Your guide realizes it’s time to update what’s happening with the stalled development of the old Dominicks site at Broadway and Aldine in Lakeview after noticing that the original post is one of the most popular here at www.YourWindiCityGuide.com.
Original post here.
The current outlook is murky.
The development site was just about to fall into foreclosure, when the developer filed for bankruptcy protection.
If I had to guess, however, the bankruptcy will simply forestall the inevitable foreclosure of the land by one of the THREE lenders on the property. One lender provided funds for acquisition of the land, and another developer was providing construction financing. A mezzanine lender was providing a bit of financing in between. The development partnership has defaulted on all three loans.
The development is no stranger to controversy (Full article at Crain’s here)
A $7.9-million loan on a former Dominick’s site in Lake View is turning into a sour deal for a controversial investment fund managed by developer Allison Davis and a nephew of Mayor Richard Daley.
The fund managed by Mr. Davis and Daley nephew Robert Vanecko is seeking to auction off a site at 3012-3036 N. Broadway St. after an apparent default on the mezzanine loan by a venture owned by little-known Chicago developers Michael O’Connor and Jonathan Zitzman, according to a recently published notice of public sale.
The city’s Inspector General, David Hoffman, is investigating how DV Urban obtained investments totaling $68 million from five city pension funds, according to the news reports. Chicago police officers and others have raised questions about their pension funds’ investments with DV Urban.
Your guide has no doubt that there will eventually be condos of some form or another on the site. But ground breaking on a new, smaller scale development is probably years away. I would also wager that the site will include space for a new Dominicks grocery store as the original deal to sell the land to the developer included a provision for the Grocery Chain to open a new store in the development.