Ordinance 2022-05 UNITED CITY OF YORKVILLE
KENDALL COUNTY, ILLINOIS
ORDINANCE NO. 2022-05
AN ORDINANCE OF THE UNITED CITY OF YORKVILLE,KENDALL COUNTY,ILLINOIS,
APPROVING A DEVELOPMENT AGREEMENT BETWEEN THE UNITED CITY OF YORKVILLE
AND RALLY HOMES,L.L.C.
Passed by the City Council of the
United City of Yorkville,Kendall County,Illinois
This 25th day of January,2022
Published in pamphlet form by the
authority of the Mayor and City Council
of the United City of Yorkville,Kendall
County,Illinois on February 7,2022.
Ordinance No. 2022-05
AN ORDINANCE OF THE UNITED CITY OF YORKVILLE,KENDALL COUNTY,
ILLINOIS,APPROVING A DEVELOPMENT AGREEMENT BETWEEN THE UNITED
CITY OF YORKVILLE AND RALLY HOMES,L.L.C.
WHEREAS, the United City of Yorkville, Kendall County, Illinois (the "City") is a duly
organized and validly existing non home-rule municipality created in accordance with the
Constitution of the State of Illinois of 1970 and the laws of the State; and,
WHEREAS, the Developer has acquired approximately fifty (50) acres located in
the City at Van Emmon Road and Benjamin Street, commonly known as "Kendallwood Estates"
legally described on Exhibit A attached hereto (the "Subject Property") and has presented an
application for a Development Agreement dated September 9, 2021 (the "Application") to the
City to develop the Subject Property in accordance with the 2006 approved Final Subdivision Plat
and Development Agreement providing for the construction of eighty-three (83) single family
homes utilizing existing streets, storm water management basins, water mains, and utilities (the
"Development"); and
WHEREAS, the Developer is in the business of land and home construction and desires
to complete the development of the Property but cannot economically do so unless the City and
the Developer agree to certain conditions and covenants regarding certain fees and infrastructure
improvements; and
WHEREAS,the Mayor and City Council of the City(the"Corporate Authorities")have
reviewed Developer's proposals and have concluded that the completion of the Subject Property
would substantially benefit the City by enhancing the tax base of the City and the other taxing
districts, and add to the wealth and prosperity of the City and its citizens; and,
Ordinance No.2022-05
Page 2
WHEREAS, pursuant to applicable provisions of the Illinois Municipal Code, including
specifically,but without limitation Sec. 8-1-2.5 thereof(the"Act"),the Corporate Authorities are
empowered to "appropriate and expend funds for economic development purposes, including,
without limitation,the making of grants to any other governmental entity or commercial enterprise
that are deemed necessary or desirable for the promotion of economic development within the
municipality".
NOW,THEREFORE,BE IT ORDAINED by the Mayor and City Council of the United
City of Yorkville, Kendall County, Illinois, as follows:
Section 1. That the recitals in the preambles to this Ordinance are incorporated into this
Section 1 as if fully set forth herein.
Section 2. That the Development Agreement Between the United City of Yorkville and
Rally Homes, LLC, attached hereto and made a part hereof, is hereby approved and the Mayor,
City Clerk, and City Administrator are hereby authorized to execute and deliver said Agreement
and undertake any and all actions as may be required to implement its terms on behalf of the City.
Section 3. This Ordinance shall be in full force and effect from and after its passage and
approval as provided by law.
Passed by the City Council of the United City of Yorkville, Kendall County, Illinois this
25th day of January,A.D. 2022.
CIT CLERK
KEN KOCH AYE DAN TRANSIER AYE
ARDEN JOE PLOCHER AYE CRAIG SOLING AYE
CHRIS FUNKHOUSER AYE MATT MAREK AYE
SEAVER TARULIS AYE JASON PETERSON AYE
Ordinance No.2022-05
Page 3
APPROVED by me, as Mayor of the United City of Yorkville,Kendall County, Illinois
this IS't day of Fuoykka , A.D. 2022.
