October 9, 2005

Eminent Domain Department

International Plaza

A few weeks ago, I started what I hope will be a continuing series of photoessays on eminent domain abuse. You might want to check out my first essay on the Sportif bike shop in Chicago, Illinois.

Another local target of post-Kelo eminent domain abuse (and also pre-Kelo eminent domain abuse, I might add) is the International Plaza shopping mall in Arlington Heights, Illinois.

International Plaza
Larger ImageInternational Plaza

By my rough estimate, the whole mall covers about 12 acres, including the service areas. If you check out this Google Map of International Plaza you'll see the main mall surrounding the parking lot in the center, with a little strip mall wing on its west side.

The Attached Strip Mall
Larger ImageThe Attached Strip Mall

This all seems a bit unusual, doesn't it? I would have thought a shopping mall much more likely to be the cause of eminent domain abuse rather than the victim. How did things turn out this way?

A very nicely done Chicago Sun-Times article by Abdon M. Pallasch, David Roeder and Eric Herman gives a bit of the story:

The village of Arlington Heights wants to acquire International Plaza, a complex at 120 Golf Road, and replace it and neighboring parcels with a SuperTarget. With more than 40 stores and few vacancies, the plaza is mostly leased to businesses owned by Korean families. The village has reasoned it can draw more tax revenue from a SuperTarget, but has found the plaza's owner, Su-Chuan Hsu, unwilling to sell.

A tenant at the plaza, Gary Mednicov, owner of Garibaldi's pizza, said he believes the village will try to force the sale once it completes a contract for a SuperTarget.

"I feel I have no choice, but I think what Arlington Heights is doing is wrong," he said. "Some of the people started the businesses there from nothing."

International Plaza isn't the nicest mall in Arlington Heights, but it's managed to attract a number of national chain stores, including Blockbuster Video, Tuesday Morning, and an Eileen Fisher Outlet Store.

Eileen Fisher
Larger ImageEileen Fisher

Other stores include the Garibaldi's Restaurant mentioned in the quote above, Oak Creations, an XSport Gym, and an Elly's Pancake House:

Xsport Gym
Larger ImageXsport Gym
Elly's Pancake House
Larger ImageElly's Pancake House

(By the way, most of my pictures were taken on a cloudy morning about half an hour after the mall opened, so don't make too much of the empty parking lot.)

To be fair, I should mention that about a half dozen of the storefronts appear empty, including a large internet cafe and a corner clothing store.

Closed Internet Cafe
Larger ImageClosed Internet Cafe
Closed Suit Store
Larger ImageClosed Suit Store

On the other hand, here's a salon that just opened:

Xotic Skin & Nail
Larger ImageXotic Skin & Nail

Unfortunately, I don't think this newly-opened Xotic Skin & Nail salon will help the mall avoid the "blighted" designation. From what I've been reading, when it comes to eminent domain and urban renewal, these types of businesses just don't count. They're not the right types of businesses.

Angela's Hair Salon
Larger ImageAngela's Hair Salon

You see a lot of this in urban renewal. The powers-that-be will brag about how they brought a new big-box store to the city, or created a revitalize city center with a movie theater, a Borders books, a Starbucks, and 25 luxury condominiums. They won't mention all the low-volume little businesses that were driven out by the renewal.

Creative Nails
Larger ImageCreative Nails

If this was a city neighborhood that was targeted for renewal, you'd expect to see muffler shops, laundries, and appliance repair stores. A suburban mall like International Plaza doesn't have those kinds of places, but it's still got the nail salons, hair stylists, video stores, travel agencies, and currency exchanges so prevalent in areas slated for redevelopment:

Currency Exchange
Larger ImageCurrency Exchange
Travel Agency and Video Store
Larger ImageTravel Agency and Video Store

In the calculus of eminent domain and urban renewal, businesses like these simply don't count. They're the wrong kind of business, so their loss is considered unimportant. In part, this is just the normal human failure to give due consideration to circumstances of others.

Nari Sushi House
Larger ImageNari Sushi House

This failure is always more pronounced when the others come from a different culture or are from a different race. I think it's no coincidence that International Plaza and many of its shops are owned by Asians.

Oriental Food
Larger ImageOriental Food

The Kellogg School of Management at Northwestern University has an archived copy of a nice Chicago Daily Herald article by Corrie Cutrer about International Plaza.

I also have a much larger collection of photographs of International Plaza.

13 Comments

Wow! This is America? I am dumbfounded that this kind of thing is possible. If this is allowed to happen, I will boycott any stores that take over that area, though I'm afraid it will do little good against the draw of the new store(s). I am ashamed to say my initial reaction was, "Ooh! A Target closer to home!"

I hope you do continue to point out these abuses, but I also hope and pray that someday soon there won't be any to report.
-Gary

This is interesting because Arlington Heights is ALSO severely restricting residential teardowns, limiting the size of homes that can be built in place of the old ones. So the town government/residents are worried about people putting up homes that are "too upscale" but can't stand the idea of small businesses that aren't upscale enough. Can't have it both ways!

