Industrial Retention and Development

GNCDC staff can facilitate individual companies' access to any of the industrial assistance programs below. Additionally, we can facilitate the collaboration of companies that share the same interest. Through these focus groups, common concerns such as area marketing, fly dumping or graffiti can be brought to the forefront and discussed productively, as company representatives can meet one another and share ideas. Elected officials and city representatives often attend these meetings to participate firsthand as companies take collective action to improve the community.

Business Infrastructure Assistance Program

The City of Chicago will provide grants to industrial firms to cover up to 50% of the cost of approved infrastructure improvements. These improvements can involve all elements of public way infrastructure. Eligible projects include but are not limited to: light pole and fire hydrant relocation; hazardous vaulted sidewalk elimination; traffic signalization; water and sewer line improvements; utility removal and relocation; sidewalk, curb, gutter and street improvements; and landscaping. See before and after photos of Armitage Avenue below for a view of viaduct clearance adjustments.

Industrial Area Improvement Program

This program promotes the viability of industrial areas by improving roadway infrastructure and eliminating hazardous or substandard conditions that hinder industrial operations. These improvements may include complete street reconstruction, street/alley repaving, viaduct clearance adjustments, railroad crossing rehabilitation, traffic signal modernization, intersection rechannelization, and water and sewer line reconstruction.

Small Business Improvement Fund

This program provides rebates of up to 50% of the cost of improvements to an industrial building. The maximum rebate per building is $50,000. Funding is provided for facade renovation, lighting, signs, graphics, windows, doors, floors, roofs, tuckpointing, HVAC, ADA, security, expansion and parking. To be eligible, companies must be located in one of the TIF-funded industrial corridors. Call GNCDC to find out if you are eligible.

Industrial Street and Alley Vacation Program

This program enables industrial firms to purchase or lease underutilized City streets and alleys at reduced prices. Vacated rights-of-way may be used for plant expansion and modernization, truck staging, security improvements or employee parking.

Right of Privilege Program

Under this program, the City authorizes industrial firms to install and operate gates in adjacent streets and alleys. The gates are closed during evening and weekend hours, limiting opportunities for fly dumping, vandalism, automobile and personal theft and other illegal activities that result in decreased property values and business activity.

Development Incentives

GNCDC assists expanding companies to access Federal, State and City development incentives:

• Federal Empowerment Zone Incentives - The Empowerment Zone, designated December 21, 1994, provides special federal tax incentives for qualified businesses. Please call GNCDC to find out if you have a business located in an Empowerment Zone. The incentives include:
  
  • An employer wage credit
  • An increased IRS section 179 deduction
  • Tax-exempt bond financing
  
  
  
• State of Illinois Enterprise Zone Program - GNCDC's service area includes portions of Illinois Enterprise Zones Four and Five. Enterprise Zone 5 promotes development in the Northwest and Grand-Armitage industrial corridors, while Enterprise Zone Four serves the Kinzie, Clybourn and Addison industrial corridors. The Enterprise Zone Program promotes development with tax incentives geared toward firms relocating or expanding within a Zone. Incentives include:
  
  • Sales Tax Exemption on building materials purchased for use in the Zone from a Chicago business
  • Gas Tax Exemption
  • Property Transfer Tax Exemption for commercial or industrial properties
  • Illinois Investment Tax Credit of 0.5% is available for investment in machinery, equipment and/or buildings in addition to regular Illinois investment tax credits
  • Jobs Tax Credit available for businesses hiring 5 or more dislocated or disadvantaged workers
  • Additional incentives are available for firms creating 200 or more jobs
  
  
  
• Cook County Class 6b Property Tax Incentive - Cook County offers real estate tax incentives for developing new industrial facilities, rehabilitating existing industrial structures and reusing industrial buildings vacant for at least two years. The program entitles properties to a reduced rate of assessment for ten years, according to the following schedule:
  
  • 16% in years 1-10
  • 23% in year 11
  • 30% in year 12
  In absence of the incentive, industrial properties are subject to a 36% assessment rate. This program requires substantial lead time, so contact GNCDC early in the process.

If you are a retail or commercial business, visit the website of the Northwest Connection Chamber of Commerce for info on their programs.

Call Deborah Smith at 773/637-2416, ext. 228 or email dsmith@gncdc.org