Thank you for the Dec. 31 editorial “Appraising Daley’s Loop deals.” Providing assistance through tax-increment financing (TIF) will enable a developer to convert the vacant landmark Reliance Building into a new hotel, welcome on our revitalized State Street.
The Reliance Building, a Chicago landmark and a National Historic Landmark, is consistently cited as one of the most important buildings in American architecture and the predecessor to the modern skyscraper.
The action will provide 85 jobs during the construction phase and 116 permanent jobs created by the hotel and restaurant. The city will recoup our costs in 10 years. With $10.8 million in total city costs, we expect to receive $10.6 million in taxes (real estate, hotel/motel and sales taxes) by the year 2008. No taxes have been collected for at least five years while the building has been sitting vacant. The hotel’s operational costs of goods and services will also contribute to Chicago’s economy.
With the support of the Greater State Street Council, State Street Commission, Landmarks Preservation Council of Illinois, Chicago Central Area Committee and Ald. Burt Natarus (42nd), we believe this project is good for Chicago. It represents jobs, economic growth and new vitality to an otherwise unused property in a prime location.
