Orland car dealer seeks incentive
By Mike Nolan email@example.com August 17, 2012 5:16PM
Mercedes-Benz of Orland Park is seeking incentives from the village for a renovation of the dealership. | File photo
Updated: September 21, 2012 6:18AM
Mercedes-Benz of Orland Park is seeking financial help from the village to pay for a renovation of the new-car dealership.
The dealership wants Orland Park to share additional sales tax revenue the renovation is expected to generate. The store, 8470 W. 159th St., used to also house BMW, but BMW of Orland Park moved this spring to a new location at the northeast corner of 159th Street and Wolf Road.
Mercedes-Benz plans to spend $1.2 million on the renovation, according to village documents. The dealership will be adding the Smart compact car as well as Mercedes’ Sprinter passenger and cargo vans.
The request for financial assistance will be considered by village trustees at a village board committee meeting on Monday. If supported at the committee level, the incentives could be voted on by the full village board next month.
Owners of the dealership expect the addition of the new vehicle lines will boost sales tax revenue flowing to the village, and are asking for a 50-50 split of any additional tax revenue generated.
While the dealership is asking the village for up to $2 million over 10 years, village staff recommends that trustees approve an incentive of just under $610,000 spread over five years. Both new vehicle franchises would have to be operating by next January in order for the dealership to receive the incentive, according to staff’s recommendation.
For the new BMW location, village officials approved a 10-year sales and property tax revenue sharing agreement worth $2.6 million. Both the BMW and Mercedes-Benz dealerships are owned by a Pennsylvania-based company.
Along with the Mercedes-Benz request, the village board’s Development Services & Planning Committee will consider plans from Marquette Bank for a new branch at the southeast corner of LaGrange Road and 143rd Street.
Because of the Main Street redevelopment project, Marquette will ultimately be forced to close its branch in the former Orland Plaza, at the northwest corner of LaGrange and 143rd Street. The bank will demolish an existing branch at the southeast corner of the intersection and build a larger facility, according to village documents.