Continental Properties Suburban Apartment Proposal Scrutinized

A development proposal for what would be Lake Zurich’s largest rental community is facing scrutiny over density and traffic concerns.

The $80 million development, proposed by Wisconsin-based Continental Properties and Deerfield-based MJK Real Estate, would include eight apartment buildings and a fast-food restaurant, located on the 20-acre Regal cinema property at 755 South Rand Road, the Daily Herald reported.

The multifamily project would replace the aging theater with up to 282 rental units ranging from studio to three-bedroom apartments. Despite the village’s need for more housing, the density of the proposed development, dubbed June Terrace, has raised concerns among village trustees regarding traffic, stormwater management and overall suitability for the site.

“The density is overwhelming,” Lake Zurich Trustee Marc Spacone said. “I think it’s a lot of units for a tight space.”

The density works out to 3,089 square feet per unit.

A majority of trustees acknowledged the challenges of high-density residential projects in the location, but many also recognized the shifting landscape of real estate development, which has made retail development less viable.

Evolving shopping habits make an extensive retail redevelopment infeasible, said Richard Silverman, MJK’s vice president of development. Silverman is already involved in the Lake Zurich business community, with plans to open a 7 Brew Coffee at 880 South Rand Road later this month.

Continental has an exclusive agreement to purchase the property.

Mayor Tom Poynton acknowledged the complexities of the project and its potential implications for the community. “I don’t know what the answer to that property is,” he said. “It’s going to get developed one way or another.”