Chicago developer’s $30M purchase offer declined for unincorporated Suburban apartments, city annex plan halted

SYCAMORE – A plan to annex a portion of unincorporated DeKalb County into the city has fallen through after a Chicago developer’s $30 million purchase offer for two apartment complexes on Twombly and Annie Glidden roads was declined, county officials said this week.

In August, DeKalb government leaders announced Chicago-based developer Clear Investment Group wanted to buy the two apartment complexes on North Annie Glidden and Twombly roads for $30 million. It’s the same developer that over the past year bought up several large apartment complexes in DeKalb city, including Lincoln Tower and Hunter Ridgebrook.

The plan also would have meant the county would have ceded the land under the apartment complexes to the city to annex, allowing for water piping and other infrastructure connections to blend into the city’s mainframe. The plan was supported by both the DeKalb County Board and the DeKalb City Council in August.

In this week’s Committee of the Whole meeting, county administrator Brian Gregory told the DeKalb County Board that the plan didn’t come to fruition as expected.

“Unfortunately, the sale has not gone through,” Gregory said. “Therefore, the agreement that we have is not something that is going to move forward.”

City officials had said the hope was to also annex the 80-acre property – which also includes a solar energy garden – into the city of DeKalb.

Although the properties fall along the northern border of city limits, and since the properties were built in 1967 and rented primarily by Northern Illinois University students and faculty, jurisdiction initially has fallen to DeKalb County government. Now, the rental facilities are home to mostly single-family tenants. According to the DeKalb County Housing Authority, Section 8 housing vouchers also are offered for units at Suburban Apartments.

Over the years, the property has fallen into disarray, city and county officials said, citing crime and inadequate housing quality as a reason for wanting the change in ownership. Better enforcement of existing city code meant to maintain a certain level of housing quality is another trigger for the potential city annexation, documents show.

Gregory said DeKalb County and the city of DeKalb worked together to come to an agreement that would have brought water main improvements to the area before annexation. That agreement, however, was contingent on the sale of the property to a buyer who would put significant funds into the development.

Gregory said the county’s administration will keep the property on its radar and continue to work with the city of DeKalb to try to find a solution “that works for the residents of the city of DeKalb but also residents of DeKalb County.”

Clear Investment Group also last year bought several large rental units in DeKalb formerly owned by controversial landlord Hunter Properties, at one time the city’s largest landlord.

Much like the ownership change for now renamed The Terraces at DeKalb – spurred by what city officials said was consistent crime in the area that led to regular police calls – a buyer for Suburban Apartments and Suburban Estates could bring needed security for residents of the area, city officials had said.