'Ventus Tech chose DeKalb County': Council OKs annexation, Crego Road deal for data center

DeKALB - In a sweeping four-vote unanimous front, the DeKalb city council has set the foundation to welcome an $800 million data center build out which would bring in more property tax revenue than all the city’s largest companies combined.

“Wow,” said Mayor Jerry Smith, who was left speechless at the tail-end of the four votes and led the council chambers in a round of applause. Ward 1 Alderman Carolyn Morris, Ward 3 Alderman Tracy Smith and City Clerk Lynn Fazekas participated in the meeting remotely due to ongoing concerns related to COVID-19.

Ventus Tech Services LLC, the pseudonym for the company, will create a data center on 505 acres of property along Gurler and Crego roads in the Afton Township, which will be annexed from the township into the City of DeKalb. Ventus will invest $800 million into a 970,000-square-foot space, which will be privy to a 20-year, 55% property tax abatement plan, already approved by the council, with a stipulation of 50 tech jobs with a starting wage of $38.50 an hour.

A representative of Ventus Tech was in the audience Monday but did not provide public comment.

The council approved the development concept plan, the land annexation, rezoning it to industrial use and a plan to privatize a portion of Crego Road for just Ventus’ use, accommodating an alternative route for public road access in the area.

The city received letters of support from a number of DeKalb entities, including the DeKalb County Economic Development Corporation and Northern Illinois University’s President Lisa Freeman.

“The diversification of the local economy to attract higher wage jobs will support the university’s efforts to attract students and encourage employees to live locally,” Freeman’s letter stated.

Construction to change 66 feet of right-away and two 12-foot driving lanes on Crego Road will be split between three parties: state money provided through the Rebuild Illinois Capital Fund through state Reps. Jeff Keicher (R-Sycamore) and Tom Demmer (R-Dixon) will pay for $1.3 million of the road plans. The city has budgeted $125,000, and Ferrara and Ventus will provide the remaining $3.1 million, about 67% of the total costs. Road plans are slated to be complete by the end of 2020.

In a letter to the city, Jerry Wahlstrom and Susan Elsner of Century 21 said the development would bring the types of housing development needed to match neighbors.

“If you go to Sycamore there’s a far better selection of luxury homes resulting in far larger number of sales,” the letter said. “We need to create a demand for these homes. Increased employment vitality will add to the general overall DeKalb real estate marker.”

Following the city’s success attracting Ferrara Candy Company to the ChicagoWest Business Center, which will sit across the street from the data center campus, city leaders have touted Ventus’ promise as instrumental in an uncertain economic time.

City Manager Bill Nicklas said he’s calculated that the region has not seen as significant of an economic impact in industrial tax revenue since the construction of the Chicago-Dixon railroad in the early 1850s.

“I think we can obviously draw some encouragement from this in some very difficult times,” Nicklas said. “Not the least of which because of many possible development sites, Ventus Tech Services chose DeKalb County.”