‘Most beautiful building in town’: Des Plaines set to invest millions to turn former bank into restaurant
Des Plaines officials are celebrating a proposed real-estate agreement that would see a historic downtown building undergo a multimillion-dollar renovation to become a new restaurant.
The city council on Tuesday approved a term sheet for a lease agreement with restaurateur David Villegas for the vacant building at 678 Lee St.
As part of the proposed deal, the city will spend up to $12 million to renovate the nearly century-old building before turning it over to Villegas, who intends to spend an additional $4.5 million to complete the renovation.
Villegas is the managing partner of Des Plaines’ Foxtail on the Lake restaurant and the Foxtail restaurant in Downers Grove.
While a formal contract between Villegas’ company and the city still is needed, 2nd Ward Alderman Colt Moylan on Tuesday said the public-private partnership ensures the building “will be revitalized and preserved for future generations to come.”
“Without our investment … we couldn’t ensure the future of this building,” Moylan said.
The three-story, marble building is at the southwest corner of Lee and Ellinwood streets. It primarily has served as a bank since its construction in 1927 and has been unoccupied since 2019.
Moylan called the structure “arguably the most beautiful building in town.”
With an eye on renovation, the city bought the building and an adjoining parking lot in December for about $1.9 million.
The city is offering Villegas’ company a 15-year lease with two optional 5-year extensions. His company will have the option to buy the property after the 10th, 15th and 20th years of the lease.
As part of the proposal, the city council will support a property tax break for the site. It'll be up to the Cook County Board to approve the tax cut.
No other financial incentives are being offered, said Jeff Rogers, the city’s community and economic development director.
During a discussion of the proposed terms Tuesday night that included questions from audience members, 3rd Ward Alderman Sean Oskerka said he’s excited to save the building and to preserve a part of Des Plaines’ history.
When the conversation turned to how the city will recoup its investment, Eighth Ward Alderman Mike Charewicz said the benefits to the city will be more than direct financial payments.
“We are looking for foot traffic downtown,” he said. “This is just one piece, and we hope to invest more in that same direction.”