The City of DeKalb has filed a lawsuit seeking a court to order Pat Looney to repair the downtown building he owns (the former Otto’s Nightclub building) or tear it down or give
the city permission to demolish the building. The cost to demolish the building is estimated at $410,000 according to an appraiser’s report submitted to the city of DeKalb in November 2015.
That report appraised the property at $200,000. In May, 2016 a judge ordered Looney to pay National Bank & Trust Co. since acquired by First Midwest Bank a total of $470,000 for an outstanding mortgage loan of $445,754 plus interest and late-payment fees.
The new complaint filed Tuesday October 12 claims the building is an “imminent threat to public health, safety and welfare.” The building located in DeKalb at 112-118 E. Lincoln Highway has been vacant since a burst pipe in 2014. Looney soon after surrendered his liquor license to the city. DeKalb City Attorney Dean Frieders obtained a search warrant and conducted an inspection on the property and determined the cost of repairs most likely would exceed the value of the building. Meanwhile, according to the new lawsuit filed by the City, the property’s decline has caused problems in surrounding buildings including water infiltration. An adjoining building may not structurally survive the demolition of the Otto’s property.
The site has been rumored as a projected indoor parking garage. It is located in the Central TIF District. There has yet been no public discussion of spending $410,000 to demolish the building or of any public funds for any acquisitions or subsequent improvements.
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19 Comments
Just what the taxpayer needs, another banker bailout. The bank failed to have insurance on the property, let them suffer the economic consequences. The “parking garage” is a distraction.
Such insanity. DeKalb does not need a parking deck and cannot afford one.
And somebody is going to make a lot of money.
Parking garage would be s waste, and that would be the worst location possible, a corner, at a busy intersection, right next to a train track that backs up traffic anyway
Why would downtown De Kalb need an indoor parking garage. The courthouse in Sycamore needs an indoor parking garage. All the business is there.
I grew up in Des Plaines, where they built a parking garage downtown and tore it down 10yrs later, before it was even paid off, because they couldn’t control the crime happening inside it. And they have a Metra Station downtown. I steadfastly feel that a parking garage in downtown DeKalb would be the worst thing we ever spent $ on….
Parking for what?
That’s exactly what I was thinking
Parking Garage????? say it ain’t so. don’t believe it is needed.
That area (especially just west of First Midwest Bank) is absolutely PRIME for a Metra station….
No rta tax no metra in Dekalb County. But I aint disagreeing with you.
You are correct, the majority of the people of DeKalb County would need to approve that rta tax too. It’ll never happen.
Oh I know, but it would be huge for the city
I wish!!!
No Parking Downtown is the reason Vendors dont want to invest in DeKalb !!
what happened to the famous “downtown committee” that was to revitalize the downtown, bring more business, I heard 60% of the money was pocketed..not really spent where they said it was to…hmmmm
Not really sure why DeKalb needs a parking garage. IMO there is nothing to draw me to DeKalb.
I hate the idea of a parking garage as a welcome into downtown. I hope either a new building goes up, the current one is fixed or it becomes a park of some sort like across the street.
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would like to see the old subway shops come back..was otto’s basement..had lil shops and eatery in there with a water fountain in middle with seating..