Economic Development Commission

VILLAGE OF SKOKIE ECONOMIC DEVELOPMENT COMMISSION DRAFT MEETING MINUTES October 26, 2021 EDC Members Present: Katie Bulgrin - Chair Howard Meyer – Vice Chairman Marc Battista Barbara Carley Steve Franklin Scott Gendell Curt Hansen Joe Hermiz Serge Khalimsky Brian Levinson Erica Minchella David Putrus Dave Rahija EDC Members Not Present: Megan Buminovich Michael Delanois David Drehobl Michael Rosen Staff Present: Michael Lorge, Corporation Counsel, Village of Skokie Matt Brandmeyer, Community Development Director Len Becker, Economic Development Manager, Village of Skokie Leslie Murphy, Economic Development Specialist, Village of Skokie I. Welcome/Call Meeting to Order Chair Katie Bulgrin convened the meeting at 8:05 a.m. and welcomed Mayor Van Dusen to the EDC meeting. II. Welcome Comments – Mayor Van Dusen Mayor Van Dusen welcomed Commissioners to the EDC, both those returning as well as new appointees. The mayor articulated that the work of the EDC is extremely important as we continue to emerge from the COVID-19 pandemic. Since the commission has not formally met in nearly a year and a half, the 2021-2022 year will be pivotal for the commission as well as the Village as a whole. The role the EDC plays as an advisory group will help assist staff and elected officials as we move forward – especially from policies and the nest iteration of the Skokie Economic Development Strategy and Action Agenda. Mayor Van Dusen thanked commissioners for their service and looks forward to a productive year. 1 DRAFT October 26, 2021 – EDC Minutes III. EDC 2021 – 2022 Action Items and Deliverables – Chair Katie Bulgrin Chair Katie Bulgrin introduced herself to all commissioners and indicated that she was honored to serve as Chair this year. Former Chair Shalom Klein has relocated out of state and as such will no longer be involved in the EDC. Shalom will be missed as he was instrumental in helping guide the commission over the past 5+ years. As a bit of background, Katie outlined her career and how she came to Skokie. Having a college degree in mechanical engineering, it is an unlikely story that she would be the owner / operator of three successful businesses including Culver’s restaurants in Skokie and Downers Grove as well as a sports bar located in Madison, WI. Chair Bulgrin thanked current and new commissioners for their service to the Village in what has been one of the most difficult years in generations given the devastating impact of COVID across all sectors of business, society, and life. Chair Bulgrin reviewed the upcoming meeting schedule. Previously, the EDC met every other month on the fourth Tuesday for regular meetings and alternate months were dedicated to site visits of Skokie businesses. With the holiday’s in November and December, Chair Bulgrin suggested a combined meeting for Tuesday, December 7 at 8:00 a.m. It was also suggested that Site Visits be curtailed until further notice with a reevaluation in the Spring of 2022 especially given COVID protocols and sensitivity. Instead of site visits, business owners and managers will be invited to share their perspectives with the EDC at future meetings. In addition, the EDC may not need to meet every month, however commissioners were advised to hold their calendars for now. A listing of proposed dates is posted on the EDC page of the Village’s website. Commissioner Barbara Carley offered to host a future / spring EDC meeting at the soon-to-be completed 8030 Lamon Building on the campus of the Illinois Science + Technology Park. A state-of-the-art conference room will be ready, and commissioners will be able to tour the redeveloped property. Commissioner Serge Khalimsky offered to host a future EDC meeting at Old Orchard as well in early 2022. Katie briefly discussed that staff would be leading the development of the next iteration of the Skokie Economic Development Strategy. This strategy which was developed and implemented in 2017, expired in 2020. Given the onset of COVID in early 2020, the Mayor and Village staff convened one of the first Economic Recovery Task Force’s in the region. Throughout the spring and summer of last year, the Task Force met in response to COVID to initiate and deploy activities detailed in a Task Force report to assist Skokie Businesses impacted by the pandemic. Since that time, staff has provided updates to Task Force members, the EDC, business community, as well as Skokie residents. Chair Bulgrin stated that an update to the ED Strategy was one of the key outcomes for the coming year. The update will be led by staff, with EDC members advising staff and providing feedback. Creating an updated ED Strategy will consume the entire year with the realization that many initiatives have permanently pivoted since COVID. Furthermore, it was mentioned by staff that a strategy / action agenda for three years was much more appropriate given the pervasive level of uncertainty in the economy overall. 2 DRAFT October 26, 2021 – EDC Minutes IV. Commissioner Introductions – Vice Chair Howard Meyer Vice Chair Meyer welcomed new and returning commissioners. He briefly provided background for the EDC as a founding member with former Chair Shalom Klein. He continued to state that the EDC is an advisory group and will consider items of importance to the business community. As the primary focus of this meeting, Vice Chair Meyer stated that it was important for all of the commissioners to discuss their background and interests in serving on the EDC. The following summaries were provided: • Vice Chair Howard Meyer – President & CEO of the Skokie Chamber of Commerce. The Skokie Chamber is the second largest on the North Shore with 700 businesses and members represented. During Vice Chair Meyer’s tenure, the Chamber has grown significantly. • Commissioner Serge Khalimsky – General Manager, Westfield Old Orchard. The iconic shopping center is one of the largest in the state with 1.7 million square feet and home to 140 retail spaces. Serge has been with Westfield for 10 years with prior experience in the financial