Am I missing something here? I thought it was already deemed ILLEGAL to eminent domain one private use area to deed over to another private use area. Please double check this. If Arlington Heights wanted to eminent domain this mall to put in a public park or a water park, they could do it... but NOT to deed over to Target.

" I thought it was already deemed ILLEGAL to eminent domain one private use area to deed over to another private use area."

No, it's not actually illegal. The Supreme Court's recent Kelo decision confirmed that it's legal to do if there is a public benefit, even if that public benefit was simply that the new owners would pay more taxes.

I'm no expert, but I believe eminent domain has long been used to condemn abandoned buildings so they could be taken away from owners who weren't maintaining or using them. This evolved into the ability to declare entire neighborhoods "blighted" so they could be redeveloped. Lately, they've started to take properties if the owners aren't using the property as well as they should; i.e. in a way that pays more taxes.

another example of an out of control judiciary setting law . We need a major change.

From Glenn Anderson | October 19, 2005 10:30 AM

If you would like to read about the TIF fight in Crystal Lake, take a look at McHenryCountyBlog.com. No pictures of businesses the city council wants to "go away," but details you won't read in the daily paper.

I want to make some comments on the comment made by Russ on Oct. 11th. I don't know where you got your facts on Arl. Hts. restricting the size of teardowns but they are totally wrong. I live next door to 2 of them and they are over 3 times the size of my home and every other home on the block.
The limitations they placed were a smokescreen to make it look like they were sympathetic to preserving the character of neighborhoods.I went out and collected over 500 signatures from residents who were opposed to the revised sq. foot allowances which they passed. I made copies for each trustee and provided them at a village board meeting. I was told to bring them to the ordinance review committe and the design commission which I did, only to be ignored again. I also found out while attending these commission meetings that the board members were all appointed by our own trustees and were populated by real estate agents, members of local banks lawyers, and local architects. I asked why no one from the aingle story neighborhoods who were being most seriously affected were not members on these boards and was told that anyone could volunteer but would have to be approved by the trustees. In further investigation I found that many of the appointed members were profitting off the teardowns through the designing of them, the financing of them and the sales of them. It's a great country isn't it? Eminent domain is just another tool for these thieves.

Thank you Jim.

I was wondering what motivates village boards to go through the trouble of eminent domain hearings. What if, in some way, they are doing the right thing?

Now that I realize that an unholy alliance of real estate salesmen, bankers and architects stand to benefit from these deals, it makes all the sense in the world to fight it.

The Village of Arlington Heights should be ashamed of itself. This is clearly an abuse of power and a gross abuse of eminent domain. The original intent of eminent domain was aquire property for public works (highways, damns, etc) that would benefit the community. It was never intended to be used to steal private property to generate tax revenue. Follow the money people. You can be sure there are plenty of tax taking people in government benefitting from this and not a single tax paying private citizen. In fact I wouldn't be surprised if the teachers union has their filthy money grubbing hands in the pot!
You should be very angry people!
Boycott Arlington Heights!

I am sure you won't post this, but...I commute every morning on the 8:01 express train and I saw you "International Plaza People" out there this morning, so I logged on.

The thing is, I remember moving to Arlington Heights 20 years ago when the town was barely a blip on the radar. Since then my parents home has more than quadrupled in value. I personally enjoyed the benefit of the Windsor, South, Prospect, trio of excellent schools. I graduated four years later, with a degree in Political Science/Pre-Law from DePaul University.

I find our renewed and refreshed downtown area to be the very best thing about our community, even though most of it is relatively new. I will probably choose to live here for the rest of my life. I love Arlington Heights, I respect our village board, and I support the big picture. Tax revenues mean a better community, blighted shopping centers with purely nostalgic value are a waste of space. I grew up blocks from Arlington Market, so I get it, but at some point we all must realize that things must change and evolve or they will eventually perish.

Lauren: "a waste of space". "the big picture"

Wow, I didn't know we were socialists.

The inalienable rights of individuals are not to be subservient to the government or society. This is one of the most crucial tenets of our Constitution.

There are plenty of legal ways to improve a neighborhood without stealing property.

My house has doubled in value in a few years, and no one had to kick anyone out to do it.

I wonder how you would feel if it was your house or your parents house?

The center looks horrible and TARGET SHOULD HAVE GONE THERE!!! The place looks like complete dog sh**!!! I can't believe a bunch of idiots stopped it from happening. You should all be ashamed of yourselves!!!
TARGET WILL RETURN AND I WILL SEE ALL YOU LOUD MOUTHS SHOPPING THERE!

IDIOTS!!

From Target Man | November 9, 2007 3:02 PM

This shopping center is absolutely terrible. Its an eye sore to the entire community. I have been living here for over 50 years and I am embarrassed to drive by it. There are much nicer shopping centers in the immediate area such as the Jewel-Osco shopping center on Golf and Arlington Heights Rd, the Tuesday Mornings shopping center across the street, even the Lovers Lane shopping center on Golf down the street from the eye sore.

I cant wait for someone to tear down this dump. I'll even consider a landfill instead of that place!!!

From International Dog Sh%t | November 9, 2007 3:11 PM

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