Wal-Mart seeks major tax breaks for Richton Park store
By Casey toner email@example.com February 10, 2014 10:02PM
Updated: March 12, 2014 6:31AM
The Wal-Mart Supercenter that’s planned for Richton Park will create 200 more jobs and carry much more merchandise, including a full grocery store, than is now available at the retailer’s Matteson store on Cicero Avenue, according to company officials.
The Richton Park Village Board is considering giving Wal-Mart a financial package worth $11 million in property and sales tax breaks over up to 20 years. The store would be within a special taxing district that provides tax incentives to attract development.
The village board is set to review the agreement at its Feb. 24 meeting.
The 24-hour store would be located on the vacant southwest corner of Sauk Trail and Interstate 57, according to a memo from village manager De’Carlon Seewood to the village board.
Wal-Mart communications director Anne Hatfield said the new store will be about 180,000 square feet — about 64,000 square feet larger than the Matteson store it will replace.
She said the company hopes to bring over the roughly 200 employees from the Matteson store and hire about 200 more for the Richton Park store, which would open in 2016.
“This is responding to the changing needs of our customers and well as market forces,” Hatfield said.
Seewood’s memo says the Wal-Mart is expected to generate at least $1 million annually in property tax income, but Wal-Mart would get back 95 percent of that revenue each year for about 13 years, according to the proposed agreement. It also calls for the company to get a 50 percent sales tax rebate for no more than 20 years.
The proposed tax breaks are “proportionate to what’s generated (in revenue) by this project,” Hatfield said. “We are committed to the economic development of Richton Park.”