New Management Deal Struck for Tinley Park Convention Center

Dan Shapiro • Dec 04, 2018

Shapiro & Associates Law is grateful to have assisted our client, a real estate development and investment firm, in obtaining a multimillion-dollar financial incentive package involving property tax abatements by two school districts and economic incentives from the Village of Tinley Park. These abatements were critical components of a larger transaction which would enable our client to acquire and significantly renovate a prominent 202-room Tinley Park hotel, and to allow it to assume management of the Tinley Park Convention Center.

The $4 million in abatements agreed to by Elementary School District 159 and Rich Township High School District 227 were coupled with revenue from the Village’s hotel tax and used as incentives for the acquisition of the hotel. The districts agreed to abate 50 percent of the property taxes on the hotel, for a period of up to 10 years and with a cap of $4 million. In agreeing to the tax rebates, students in those districts will have the opportunity to take part in paid hospitality internships, and the schools will receive discounted rates on three school-related events held at the convention center each year. In addition, a 1 percent increase in its hotel/motel tax will generate further financial incentives towards an $8-9 million-dollar commitment by our client to renovate the hotel, which is attached to the convention center, so that the 120,000- square-foot convention center would remain competitive in today’s environment.

The Tinley Park Convention Center and hotel are in a tax increment financing district, with Tinley Park using TIF funds to offset operating costs of the convention center, which is expiring this year. Since that revenue source to help finance maintenance and capital improvements will expire at the end of the year, the Village agreed to pursue alternate funding sources for our client. The agreement with the Village provides an annual subsidy to our client and the property tax abatements are expected to generate an additional tax offset. The additional monies from the new hotel tax have already been earmarked for increasing local convention and visitor bureau operations.

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By Dan Shapiro • 16 Jun, 2022
The Illinois Department of Financial and Professional Regulation (IDFPR) recently announced the next steps to issue 185 Conditional Adult Use Cannabis Dispensing Organization Licenses to applicants selected in three lotteries in 2021. The Conditional Licenses will be issued to applicants selected in the 2021 lotteries in three waves: Wave 1, on or before July 22, 2022. Naperville-Chicago-Elgin BLS Region. Wave 2, on or before August 5, 2022. Other BLS Regions with multiple licenses available. Wave 3, on or before August 19, 2022. BLS Regions with a single license available. Next Steps Principal officers must submit a Principal Officer Affirmation form no later than July 1, 2022. The IDFPR will then verify all principal officers are not delinquent in taxes or owe money to the State of Illinois and notify any applicant if a principal officer is not tax compliant. The applicant will then have 60 days after notification to prove tax compliance. Any applicant with a principal officer who is not tax compliant after the 60-day period shall forfeit their awarded license, which will then be offered to the next eligible applicant. The IDFPR will also verify that no principal officers have a financial interest in more than 10 Adult Use Cannabis Dispensary licenses. Any applicant with a principal officer who may become a principal officer in any combination of more than 10 Early Approval Adult Use Dispensing Organization Licenses, Conditional Adult Use Dispensing Organization Licenses, and Adult Use Dispensing Organization Licenses will forfeit any license they are awarded. After IDFPR issues the Conditional Licenses, it will conduct background checks of principal officers. Importantly, after receiving a Conditional License, the Conditional Licensees will have 180 days to select a physical storefront location and obtain the full Adult Use Dispensing Organization License (the full list of criteria to be met may be found here ). If a Conditional Licensee is unable to find a suitable physical location within the 180-day period, they may request an extension of 180 days.
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