Title/Name/Summary
Colette Highlands Townhomes Subdivision, Letter of Credit Draw
History
On January 4, 2016, a special use permit for the Townhomes at Colette Highlands was approved by the Board of Trustees (Legistar #2017-0849). Also, a recorded development agreement with the developer (Parkview Homes, LLC) of Townhomes at Colette Highlands was signed on December 5, 2016. Section 3 within the Development Agreement states:
“The design criteria, construction and maintenance of the storm sewers shall be in accordance with all standards of the Village in force on the date of final plan, and also all standard of the Metropolitan Water Reclamation District of Greater Chicago (MWRDGC) in effect at the time of final plan approval, and shall be completed by the Owner at its expense. The Owner shall maintain all storm sewer until final acceptance by the Village, after which the maintenance of the storm sewer shall be the responsibility of a Homeowners’ Association established or to be established by the Owner. Acceptance thereof by the Village shall be conditioned upon satisfactory evidence from the Owner that future storm sewer maintenance will be adequately provided by the Homeowners’ Association.”
In a letter dated January 8, 2026, Village staff, in cooperation with Village’s attorney, Ancel Glink notified the original applicant (Interforum Holdings, Inc.) of their failure to complete the final punch list items of Colette Highlands Townhomes Subdivision per the Board-approved Engineering Plans. Per Village Land Development Code Section 5-112.E, the Board of Trustees may declare the developer (Parkview Homes, LLC) in default, and the Village may pursue completion of the final punch list items using the processes described in this code section. This includes drawing letter of credit (LOC) funds for the Village to coordinate the completion of the remaining items.
Village staff anticipate that remaining work to complete the development of Colette Highlands Townhomes Subdivision will include, at minimum, cleaning and maintenance of permeable asphalt, replacement/repair of sidewalk ramps and sidewalk squares, dead trees to be replaced, and restoration of impacted areas to complete this work.
Financial Impact
The remaining letter of credit balance is $5,000.00, which is currently under Village's control. Village staff will document all costs incurred by the Village in completing the remaining items. Formal cost estimates from contractors will be collected after these funds are drawn from the Letter of Credit.
Recommended Action/Motion
I move to approve declaring Parkview Homes, LLC in default, thereby allowing the withdrawal of Letter of Credit funds for Village staff to coordinate completion of the remaining punch list items.