On the same night Brookfield trustees voted unanimously to establish written policies for the village’s TIF district on Ogden Avenue, they also took the first step toward using the TIF district as a tool to promote economic redevelopment on the street.
The board voted 5-0 to enter into an exclusive contract with Northbrook-based Korman, Lederer and Associates, a commercial real estate firm, to market and sell the former Lucas Tire property at 9528-40 Ogden Ave.
According to the contract, which has a term of 120 days, the real estate firm will be asked to broker a deal to attract a national fast-food business to the corner property.
“Our goal is to bring new development to the village of Brookfield, hopefully encompassing some type of fast-food operation that would have some type of ice cream component,” said Harlan Korman, principal for the company, after the board’s vote.
According to Korman, his company has already been in contact with “a couple” of fast-food chains, “but we’re open to any opportunities that come around.”
John Novinson, an associate with Korman, Lederer and Associates, said that the location of the site and demographics of the area make it ideal for such a use.
“The use will directly address a known desire of the community,” Novinson said.
While Korman, Lederer has been hired to broker a deal, the contract also recognizes the ability of the real estate firm to buy the property itself and develop it. If the company decides to purchase the property outright, it would lose the 5-percent sales commission included in the contract.
But the contract makes clear that the village views Korman, Lederer as a partner in the development of the former car dealership/service facility at one of Brookfield’s gateways on Ogden Avenue.
“We don’t view them just as a real estate agent or broker,” said Village President Michael Garvey. “They can be the developer.”
Assistant Village Manager Keith Sbiral said that Korman, Lederer has been interested in the Ogden Avenue site for at least the past two years. While other potential developers had also approached the village, Sbiral said, Korman, Lederer “kind of stuck with it.”
“This turned serious a few months ago,” Sbiral said.
Officials hope that the end result of the contract, according to Sbiral, will be “a redevelopment agreement, which is the first redevelopment agreement in the Ogden Avenue TIF district.”
To date there has been no real estate appraisal done on the site, and Korman said that his company has not determined an asking price for the property yet. The company is expected to produce sales materials at its own expense and advertise the property in print and online publications at its own expense.
Any developer would be able to petition the village for TIF funding to help make a project happen. Entering into the contract with a real estate firm, said Sbiral, would send a strong signal to prospective buyers.
“We and they felt we needed to take this step to get more formalized and be credible … to a potential end user moving forward,” Sbiral said.