La Grange Today

Village capital projects staff reports available online

The La Grange village board of trustees on Monday held a workshop to review and discuss capital projects for fiscal year 2008-2009.

In coming days we'll report on some specific projects. In the meantime, you can read the staff reports that were prepared for the workshop.

Link to the staff reports.

Closing on Gordon Park sale postponed again as attorneys are immersed in motions and discovery

The Park District of La Grange today agreed to put off until at least March 31 the closing of its sale of 2.82 acres of Gordon Park to developer Atlantic Realty Partners (ARP).

Robert Bush, attorney for the park district, agreed to the postponement during a status hearing before Cook County Circuit Court Judge Leroy Martin Jr, who is presiding over a lawsuit filed by La Grange resident Orlando Coryell that seeks to stop the sale.

Bush yesterday filed a motion for summary judgment in favor the park district, arguing that there was general agreement on the material facts at issue in the case.

Tom Beyer and Mark Wohlberg, attorneys for Coryell, scoffed at the suggestion of agreement, noting that the park district has admitted to only 37 of the more than 140 facts contained in Coryell's six-count complaint.

"A lot of factual issues are unresolved," Wohlberg said.

Beyer told the judge that the park district also had not responded to discovery requests filed a month ago.

Bush told the judge that the park district would "make reasonable efforts to resolve all discovery issues."

Beyer said he would file a response to Bush's motion for summary judgment within a week, and also got the judge's permission to request a preliminary injunction that could bar the park district from consummating its sale until the lawsuit is resolved.

ARP's attorney, Brad Block, made his first appearance on behalf of the developer, who is named as a co-defendant in the lawsuit. Block said he would file a response to Coryell's complaint sometime this week.

Charlene Yaneza, an attorney from the law firm Sidley Austin, identified herself as representing the YMCA of Metropolitan Chicago but only as a monitor observing the proceedings from the gallery.

The YMCA has not yet responded to a subpoena served on it last week by Coryell's attorneys for records related to its transactions with ARP.

ARP hopes to redevelop the former Rich Port YMCA site and the 2.82 acres of Gordon Park that adjoin it as La Grange Place, featuring 283 apartments, 26 townhouses and 33,000 square feet of retail space.

Judge Martin scheduled the next status hearing for March 18.

Gordon Park sale contract made public at $9 a copy

The Park District of La Grange is making copies of its contract to sell 2.82 acres of Gordon Park to developer Atlantic Realty Partners (ARP)—for $9 a copy.

The 36-page document, photocopied onto 18 pages front and back, can be obtained in person during business hours from the park district office, located at 536 East Ave, La Grange.

Persons requesting a copy also must complete an application under the Illinois Freedom of Information Act (FOIA). Application forms are available at the district office.

The park district accepts cash and personal checks with appropriate photo ID.

Persons wishing to view the contract without removing it from the premises may do so without charge, in accordance with the law, but must first contact the district to make viewing arrangements and complete a FOIA application.

Dean Bissias, executive director for the park district, was asked why the district did not simply post the document on its web site where it could be viewed by anyone at no charge.

"That's not what I was instructed to do," Bissias said.

Under Illinois law, park districts and other public bodies "may charge fees reasonably calculated to reimburse its actual cost for reproducing and certifying public records."

Rates adopted and posted by the park district are 50 cents a page for photocopies of documents, although the district has in the past waived those fees for copies of standard documents, such as its annual budget and financial audits.

The board used the district's web site in Dec. 2007 to disclose some but not all terms of an earlier contract it had with ARP after several residents criticized the board for not making that document public.

Prior to a voter referendum held last November, the board posted extensive information on the website about the benefits it believed would be derived from a sale to ARP.

