Eminent domain decision to be made in two weeks

Subject: In Illinois, Eminent Domain & TIFs
Date: 7/13/2005 9:08:53 AM Eastern Daylight Time
From: kitchen@hellskitchen.net
Sent from the Internet (Details)


Posted on Tue, Jul. 12, 2005

Eminent domain decision to be made in two weeks
BY ELIZABETH DONALD
Belleville News-Democrat
http://www.belleville.com/mld/belleville/news/local/12111696.htm


COLLINSVILLE - The Collinsville City Council will decide in two weeks
whether to go forward with eminent domain for the controversial
Collinsville Crossing shopping center.

At the council meeting Monday, community developer Paul Mann recommended
the council ask Southwestern Illinois Development Authority as an agent of
the state to begin eminent domain on two pieces of property: the defunct
Petite Four Cinema movie theater and Randy's Trailer Town RV dealership,
both on Mall Road.

Collinsville Crossing is a $78 million shopping center that will include a
Wal-Mart SuperCenter, Home Depot and Walgreens, as well as several other
retail outlets.

Mann said Developer Koman Properties has held extensive negotiations with
the owners of both properties, but has been unable to reach an agreement. A
recent decision by the U.S. Supreme Court has upheld that cities may use
eminent domain for private developers.

Koman also faces a lawsuit from two residents of Crescent Mobile Home Park,
which will be displaced by the development. The existing lawsuit, involving
the state's relocation act, saw all but one of its counts dismissed
recently. Their attorney, John Myers, has threatened to sue over the
legality of Collinsville's TIF district.

Koman has said the development will go forward despite the lawsuit. But he
has asked the city to consider pulling Collinsville Crossing out of the TIF
district. As the project stands, Koman's $19 million incentive package
would be repaid with 80 percent of the sales taxes and 100 percent of the
property taxes, through the TIF district. If the council approved the new
agreement, 90 percent of the sales taxes would have to pay the $19 million.

Contact reporter Elizabeth Donald at edonald@bnd.com or 345-7822, ext. 21.