MAYOR
Attest:
C TY LERK
Ordinance No.2022-05
Page 4
Exhibit A
LOTS 1 THROUGH 91 INCLUSIVE OF KENDALLWOOD ESTATES, BEING A SUBDIVSION OF PART OF THE
NORTHWEST 1/4 OF SECTION 4, TOWNSHIP 36 NORTH, RANGE 7 AND PART OF THE SOUTHWEST 1/4
OF SECTION 33, TOWNSHIP 37 NORTH, RANGE 7, EAST OF THE THIRD
PRINCIPAL MERIDIAN, ACCORDING TO THE PLATTHEREOF RECORDED DECEMBER 14, 2007 AS
DOCUMENT 200700035947, IN THE UNITED CITY OF YORKVILLE, KENDALL COUNTY, ILLINOIS.
Exhibit B
KENDALLWOOD
05-04-131-003-0000 (AFTECTS LOT 1)
05-04-131-002-0000 (AFFECTS LOT 2)
05-04-127-003-0000 (AFFECTS LOT 3)
05-04-127-002-0000 (AFFECTS LOT 4)
02-33-377-032-0000 (AFFECTS LOT 5)
02-33-377-031-0000 (AFFECTS LOT 6)
02-33-377-029-0000 (AFFECTS LOT 7)
02-33-377-028-0000 (AFFECTS LOT 8)
02-33-377-027-0000 (AFFECTS LOT 9)
02-33-377-026-0000 (AFFECTS LOT 10)
02-33-377-025-0000 (AFFECTS LOT 11)
02-33-377-024-0000 (AFFECTS LOT 12)
02-33-377-023-0000 (AFFECTS LOT 13)
02-33-377-022-0000 (AFFECTS LOT 14)
02-33-377-021-0000 (AFFECTS LOT 15)'
02-33-377-020-0000 (AFFECTS LOT 16)
02-33-377-019-0000 (AFFECTS LOT 17)
02-33-377-018-0000 (AFFECTS LOT 18)
02-33-377-017-0000 (AFFECTS LOT 19)
02-33-377-016-0000 (AFFECTS LOT 20)
02-33-377-015-0000 (AFFECTS LOT 21)
02-33-377-014-0000 (AFFECTS LOT 22)
02-33-377-013-0000 (AFFECTS LOT 23)
02-33-377-012-0000 (AFFECTS LOT 24)
02-33-377-011-0000 (AFFECTS LOT 25)
02-33-377-010-0000 (AFFECT'S LOT 26)
02-33-377-009-0000 (AFFECTS LOT 2-1)
02-33-377-008-0000 (AFFECTS LOT 28)
02-33-377-007-0000 (AFFECTS LOT 29)
02-33-377-006-0000 (AFFECTS LOT 30)
02-33-377-005-0000 (AFFECTS LOT 31)
02-33-377-004-0000 (AFFECTS LOT 32)
02-33-377-003-0000 (AFFECTS LOT 33)
02-33-377-002-0000 (AFFECTS LOT 34)
02-33-378-001-0000 (AFFECTS LOT 35)
02-33-378-002-0000 (AFFECTS LOT 36)
02-33-378-003-0000 (AFFECTS LOT 37)
02-33-378-004-0000 (AFFECTS LOT 38)
02-33-378-005-0000 (AFFECTS LOT 39)
r'ENDAL
ATE iRANSFPR
SM000000 #
4�
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9W
kYl 31�d9
02-33-378-006-0000 (AFFECTS LOT 40)
02-33-379-002-0000 (AFFECTS LOT 41)
02-33-379-001-0000 (AFFECT'S LOT 42)
02-33-379-003-0000 (AFFECT'S LOT 43)
02-33-379-004-0000 (AFFECTS LOT 44)
02-33-379-005-0000 (AFFECTS LOT 45)
02-33-379-006-0000 (AFFECTS LOT 46)
02-33-379-007-0000 (AFFECTS LOT 47)
02-33-379-008-0000 (AFFECTS LOT 48)
02-33-379-009-0000 (AFFECTS LOT 49)
02-33-379-010-0000 (AFFECTS LOT 50)