Voters approved the sale by a margin of 55 to 45 percent, but before the contract with ARP could be formally approved, the developer had to submit the winning bid at a public auction held Jan. 8. ARP was the only bidder at that auction and intends to include the 2.82 acres of parkland in a major redevelopment of the former Rich Port YMCA site. However, closing of the sale has been postponed pending the outcome of a lawsuit filed in December by La Grange resident Orlando Coryell, who opposes sale of the parkland.

Awaiting DNA results in rape of La Grange woman; suspect is drifter who almost got away, police say

Police and prosecutors are awaiting the results of DNA testing before a preliminary hearing is held for a man charged with raping a La Grange woman after invading her 7th Ave apartment.

Rape suspect Daniel H. Behning
Click photo for larger image

Daniel H. Behning, 34, was arrested Feb. 10 shortly following the incident, and arraigned Feb. 12 on charges of aggravated criminal sexual assault and burglary. 

Police say the suspect likely gained access to the victim's building by ringing doorbells at random until someone buzzed him in. He then forced his way into her apartment after she opened its door in response to his knocking.

Police were alerted to Behning by a neighbor who phoned to report that a white male "looking very anxious" was standing on a nearby sidewalk as officials were investigating the crime scene, La Grange Police Chief Michael Holub said.

Behning matched the description of the attacker given to police by the victim, he said.

Holub said Behning told police he was waiting for someone in a car to pick him up and gave them an address nearby as his residence. Police later learned that Behning had only been staying at that address for a couple days as the guest of someone he met at a social function, Holub said.

Holub believes Behning is "a drifter" who was on his way out of town when he was apprehended.

"If he had caught his ride, we might never have caught him," Holub said. He credited the neighbor, who did not know the suspect but found his presence and behavior suspicious enough to phone police.

"I'd rather get 1,000 calls regarding suspicious behavior that turn out to be about nothing than miss one call that helps us remove a truly bad person from the community," Holub said.

A review of Behning's criminal history revealed 22 convictions for prior crimes, along with outstanding warrants in Illinois and Michigan. Behning also has used several aliases, records showed.

"He's had several short jail stays of 30 days or so," Holub said, "but nothing in a penitentiary."

That likely will change if Behning is found guilty of the charges he now faces, Holub said. In the meantime, he is being held in the Cook County Jail with bond set at $1 million.

DNA samples obtained from Behning under a court-ordered search warrant are being compared in a laboratory to DNA evidence obtained at the crime scene, Holub said.

YMCA records subpoenaed in Gordon Park lawsuit

An attorney for Orlando Coryell wants the YMCA to turn over documents for use in a lawsuit that seeks to stop the Park District of La Grange from selling 2.82 acres of Gordon Park to developer Atlantic Realty Partners (ARP).

Attorney Tom Beyer said today he served notice on the YMCA of Metropolitan Chicago in a letter sent Feb. 13 via certified U.S. Mail.

The YMCA has not yet received the request, Lee Concha, a YMCA spokesperson, said today.

The request directs the YMCA to produce "all correspondence, memos, preliminary drafts of contracts, and signed contracts" between the YMCA, ARP, the Park District of La Grange and the Village of La Grange "that relate in any way to [ARP's proposed La Grange Place] Project or the sale of Gordon Park or the adjacent YMCA land."

La Grange Place is a major mixed residential and commercial development that the ARP plans to build on a site composed of the combined YMCA and Gordon Park land. It would consist of 283 apartments, 26 townhouses and 33,000 square feet of retail space at the corner of Ogden Ave and La Grange Rd.

Coryell objects to the use of park land for the development. In December, he filed a lawsuit against the park district in Cook County circuit court seeking to block the sale. ARP was named as a co-defendant after it was the sole and successful bidder at a public auction of the park land conducted on Jan. 8.

In his lawsuit, Coryell alleges that ARP was the only bidder because it had an unfair advantage over other prospective bidders because of actions taken by the park district in conjunction with the YMCA and the Village of La Grange, thus creating a "private sale" in violation of the Illinois Park District Code.

Beyer believes the documents requested from the YMCA will help substantiate Coryell's allegation.

