn lanes provided to the High School and developing commercial and residential developments. Over $6.6 million dollars has been directed from the Bonds for these projects.

Our Role
In 2009 we were requested by the Mayor and Village Attorney to review redevelopment agreements with developers that were approved before we took over the administration of the Village’s three TIF Districts. At our suggestion, we negotiated with two major developers to restructure existing redevelopment agreements with a goal to reduce existing principal and interest due them.

As a result of these negotiations we lowered the principal and interest saving the Village more than $1.7 million over the term of those agreements. As a result of those savings more than $200,000 per year was added to the TIF cash flow. The Board then decided that they wanted to use these additional funds and other TIF funds available to bond for the public improvements discussed above.

Our role then was to assemble a team consisting of: (1) nationally recognized bond counsel who would assist us as TIF counsel to creatively use the new Build America Bond Program and (2) identify nationally recognized Underwriters who had developed a long list of buyers for this brand new bond issuance. Bringing this team together and working rapidly in an ever-changing bond and interest rate market resulted in a major bond issuance with the lowest available national interest rates. The bond issuance was sold out immediately.

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Industrial Expansion and Railroad Museum in Mendota, IL

 Our Role
After Mendota created its first TIF District in 1986, a major industrial employer, Del Monte Foods, Inc., was poised to close its plant as it had already done in DeKalb and Rochelle and leave Illinois entirely.  The City leaders were determined to retain the plant in Mendota, encourage the plant to expand and preserve local jobs.  We assisted the City with structuring an incentive package to reimburse the company for a portion of the costs of constructing a new $5 million warehouse. 

As part of that effort, the City approved a small bond issue to extend water and sewer to the plant which had previously been located outside of the City limits.  A portion of the bond funding was set aside for the redevelopment of the historic railroad station in the adjacent TIF District I Downtown Area. This early use of funds from one TIF District to another contiguous TIF District benefited the Downtown with increment generated from the construction of the Del Monte warehouse facility.

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Industrial Warehousing in
Ottawa, IL

​Our Role
Jacob & Klein and The Economic Development Group helped the City of Ottawa establish the Ottawa I-80 Area TIF Districts.  Subsequently, our group assisted with the negotiation of redevelopment agreements for attracting large-scale warehouse distribution facilities, such as the 1,000,000 sq. ft. North Central Distribution Center for PetSmart, Inc.  This $30 million project brought 200+ jobs to the community.  Other warehouse facilities soon followed, including a 350,000 sq. ft. distribution center for Kohl's Department Stores.

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Residential Development in
La Salle, IL

In 1993 the Mayor of the City of La Salle was approached by a developer owning land some distance from the City limits who wanted to develop a golf course and surrounding residential subdivisions.  The City did not have funds to extend water to the site and 23 intervening landowners would need to annex property to the City. The annexations had to occur in order to achieve contiguity as required by law.

Our Role
We developed the annexation petitions, agreements and held pubic hearings for the approval of 23 different tracts and owners stretching 2 miles from the then existing City limits to the proposed development site. With our assistance, the City negotiated a redevelopment agreement wherein the Developer would pay for the water line extension and be reimbursed for those costs on a "pay-as-you-go" basis from the new real estate tax (TIF) increment generated by the new homes.

Not only was a popular golf course constructed, but 150 home sites were developed. The increment from this TIF District now totals $1.44 million per year. The developer has been fully reimbursed for the water line extension and other public infrastructure project costs.

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Residential Development in
Cambridge, IL

Our Role
In the early 2000's, the Village of Cambridge purchased property and extended streets, sanitary sewer and water infrastructure to construct a small 14-lot residential subdivision.  As of 2004, just one lot had been sold.  In an effort to accelerate the sale of lots, the construction of new homes and consequently more families moving to Cambridge, we assisted the Village with establishing its first TIF District in April of 2005.  Using TIF to assist in the marketing of home sites, the Village sold out all of its lots by the following October.

Grade School Addition in
Oglesby, IL

​Our Role
The City of Oglesby has successfully used TIF since 1986.  Following commercial, residential and industrial developments that far exceeded the City's expectations for its TIF Districts, the Grade School District indicated it needed to expand and remodel its facilities.  The School Superintendent approached the Mayor and requested help from the City's TIF Funds for completing the expansion.

Our group designed an approach for the City to collaborate with the School District, while keeping the TIF Fund solvent for other public and private TIF projects. Through an intergovernmental agreement prepared and administered by Jacob & Klein, the City contributes a fixed sum every year toward the Grade School District’s Bond payment that financed the School's expansion and other renovations.  

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