City of Oak Forest Utilizes New South Suburban Incentive To Land Dunkin' and Baskin Robbins
On Tuesday, December 12, the Oak Forest City Council designated a high-profile corner at 159th Street and Cicero Avenue as a Southland Reactivation Act site, which conveys a significant tax incentive benefit to the qualifying project. The newly approved Dunkin’ & Baskin Robbins concept will bring a new restaurant to Oak Forest to a prominent corner that has been vacant for over 20 years.
Oak Forest is the first municipality to utilize the newly created Southland Reactivation Act law (Public Act 102-1010) for a project that repurposes formerly owned city property that has languished off the tax rolls for decades.
“This is an exciting project as we’re utilizing a new economic development tool that was created to spur investment and benefit communities across the Southland right here in Oak Forest,” said Mayor Hank Kuspa. “We’re thrilled that we’ll be able to transform currently non-tax generating property into a new quick-service restaurant with a drive-through facility, which is desirable and the best use of this property. We look forward to advancing other worthy projects in this manner in the future.”
MDAK Realty Oak Forrest, LLC, developers of the approved Dunkin’ & Baskin Robbins restaurant, stated: “We extend our sincere appreciation to the City of Oak Forest for granting us such a crucial incentive under the Southland Reactivation Act, and to the South Suburban Mayors and Managers Association (SSMMA) for their invaluable support in this process. As the inaugural developer to leverage the Southland Reactivation incentive, we are honored to showcase its instrumental role in revitalizing underutilized properties. Our collaboration with the City and SSMMA demonstrates the transformative power of these types of partnerships and our commitment to building a vibrant and sustainable community. We anticipate continued collaboration to foster growth and prosperity and encourage other developers to do the same.”
The Southland Reactivation Act was created in 2022 to provide a unique tax abatement incentive available to property developers who purchase and redevelop commercial and industrial property in the south suburbs. Identified properties that meet qualifying criteria would be assessed at 50% of the last known equalized assessed value. For the first year a property is certified as a Southland Reactivation property, the aggregate tax bill liability for the property cannot exceed $100,000. Discounts on the liability would decrease gradually, but continue for a total of 12 years.
State Representative Anthony DeLuca (D-Chicago Heights), who was the lead proponent of the legislation resulting in the Act stated: “This first project utilizing the Southland Reactivation Act proves that it can be used to attract investment to commonly overlooked properties. It is an incentive that lowers property tax bills for businesses, yes, but importantly also creates an environment that expands the local tax base and drives down property tax costs on homeowners and existing businesses.”
The South Suburban Mayors and Managers Association (SSMMA), a council of government with 45 municipal members — including Oak Forest — strongly supported the Act and worked to ensure passage of legislation that would get troubled properties across the Southland back in productive re-use. SSMMA Executive Director Kristi DeLaurentiis said: “Kudos to Oak Forest for their diligence in getting an underperforming, city-owned commercial property back on the tax rolls that will result in tax base growth benefitting everyone. We look forward to seeing other projects like this come to fruition in Oak Forest and across the Southland in the near future!”
“Bringing unused land back onto the tax rolls benefits homeowners and small businesses by lowering tax rates for all,” said Cook County Assessor Fritz Kaegi. “I was proud to partner with south suburban municipalities and south suburban legislators to get this law enacted and I applaud the teamwork in Oak Forest that brings this exempt property back into productive use.”
For questions about this project, contact Oak Forest Community Planner Paul Ruane, at pruane@oak-forest.org or (708) 444-4848. For more information about the Southland Reactivation Act, please visit www.ssmma.org/southland-reactivation-act or contact Kristi DeLaurentiis at kdelaurentiis@ssmma.org or (708) 922-4670.
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The South Suburban Mayors and Managers Association (SSMMA) is an intergovernmental agency dedicated to meeting the needs of communities in the south suburban Chicago area. Serving 45 municipalities representing a population of nearly 750,000 in southern Cook and eastern Will Counties, SSMMA members work cooperatively on transportation, land use, economic development, stormwater and open space planning, infrastructure, community development, housing, and legislative matters. More information is available at www.ssmma.org.