The lawsuit also alleges that the park district did not comply with requirements in the code in holding a referendum on the sale Nov. 4 in which voters authorized sale of the parkland. The suit also contends that sale of the parkland would violate the Public Trust Doctrine.

Judge Leroy Martin Jr has scheduled a status hearing on the lawsuit for tomorrow morning.

Since the last hearing two weeks ago, the park district responded to an amended complaint filed by Coryell but has not yet responded to his requests for interrogatories and to turn over related documents that it possesses.

APR President Richard Aaronson last week said that the developer would be represented in the lawsuit by Bradley Block, an attorney with a private practice in Lincolnshire.

Utopia closing downtown shop after seven-year run

Utopia, a purveyor of upscale and original women's fashions, is closing its downtown La Grange store, owner Kim Shimkus said. Signs advertising its "going out of business" sale were posted today in the windows of the store, located at 26 S La Grange Rd.

Women's fashion retailer Utopia is going out of business.
Click photo for larger image

The reason for closing is one commonly heard these days. "It's mostly the economy," Shimkus said. "Everything has been on sale for the past six months. My profit margin is way down but I still have a very expensive overhead."

The store's final sale is underway with 30 percent markdowns on all merchandise. Further reductions will be made on a graduated basis until March 14, when Shimkus vacates the premises.

She expects a lot traffic at the store this weekend as her clientele sweeps up newly arrived spring fashions, accessories and jewelry at bargain prices. "We're not just selling off old stock," she said.

Shimkus takes pride in noting that all of her merchandise is ethically sourced. "We sell no Korean sweatshop goods," she said. The store also offers organic fabrics.

Shimkus said she opened Utopia's La Grange store seven years ago after having managed the original Utopia location in Oak Park. That store will remain open, but is owned by another individual, she said.

Once the La Grange store closes, Shimkus said she will continue serving as a personal fashion to her core clientele, "women I have dressed for years." She said she also is surprised by the number of job offers she has received as people in the local fashion industry learn of her plans.

Should the economy recover sufficiently in the next couple years, Shimkus said she would certainly consider opening another store of her own, possibly in La Grange.

"It's all up here," she said, tapping her skull. After her years of Utopia, "I feel like I got an MBA."

Revision of theater financing is opportunity to rework the deal, Horvath says, but board shows no support

As the La Grange village board Monday night reviewed proposed revisions to an agreement that extends $1 million in financial aid to the La Grange Theatre, Village President Liz Asperger noted that the changes would provide the village with more security in the event the downtown theater failed.

Trustee Michael Horvath, on the other hand, said he was more concerned about the "upside" of the village's investment in the theater's renovation and that he believes the deal denies La Grange taxpayers the opportunity to fully share in any success that might bloom from it.

"The million dollars can bring the theater back to life and it can be wildly successful," Horvath said. "The theater owners can take lots of profits out of it and at the end of the day the taxpayer will get nothing back and will not share in those profits. Why shouldn't the taxpayer as the catalyst investor [...] share in that success in some way, shape or form?"

Horvath said he wanted to reconsider charging an entertainment tax on each theater ticket sold. That idea was seriously discussed  by the board during hearings held last year, but later discarded.

Horvath described the theater deal as a "bailout" similar to those being hammered out on the federal level for the banking and automotive industries. The difference, he said, is that taxpayers will profit if the federal efforts are successful.

Asperger bristled at the "bailout" comparison and chided Horvath for attempting to resurrect a debate that she said was put to rest Nov. 9 when the board in a close vote agreed to allocate $1 million in tax increment financing (TIF) funds to pay for structural renovations to the theater that its owners say are necessary to continue operating as a movie venue.

"Your question is one that you have asked on several occasions before," Asperger said to Horvath. "My short answer is that your desire to participate through some sort of repayment mechanism, as you have suggested, is simply not part of the transaction that the board structured with the owners."

