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TO: Mayor Richard C. Irvin
FROM: Trevor Dick, FAICP LEED AP, Assistant Director
DATE: April 22, 2025
SUBJECT:
Resolution authorizing the sale of the City-owned seven parcels totaling 18 acres on Bilter Road east of Farnsworth Avenue.
PURPOSE:
Attached is a resolution authorizing the sale of the City-owned seven parcels totaling 18 acres on Bilter Road east of Farnsworth Avenue to Lennar. Under the terms of the sale Lennar will pay the City of Aurora Six Million and forty-two thousand Dollars ($6,042,000.00) and construct a townhome residential development.
BACKGROUND:
In July 2024, the City Council accepted the assignment of all contractual rights and responsibilities from Invest Aurora, with whom staff worked with, to acquire seven (7) parcels for a total purchase price of $5,891,000. Council purchased these properties to control the parcels that were likely to become industrial - not the highest and best use - with the plan to release a Request for Qualifications to residential developers to sell the property for new homes.
The acquisition of these parcels and the future development provided the opportunity for various engineering benefits including:
- The dedication of right-of-way needed for the future expansion of Bilter Road at no cost to the City.
- The connection of Ginger Woods Parkway. There has been a gap preventing the connection of Ginger Woods development to Beverly Drive. This will allow the residents access to Bilter Road. This connection will also allow emergency services better response time from the new fire station on Bilter Road.
- Improved circulation of City water. There has been a gap in the watermain servicing this general area with water circulating west of these lots and east of these lots separately. The new public watermain to be installed with this development will allow these areas to be better linked and allow circulation throughout a larger area. This will create more uniform pressure in the system and provide additional redundancy when shut downs are needed.
DISCUSSION:
After acquisition, as discussed with City Council at the time of purchase, staff released a Request for Qualifications (RFQ) in the winter of 2025. Based upon Staff’s review of submittals and interviews Lennar has been selected as the preferred purchaser and developer.
Lennar Corporation is one of the largest residential developers in the United States, specializing in building new homes and communities across the country. Founded in 1954, Lennar has developed a reputation for constructing homes that cater to a variety of buyers, including first-time homeowners, move-up buyers, and active adults.
Lennar has a presence in Aurora with new home communities like Liberty Meadows and Prairie Meadows. Some available homes in those developments range from $466,857 to over $500,000, with different floor plans and features.
Lennar is proposing the following:
- The Respondent’s proposed purchase price for the land. $6,042,000.00 ($38,000/unit based on the concept plan for 159 townhome units).
- No City incentives are requested.
IMPACT STATEMENT:
The sale will put the property back on the tax rolls and new future residential development will provide new taxes. Most recently, each property generated on average $6,000/year in property taxes for a total of approximately $42,000/year. Staff estimates that a future townhome development could generate $1,800,000/year in property taxes.
RECOMMENDATIONS:
Staff recommends approval of the resolution.
cc: Finance Committee
CITY OF AURORA, ILLINOIS
RESOLUTION NO. _________
DATE OF PASSAGE ________________
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A Resolution authorizing the sale of the City-owned seven parcels totaling 18 acres on Bilter Road east of Farnsworth Avenue.
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WHEREAS, the City of Aurora has a population of more than 25,000 persons and is, therefore, a home rule unit under subsection (a) of Section 6 of Article VII of the Illinois Constitution of 1970; and
WHEREAS, subject to said Section, a home rule unit may exercise any power and perform any function pertaining to its government and affairs for the protection of the public health, safety, morals, and welfare; and
WHEREAS, the City of Aurora purchased the (7) seven parcels with the assistance of Invest Aurora in 2024; and
WHEREAS, after undertaking a Request for Qualifications (RFA) the City has selected Lennar to sell the property to, and Lennar to develop the property as a townhome development following the City's development review and entitlement process; and
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Aurora, Illinois, as follows:
SECTION 1: That the Preambles set forth above shall be and are hereby incorporated in Section 1 herein, as if restated herein.
SECTION 2: That the Mayor and City Clerk are hereby authorized to sign and execute the Contract for the sale of the Subject Property, any minor amendments to the Contract made hereinafter shall be subject to approval of the Mayor without further action of the City Council.
SECTION 3: That the Mayor, or Mayor's designee, City Clerk, City Treasurer and Corporation Counsel are further authorized to execute any and all additional documents necessary to complete the sale of the Subject Property following approval of this Resolution.
SECTION 4: This Resolution shall take effect from and after its adoption and approval as required by law..