02-33-379-011-0000 (AFFECTS LOT 51)
02-33-380-001-0000 (AFFECTS LOT 52)
02-33-380-002-0000 (AFFECTS LOT 53)
02-33-380-003-0000 (AFFECTS LOT 54)
02 33-380-004-0000 (AFFECTS LOT 55)
02-33-380-005-0000 (AFFECTS LOT 56)
02-33-380-006-0000 (AFFECTS LOT 57)
02-33-380-007-0000 (AFFECTS LOT 58)
02-33-380-008-0000 (AFFECTS LOT 59)
02-33-380-009-0000 (AFFECTS LOT 60)
02-33-380-010-0000 (AFFECTS PART OF LOT 61)
05-04-128-001-0000 (AFFECTS PART OF LOT 61)
02-33-380-011-0000 (AFFECTS FART OF LOT 62)
05-04-128-002-0000 (AFFECTS PART OF LOT 62)
02-33-380-012-0000 (AFFECTS PART OF LOT 63)
05-04-128-003-0000 (AFFECTS PART OF LOT 63)
05-04-128-004-0000 (AFFECTS LOT 64)
05-04-128-005-0000 (AFFECTS LOT 65)
05-04-128-006-0000 (AFFECTS LOT 66)
05-04-128-007-0000 (AFFECTS LOT 67)
05-04-128-008-0000 (AFFECTS PART OF LOT 68)
02-33-380-013-0000 (AFFECTS PART OF LOT 68)
05-04-128-009-0000 (AFFECTS PART OF LOT 69)
02 33-380-014-0000 (AFFECTS PART OF LOT 69)
02-33-380-015-0000 (AFFECTS LOT 70)
02-33-380-016-0000 (AFFECTS PART OF LOT 71)
05-04-129-001-0000 (AFFECTS PART OF LOT 71)
05-04-129-002-0000 (AFFECTS LOT 72)
05-04-129-003-0000 (AFFECTS LOT 73)
05-04-129-004-0000 (AFFECTS LOT 74)
05-04-129-005-0 0 (AFFECTS LOT 75)
05-04-129-006-0000 (AFFECTS LOT 76)
05-04-129-007-0000 (AFFECTS LOT 77)
05-04-129-008-0000 (AFFECTS LOT 78)
201200024319 4/5
05-04-129-009-0000 (AFFECTS LOT 79)
05-04-130-001-0000 (AFFECTS LOT 80)
05-04-130-002-0000 (AFFECTS LOT 81)
05-04-130-003-0000 (AFFECTS LOT 82)
05-04-130-004-0000 (AFFECTS LOT 83)
02-33-377-001-0000 (AFFECTS LOT 84)
02-33-378-007-0000 (AFFECTS LOT 85)
02-33-377-034-0000 (AFFECTS LOT 86)
02-33-377-030-0000 (AFFECTS LOT 87)
02-33-377-033-0000 (AFFECTS FART OF LOT 88)
05-04-127-001-0000 (AFFECTS PART OF LOT 88)
05-04-127-004-0000 (AFFECTS LOT 89)
05-04-131-001-0000 (AFFECTS LOT 90)
05-04-201-007-0000 (AFFECTS LOT 91)
201200024319 515
Exhibit A
DEVELOPMENT AGREEMENT BY
AND BETWEEN THE UNITED CITY OF YORKVILLE,
KENDALL COUNTY,ILLINOIS AND RALLY HOMES,LLC
THIS DEVELOPMENT AGREEMENT (hereafter"Agreement") is made and entered
into this day of January,2022 (hereafter"Effective Date")by and between the United City
of Yorkville, Kendall County, Illinois (the "City") and Rally Homes, LLC, an Illinois Limited
Liability Company(the "Developer"),which parties are hereafter sometimes collectively referred
to as the"Parties"and individually as a"Party".