"Well, that deal was a purchase, not a loan," Horvath retorted. "These are new terms, so I am suggesting a new term as part of the loan."

Under the revised terms of the million-dollar agreement reviewed by the board Monday night, the village would purchase an easement on the theater's facade for $237,500 and provide the remaining $762,500 in the form of a loan that would be repaid only if the theater ceases to operate as a movie venue. Originally, the board agreed to pay the entire $1 million in return for the facade easement, but the theater's owners, John Rot and David Rizner, asked for the revisions after realizing that receiving payment in excess of the facade's appraised value likely would result in taxable capital gains.

Asperger argued that the revisions were more about the form of the financing, not its substance. "We still have a million-dollar investment," she said. "We still invest our money into the theater through the same escrow vehicle with the same protections, the same operating covenants and the same repayment obligation should the theater cease to operate, as we did originally. We simply have structured it as a loan actually to provide additional security to the village in the form of a junior mortgage."

Asperger also disputed Horvath's contention that taxpayers would not share the wealth in the theater's success. "I think a majority of the board approved participation in this project because of their stringent belief that in fact it was a very beneficial transaction to the taxpayers, and that there were multiple ways in which members of our community and taxpayers would benefit as a result of our involvement in the project."

Trustee Mark Langan agreed with Asperger and identified specific ways he thought the project would profit both taxpayers and the community at large. "The benefit we're going to get, should it be successful, is increased sales taxes, increased activity in the village and continued success of our downtown," he said. "Those are the pieces we're going to get by this moving forward.

"We talked about [the deal] for six months," Langan said. "We had a very difficult vote. We voted 4-3 to move forward. Let's move on. We've got other business to handle."

When Horvath proposed polling the board to see if other trustees shared his sentiments, no one seconded the notion.

"It sounds like the majority is saying 'no'," Horvath said.

Actually, there will be a vote on the matter, likely at the board's Feb. 23 regular meeting, when trustees will be asked to formally approve the revisions and an intercreditor agreement with First National Bank of La Grange, which holds a mortgage on the theater.

La Grange Library to screen movie, 'Casablanca'

The La Grange Public Library on Friday (Feb. 13) will screen Casablanca as part of its Classic Film Series. The showing begins at 1 p.m. Admission is free.

The 1942 film tops the list of the American Film Institute's "most romantic films of all time." It also won three Academy Awards, including Best Picture.

Its stars include Humphrey Bogart, Ingrid Bergman, Claude Rains and Paul Henreid.

For more information on this event, the Classic Film Series and other programs at the La Grange Public Library, visit www.lagrangelibrary.org or phone the library at (708) 352-0576.

Revisions proposed in theater renovation financing

A revised agreement to extend $1 million in financial aid to help renovate the La Grange Theatre was presented Monday night to the village board of trustees.

Under new terms outlined in a report from the village manager, Bob Pilipiszyn, the village would purchase an easement on the theater's façade for $237,500 and provide the remaining $762,500 as a loan that would be repaid, along with easement monies, only if the theater ceased operating as a movie venue.

If approved by the board, the revised agreement would replace one adopted Nov. 10 in which the entire $1 million was to be used for purchase of the façade easement.

The source of the village monies remains tax increment financing (TIF) funds, which will be placed in an escrow account along with $650,000 to be deposited by the theater's owners, John Rot and David Rizner.

The two partners proposed revising the agreement when they realized that receiving all of the money in exchange for the easement would increase their tax liability. An appraisal they ordered said the fair market value of the easement is $237,500.

The new agreement also "better secures the Village's 'investment' in the theater to a degree" because the loan portion will be secured by a junior mortgage on the theater property, Pilipiszyn wrote in his report.

A letter attached to the report from the village attorney, Mark Burkland, noted that the Rot and Rizner transferred ownership of the theater to 80 South Lagrange Inc. from Seamus Knolls LLC. Both are Illinois corporations that they control.