Hoffman Persists With $159M Mixed-Use Project In Lombard

A major redevelopment project set to transform a former seminary campus next to Lombard’s Yorktown Center mall remains in limbo nearly three years after its ambitious proposal.

Hoffmann Alpha Omega Development Group’s vision for the $159 million mixed-use project includes a Moretti’s Italian restaurant and a golf entertainment venue as its centerpiece, along with hundreds of apartments, a gas station and a convenience store. But still without a shovel in the ground, the developer is exploring new ways to advance, the Daily Herald reported.

“While they had hoped to move forward, there have been times in recent months where the property has been listed on the open market,” Lombard village manager Scott Niehaus told the outlet. “And I know that as of right now, they’ve terminated their relationship with their broker, and they’re reassessing their plans.”

Earlier this year, the would-be developer had hired JLL to market the property for sale. The development has been hindered by various challenges, such as hiked interest rates and construction costs, prompting Hoffman to temporarily scrap its plans. Now, the Schaumburg-based firm may seek a partner to get help get the project off the ground.

The village had previously granted zoning entitlements for the redevelopment in January 2021 and approved up to $27.5 million in tax incentives over an 18-year period. The former Northern Baptist Theological Seminary property, spanning 28 acres, is owned by an LLC tied to Hoffman. Lombard established a tax increment financing district in 2017 to encourage redevelopment of the seminary property.

Lombard is also looking to acquire a tract of the land spanning less than an acre for a proposed water tower, which Niehaus described as a crucial move for maintaining water pressure, fire suppression and accommodating the area’s growth. The village is set to receive a $4 million state grant to support the water tower’s construction.

The site’s location has posed visibility challenges, lacking direct access from Butterfield Road or 22nd Street. While some demolition and debris removal is still ongoing, village officials are working on a real estate contract to purchase the 0.7-acre parcel for an anticipated price of around $236,000.

The area surrounding the seminary campus has seen significant growth, with new apartment complexes and plans for a Main Street-style plaza near Yorktown Center. Despite the delays, both the village and the developer remain engaged in negotiations, and officials hope the water tower land contract will be closed by the end of the year.

— Quinn Donoghue