If the Chicago Bears transfer to Arlington Heights, their future neighbors are hoping to money in on the transfer. Business house owners and owners consider a brand new soccer stadium on the positioning of the previous Arlington International Racecourse would convey an inflow of followers and larger demand for actual property.
John Steinken, who lives in Palatine inside strolling distance of the positioning, is a Green Bay Packers fan, however on this case, he’s rooting for the Bears. A union electrician, he and his sister reside in the identical home his mother and father purchased in 1954. They have a double lot subsequent door the place they play horseshoes. It’s property that he hopes to promote for retirement cash if the staff strikes.
“I would support it here,” he stated of the stadium.
An evaluation of housing costs in Arlington Heights means that the Bears might already be having an impact in the marketplace. Median gross sales costs within the three closest ZIP codes within the village elevated 14% by way of October within the 12 months after the staff introduced its preliminary settlement to purchase the now-shuttered racecourse, in line with figures from the National Association of Realtors, whereas costs within the Chicago metropolitan space rose solely 5%.
Similarly, the native Bowers Realty Group experiences that median sale costs for single-family properties in neighboring Palatine elevated 7% to almost $400,000 up to now 12 months. Prices in Rolling Meadows, which additionally borders the observe, haven’t appreciated as a lot, however have been promoting extra shortly just lately.
The improve got here regardless of rising rates of interest and uncertainty over whether or not the staff will transfer. The Bears have proposed constructing a brand new enclosed stadium as a part of $5 billion price of flats, condominiums, bars, eating places and parks.
Team officers seem intent to purchase the 326-acre website for $197 million, however aren’t speeding it. Bears Chair George McCaskey stated this week that whereas the racetrack property stays the staff’s “singular focus,” officers are nonetheless making an attempt to find out whether or not they can shut the deal within the first quarter of this 12 months. New Bears President and CEO Kevin Warren added that it’s important that “we’re methodical, we’re detailed and we take the time to plan it properly.”
Even in the event that they purchase it, as anticipated, staff executives say they gained’t go ahead with the event and not using a authorities subsidy of the infrastructure prices.
The actual property market in Arlington Heights had been trending up beforehand as effectively, so it’s unclear how a lot the Bears might need influenced housing costs. Studies elsewhere, equivalent to in Washington, D.C., have discovered that sports activities stadiums correlated with growing housing costs, with the impact most concentrated intently to the sphere. But at the least two research have additionally discovered that stadium subsidies decrease housing values.
Arlington Heights Mayor Tom Hayes stated he believes the elevated demand for housing within the village is extra possible because of the conventional causes: good colleges and high quality of life. Hayes additionally famous a current pattern towards constructing new high-rise rental properties within the village.
Rental properties are believed to be extra inclined to elevated costs than single-family properties. One examine involving the Federal Reserve Bank discovered that rents elevated an annual common of 8% in downtown areas that had NFL groups between 1993 and 1999, greater than elsewhere.
Housing turned an enormous concern in Inglewood, California, after the development of Sofi Stadium, the house of the Los Angeles Rams and Los Angeles Chargers. Home costs rose 63% from 2014, because the venture got here collectively, to 2018, PropertyShark reported. Demonstrators protested in opposition to lease will increase, displacement and homelessness, inflicting town to implement lease management.
In Arlington Heights, actual property agent Shay Hata stated none of her purchasers has needed to maneuver particularly to be nearer to the Bears, however traders have been possible to purchase properties close by in hypothesis of rising costs, and presumably to lease them out by way of Airbnb or different short-term leases.
A extra frequent concern amongst patrons is site visitors. Some are shopping for in surrounding suburbs with the hope of the Bears transferring, however don’t wish to be so shut they’ll should take care of the crowds and craziness, she stated.
“In general,” she stated, “we’ve seen high demand in Arlington Heights more driven by people wanting to get out of the city and have more space for working from home. To me, it’s much more so because of COVID than the Bears.”
In neighboring Palatine, Mayor Jim Schwantz is a former Bears participant himself who remembers kicker Kevin Butler having to get a Chicago Park District employee to unlock Soldier Field to apply there. He welcomes the staff transferring to the northwest suburbs.
His predominant concern, he stated, is site visitors chopping by way of residential neighborhoods and clogging Route 14 (Northwest Highway), which runs by way of Palatine on the best way to the park. In addition, any property tax withheld for the event might have an effect on Palatine Community Consolidated School District 15.
With infrastructure prices presumably exceeding $1 billion, he stated, “There are a lot of unanswered questions. There’s a lot of hurdles to clear.”
Despite the uncertainties, present property house owners can dream of a payoff.
Ken More, a Farmers Insurance Group agent, owns an workplace constructing on a small lot throughout the road from Arlington Park. He’s hoping a Bears transfer might entice patrons for the property.
Just as new growth has sprung up close to stadiums for the White Sox, Cubs, the United Center and Soldier Field, he’s hoping the identical would occur close to Arlington Park. Despite the Bears’ plan to construct their very own housing and companies developments, More is optimistic.
“I don’t think this could do anything but help me,” he stated.
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Source: www.bostonherald.com
