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Subaru dealer move to Elgin location still progressing

Updated: February 11, 2014 6:19AM

ELGIN — Plans for a Subaru car dealership along Randall Road remain a work in progress.

According to Assistant City Manager Rick Kozal, on Dec. 5, the city provided comments on Brilliance Subaru’s final engineering plans and final stormwater report.

The dealership responded Monday, stating it is “currently in the process of addressing the comments in the correspondence, as well as updating the site engineering plans for miscellaneous building/architectural modifications” and that Brilliance Subaru “will be resubmitting the plans and associated documents in the near future,” Kozal stated in an email.

According to Kozal, Brilliance Subaru made its first submittal of building plans to the city Jan. 3.

Incentive plan

The economic incentive agreement approved by the city council last fall with Brilliance Subaru of Elgin Inc. waived building permit fees and rebates 25 percent of the sales tax revenue generated by the dealership over 10 years.

The lone vote against the package was by council member Carol Rauschenberger, who said it is time for Elgin — and by inference, other municipalities — to draw a line in the sand and stop offering incentive packages to businesses.

The owners of Brilliance Honda of Crystal Lake were awarded a Subaru franchise earlier this year, contingent upon acquiring a site by the fall, and settled on a vacant parcel on the west side of Randall Road at Capital Street, which is across the road from Advocate Sherman Hospital.

Payroll, revenue

Brilliance is to invest $6.8 million to purchase the parcel, construct the dealership and equip the facility. The Elgin location would employ 60 to 75 people, with an annual payroll of $3.9 million to $4.5 million.

New-vehicle sales are projected at $37.5 million to $45 million annually, with used-car sales totaling $13.5 million to $18 million annually. Parts and other retail sales are estimated to generate $2.5 million to $3 million annually.

Brilliance previously said it intended to break ground on the dealership on Oct. 10 — the day after final legislative approval from the city council, and hoped to open by spring.

Brilliance Subaru owner Kevin Keefe did not respond to a message left for him by The Courier-News asking for comment about the status of the project.

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