TIF Districts

Summary

Wheeling has three Tax Increment Financing (TIF Districts) created to develop businesses and ensure a growing community. The State of Illinois created TIF as a tool to encourage economic development or redevelopment of high-priority areas within a community that meet particular state-designated criteria. TIF's are financed through a portion of property tax in the given district, dedicated to pay for redevelopment activities through financing of public infrastructure and providing economic incentives to businesses that undertake improvements to parcels of land in the district. TIF Districts expire in 23 years, but can be ended sooner and/or extended for an additional 23 years.

The Village of Wheeling has established 5 Tax Increment Financing (TIF) Districts, of which 3 are still active:

  • Crossroads (began in 1985; extended until 2020).

  • South Milwaukee-Manchester (began in 2000, ended in 2023).

  • North Milwaukee-Lake Cook (began in 2003, expiring in 2026).

  • Town Center-II (began in 2014, expiring in 2037).

  • Southeast-II (began in 2014, expiring in 2037).

Objectives

In the creation of these districts, the Village of Wheeling's objectives include:

  • Creating infill development/redevelopment in vacant and underutilized properties.

  • Improving aesthetics in all of the districts.

  • Improving transportation for property access and through traffic.

  • Strengthening of the community's tax base.

  • Upgrading of the appearance of the Milwaukee Avenue and Dundee Road corridors, as well as the area around the Wheeling Metra Station.

Incremental Property Tax

In a TIF district, incremental property tax, that is, tax above a designated threshold, goes entirely to the municipality. This increment is dedicated to the payment of redevelopment costs. In short, anticipated increase in real estate tax revenues from property development and improvement are used to finance the improvements themselves. All real estate tax revenues, including any increments, are once again proportionately distributed among the taxing bodies according to their individual tax rates at the end of the TIF district's 23-year lifespan.

Applying for TIF District Financing

To begin the process of making application for TIF district financing, a property owner or prospective property owner should request a TIF Application Checklist and Project Application/Project Description from the Village of Wheeling Economic Development Department.

Completion of this form will help the owner/applicant develop a pro forma indicating all costs associated with the proposed development, as well as anticipated revenues derived from operation of the proposed development. Village of Wheeling staff is available to meet with applicants during the application process to discuss the appropriateness of the scope of the proposed schematic development with regard to zoning, other Village legislation and application details. Once the Project Application is finalized, the Village can better ascertain the degree of incentive suitable to the proposed development. Obtaining the Forms To receive the TIF Application Checklist and Project Application/Project Description, please email the Department of Economic Development or call 847-499-9094 or e-mail lbecker@wheelingil.gov.