ARTICLE I: RECITALS
1.1 The City is a duly organized and validly existing non home rule municipality
created in accordance with the Constitution of the State of Illinois of 1970 and the laws of the State
with authority to promote the health and welfare of its inhabitants, to encourage private
Development in order to enhance the local tax base,to increase job opportunities and to enter into
contractual agreements with third parties for the purpose of achieving these goals.
1.2 The Developer has acquired approximately fifty (50) acres located in the City at
Van Emmon Road and Benjamin Street , commonly known as "Kendallwood Estates" legally
described on Exhibit A attached hereto (the "Subject Property")and has presented an application
for a Development Agreement dated September 9,2021 (the "Application")to the City to develop
the Subject Property in accordance with the 2006 approved Final Subdivision Plat and
Development Agreement providing for the construction of eighty-three (83) single family homes
utilizing existing streets, storm water management basins, water mains, and utilities(the
"Development").
1.3 The City has reviewed the proposal as set forth in the Application which proposal
conforms to all of the requirements of the R-2 Single Family Zoning District in which it is located,
and also adheres to the approved landscape plan which included tree preservation and woodland
restoration to maintain the wooded character of the general area;however,the Developer included
a request to the City for certain changes from the prior approved Development plan as follows:
(a) Instead of constructing two water lines each serving a
section of the Development,the Developer plans to construct a twelve inch
(12") high pressure water line to be located along Illinois Route 126 which
shall require the Developer to acquire an easement upon the adjoining
property to the south of the Subject Property and immediately north of
Illinois Route 126; and the installation of a pressure reducing valve station
to serve lower pressure areas of the Subject Property; which a water main
extension shall be sufficient to serve the Development.
(b) That the Developer be permitted to construct,sell and obtain
occupancy permits for up to forty-three (43) residential home sites as
approved by the City Engineer provided that the completion of the entire
required water main extension along Illinois Route 126 and the looping as
approved by the City Engineer and the Director of the City's Public Works
Department for the entire Development be completed and operational on or
before May 31,2024.
(c) To reduce the land cash assessed value from $101,000 per
improved acre as determined as of the approval of the initial 2006
Development Agreement to $55,000 thereby reducing the park land cash
fee to$2,062.94 per dwelling unit(previously $3,787.50 per dwelling unit)
and$3,286.58 school land cash fee per dwelling unit(previously$6,035.36
per dwelling unit) with all fees to be collected at the time of issuance of a
building permit.
(d) That the name of the Development be changed from"Kendallwood
Estates"to"Timber Ridge Estates".
ARTICLE 2: CITY'S RESPONSE
The City has reviewed the Developer's requested changes from the original Development
Agreement of 2006 and is prepared to agree to the Developer's requests subject to the terms and
conditions hereinafter stated in Article 3.
ARTICLE 3: MUTUAL AGREEMENTS OF THE CITY AND THE DEVELOPER
3.1 The City and the Developer hereby agree that the Developer may proceed with the
construction of eighty-three (83) single family homes pursuant to the approved 2006 final
subdivision Plat.
3.2 The Developer agrees to adhere to the approved landscape plan dated August 14,
2007 which includes tree preservation and woodland restoration in order to maintain the wooded
character of the area.
3.3 The Developer and the City agree that the Developer may proceed to construct an
offsite water main extension along Illinois Route 126 on the condition that an easement is acquired
by the Developer from the successor property owner of the former"Woodstone"development on
or before the construction of the forty fourth(44th)residence.
3.4 The City agrees that the Developer may construct and receive final occupancy
limited to the home sites identified on the Kendallwood Estates fire flow map prepared by the City
Engineer in August of 2021 attached hereto as Exhibit B.
3.5 The Developer agrees to complete construction of the water main extension along
Illinois Route 126, install a pressure reducing valve station to serve the lower pressure areas and
loop the system on or before May 31, 2024, it being understood that no permits for construction
of home sites in addition to the forty-three (43) designated on the Kendallwood Estates fire flow
map shall be issued until completion and acceptance of the entire water system serving the
Development.