services industry. Originally from the Ukraine, Commissioner Khalimsky discussed the potential of the center and growth opportunities especially given the consolidation of retailers. In addition, he indicated that the uptick in crime nationally and labor shortages posed some immediate challenges. • Newly appointed Commissioner Brian Levinson owns and manages health care facilities throughout the region and serves on numerous boards such as Arie Crown and Touro University. He indicated that the development of the new Arie Crown campus is moving forward once $40 million in monies have been raised. As chair of Touro University, Commissioner Levinson updated the EDC as to plans for opening a graduate health school on the property owned by the University on Fargo Avenue. Issues of concern included labor shortages and price gouging evidenced in many health care staffing firms and the challenge of balancing remote and onsite learning for students at Touro. • Commissioner Barbara Carley of American Landmark Properties represents the Illinois Science + Technology Park. She provided an overview of recent developments at the Park including the sale of three buildings at the park including 4901 Searle Parkway to TopMed and is leased to Northshore University Healthcare and the multi-tenant buildings at 8035 and 8045 Lamon to Singerman Real Estate. Commissioner Carley announced that Singerman Real Estate is a great fit for the Park as the firm has a significant presence with life science firms on properties it owns on the East and West Coasts. American Landmark is completing the renovation of the formerly vacant 8030 Lamon building as a result of a State Grant and sale of the property to accommodate the proposed Homewood Suites by Hilton Hotel. Commissioner Carley voiced her concerns of catastrophic property taxes on commercial properties and as a result, the firm is exploring acquisitions of residential properties. • Commissioner Dave Rahija, President of NorthShore Skokie Hospital for the past 3.5 years and with NorthShore for the past 13 years. Dave updated the EDC as to recent news from NorthShore which includes the acquisition of Northwest Community Hospital in Arlington Heights and proposed merger with Edward-Elmhurst Health. One of the greatest accomplishments is the specialized care model initiated by the system which focuses on specialties amongst its numerous facilities. Some of the significant challenges expressed by Commissioner Rahija include deferred care because of Covid which continues to stress the system as a whole, staffing and especially the National Nursing Shortage. • Real Estate Attorney and Commissioner Erica Minchella has experienced numerous real estate cycles throughout her 20+ year career. Over the past 12-18 months, the real estate market has 3 DRAFT October 26, 2021 – EDC Minutes  been astounding from a volume standpoint. Numerous factors such as the eviction moratorium, low interest rates and work-from-home opportunities are all part of the overall picture. Commissioner Minchella articulated some concerns she sees as we evolve from the Pandemic era. Some of these include an increase in foreclosures, evictions, and drastic increases in property taxes as a result of the past triennial reassessment in Cook County. • Commissioner Scott Gendell is a Skokie native and President of Terraco Inc., a multi- disciplinary commercial real estate firm. Terraco has a vast portfolio which includes 120 properties in 14 states as well as 17 located in Skokie. He is active in Rotary, the North Shore Center for the Performing Arts, as well as the Illinois Holocaust Museum to name a few. • Skokie resident and newly appointed commissioner Joe Hermiz teaches Middle Eastern History at the University of Chicago. Currently working on his PhD, Commissioner Hermiz expressed concern regarding the impact of remote learning, especially on younger students. Joe has a background in real estate and mortgage banking. • Dave Putrus, Commissioner and Vice President of First Bank Chicago’s Skokie office has significant experience in the banking industry of which 22 years has been in Skokie. As a Skokie native, Dave is involved in numerous organizations such as the District 219 Foundation and Skokie Chamber of Commerce. Labor issues are a concern as expressed by other commissioners and the transfer to all online banking will continue to change and shrink the physical real estate of the banking industry and particularly local branches. • ED Commissioner Steve Franklin has been a Skokie resident for over 30 years and recently retired from the banking and finance industry. Commissioner Franklin indicated that he is pleased to serve on the EDC and looks forward to a productive year. • Commissioner Marc Battista, Associate Vice President and Dean for Business and Workforce Training at Oakton Community College updated commissioners. Since the Pandemic began, enrollment is down at Oakton which is consistent with national trends. However, Commissioner Battista indicated that certificate programs and those students seeking dual credits (High School students who receive college credits) is robust. Given the challenges with workforce, re-skilling is of great importance for many employers. • Curt Hansen is one of the newest Commissioners and resides in Skokie. Curt is currently the branch manager for Wintrust Banks two Evanston branches and has been with the bank for 10+ years. One of the major concerns expressed by Commissioner Hansen is the changing dynamics of the workforce and turnover since the Pandemic began. V. Village Update Staff provided a brief update regarding various development projects in Skokie including the Proposed Homewood Suites by Hilton Hotel, Highpoint at 8000 North, 8110 Lincoln, the BLVD., as well as some brief insights as to how the Pandemic has impacted the commercial real estate market in Skokie and the region. VI. Adjournment With no further business, the meeting was adjourned at 9:25 a.m. Respectfully Submitted, Len Becker, Economic Development Manager 4 DRAFT October 26, 2021 – EDC Minutes