3.6 The City agrees to a reduction of the assessed land value from$101,000 to$55,000
and the reduced park land cash fee of$2,062.94 per dwelling until and$3,286.58 school land cash
fee per dwelling unit,payable at the time of building permit issuance.
3.7 The City agrees to the future granting of one (1) free utility connection to the
successor property owner of the former "Woodstone" development upon confirmation of the
acquisition of an easement by Rally Homes,LLC and approved by the City Engineers along Illinois
Route 126 for purposes of constructing,repair,replacing and maintaining the water main extension
to the Development .
3.8 The Developer has provided a letter of credit in the amount of$2,225,499 based
upon the City Engineer's estimate of the cost of all public improvements requested to serve the
Development which letter of credit shall remain in full force and effect without cancellation in the
amount determined by the City Engineer at all times during the letter of this Agreement.
ARTICLE 4: TERMS OF AGREEMENT
This Agreement shall remain in full force and effect upon its approval and execution by
both parties and shall continue until the fifth(5th)anniversary of said date.
ARTICLE 5: ENFORCEMENT AND REMEDIES
5.1 Enforcement: Remedies. The City may enforce or compel the performance by the
Developer of this Agreement, in law or in equity, by suit, action, mandamus, or any other
proceeding, including specific performance.Notwithstanding the foregoing,the Developer agrees
that it will not seek, and does not have the right to seek, to recover a judgement for monetary
damages against the City or any elected or appointed officials, officers, employees, agents,
representatives, engineers, consultants, or attorneys thereof, on account of the negotiation,
execution, or breach of any of the terms and conditions of this Agreement.
5.2 Notice; Cure; Self-Help. In the event of a breach of this Agreement by the
Developer,the City agrees that the Developer shall have thirty(30)days after notice of any breach
delivered in accordance with Article 6 to correct the same prior to the pursuit of any remedy
provided for in this Section 5; provided, however, that the 30-day period shall be extended, but
only(i)if the alleged breach is not responsibly susceptible to being cured within the 30-day period,
and (ii) if the Developer has promptly initiated the cure for the breach, and (iii) if the Developer
diligently and continuously pursues the cure of the breach until its completion. If the Developer
shall fail to perform any of its obligations under this Agreement, and if the City shall have given
written notice of the default to the Developer, and if the Developer shall have failed to cure the
default as provided in this Section 5.2,then, in addition to any and all other remedies that may be
available either in law or equity, the City shall have the right (but not the obligation) to take any
action as in its discretion and judgement shall be necessary to cure the default. In any event, the
Developer hereby agrees to pay and reimburse the City for all costs and expenses reasonable
incurred by it in connection with action taken to cure the default, including attorney's fees and
court costs.
ARTICLE 6: TIME OF THE ESSENCE/FORCE MAJEURE
Time is of the essence of this Agreement and of each and every provision of this
Agreement. However, a Party shall not be deemed in material breach of this Agreement with
respect to any obligations arising under this Agreement on such Parry's part to be performed if
such Party fails to timely perform the same and such failure is due in whole or in part to any strike,
lock-out, civil disorder, severe weather conditions, wet soil conditions, failure or interruptions of
power, riots, insurrections, acts of terrorism, war, fuel shortages, accidents casualties, floods,
earthquakes, fires, acts of God, epidemics, quarantine restrictions, freight embargoes, or similar
causes beyond the reasonable control of such Party ("Force Majeure"). If one of the foregoing
events occurs or either Party claims that such an event occurred, the Party to whom such claim is
made shall investigate and consult with the Party making such claim,and the Party to whom such
claim is made shall grant any extension for the performance of the unsatisfied obligation equal to
the period of the delay,which period shall commence to run from the time of the commencement
of the Force Majeure; provided that the failure of performance was reasonably caused by such
Force Majeure.
ARTICLE 7: SEVERABILITY
If any section, subsection, term, or provision of this Agreement or the application thereof
to any Party or circumstance shall, to any extent, be invalid or unenforceable, the remainder of
said section,subsection,term,or provision of this Agreement,or the application of same to parties
or circumstances other than those to which it is held invalid or unenforceable,shall not be affected
thereby.
ARTICLE 8: NOTICES
All notices and other communications in connection with this Agreement shall be in writing
and shall be deemed delivered to the addressee thereof(a)when delivered in person on a business
day at the address set forth below, or (b) on the third business day after being deposited in any
main or branch United States post office, for delivery by properly addressed, postage prepaid,
certified or registered mail, return receipt requested, at the address set forth below, or (c) by
facsimile or email transmission, when transmitted to either the facsimile telephone number or
email address set forth below,when actually received.
Notices and communications to Developer shall be addressed to, and delivered at, the following
addresses:
To Developer: Rally Homes,LLC
1010 Jorie Blvd
Oak Brook, Illinois 60523
Attn: Anthony Montalbano
Phone: (630)613-2710
Email: tmontalbano(a rallyhomes.net
Notices and communications to the City shall be addressed to and delivered at these addresses:
To the City: Bart Olson
City Administrator
United City of Yorkville
800 Game Farm Road
Yorkville, IL 60560
Phone: (630) 553-8537
Email: Bolson(aIyorkville.il.us
With a copy to:
Kathleen Field Orr
City Attorney
2024 Hickory Road, Suite 205
Homewood, Illinois 60430
Phone: (312) 382-2113
Email: kfo c(@r kfoassoc.com
By notice complying with the requirements of this Article,each party shall have the right to change
the address or addressee, or both, for all future notices and communications to such party, but no
notice of a change of address or addressee shall be effective until actually received.
ARTICLE 7: IN GENERAL
7.1 No modification, addition, deletion, revision, alteration, or other change to this
Agreement shall be effective unless and until the change is reduced to writing and executed and
delivered by the City and the Developer.No term or condition of this Agreement shall be deemed
waived by any party unless the term or condition to be waived, the circumstances giving rise to
the waiver and, where applicable, the conditions and limitations on the waiver are set forth
specifically in a duty authorized and written waiver of such party. No waiver by any party of any
term or condition of this Agreement shall be deemed or construed as a waiver of any other term or
condition of this Agreement, nor shall waiver of any breach be deemed to constitute a waiver of
any subsequent breach whether of the same or different provisions of this agreement.
7.2 The Developer acknowledges and agrees that(i)the City is not,and shall not be, in
any way liable for any damages or injuries that may be sustained as the result of the City's review
and approval of any plans or improvements or as a result of the issuance of any approvals,permits,
certificates, or acceptances for the Development or use of any portion of the Subject Property or •
the improvements and (ii) the City's review and approval of any plans and the issuance of any
approvals, permits, certificates, or acceptances does not, and shall not, in any way be deemed to
insure the Developer, or any of its successors, assigns, tenants, or licensees, or any thirst part,
against violations or damage or injury of any kind at any time.
7.3 No claim as a first party beneficiary under this Agreement by any person, firm or
corporation shall be made, or be valid, against the City or the Developer.
7.4 This agreement shall constitute the entire agreement of the parties; all prior
agreements between the Parties,whether written or oral,are merged into this Agreement and shall
be of no force and effect.
7.5 This Agreement is to be executed in two or more counterparts, each of which shall
be deemed an original but all of which shall constitute the same instrument.
IN WITNESS WHEREOF, the Parties have executed this Agreement as of the dates set
forth below their respective signatures,to be effective as of the date first written above.
UNITED CITY OF YORKVILLE,
an Illinois mu 'cipal corporation
j,(1 Attest:
) eif-tUAM22(
Mayor ip City Clerk
Date: q.h lam, I , 2022
RALLY HOMES,LLC,
an Illinois Limited Liability Company
By: 0,4,14.7.Rfrw.,4422.,›
Date: a - l 7 , 2022