High Tech Company Considers Move to Northbrook, Asks For 12-Year Property Tax Break

Pending input from other local taxing bodies, village trustees are mostly positive about a high-tech semiconductor manufacturer that is considering a move to Northbrook and requesting a 12-year property tax break.

MicroLink Devices, Inc., has said it would move 33 jobs from its Niles facility to a building at 300 Wainwright, in Northbrook’s industrial district, that has been vacant since December 2010. That move is contingent on its ability to take advantage of Cook County’s 6b property tax classification, an exemption for businesses occupying “abandoned property.” To meet the requirements of the 6b tax code, the business must be moving into a site that has been vacant for at least 24 months—or be granted an exemption for special circumstances by both the village board and county board.

Trustees were mostly positive in discussion of the company’s application at Tuesday night’s village board meeting, but expressed some reservations about its effect on local taxes. Economic Development Coordinator David Schoon told trustees that he estimated Northbrook would forego a total of $811,600 in property taxes from MicroLink over the next 13 years if the 6b exemption were approved. That includes $219,300 in foregone taxes for District 225; $314,700 in foregone taxes for District 27; and $49,500 in foregone taxes for the village.

“The largest impact is on the school districts in terms of their share of the taxes,” Schoon explained.

Trustee Heller said he was less concerned about the foregone money than about the affect the exemption would have on other taxpayers in the district.

“The homeowners and the businesses will see their taxes go up to pay that portion,” said Trustee Todd Heller. “It’s really that everybody else’s taxes go up. 

Heller also said he didn’t see any special circumstances that merited an exception.

“It hasn’t been closed that long,” he said. “It’s a beautiful piece of property.”

Trustee Michael Scolaro, however, described the business’ potential move as “a great deal” for Northbrook, citing the 33 high paying jobs it would bring to the community, as well as the business’ plans to expand to 75 jobs in the next two years. Furthermore, he said, he didn’t think the 41,500-square-foot building on Wainwright would sell anytime soon. 

“I am troubled by the fact that we have a big short-term vacancy here,” he said. 

Trustee James Karagianis, who said he had toured the company’s plant in Niles, spoke out strongly in favor of the application. 

“If I were to select a company with a profile that I would like to see come into Northbrook, MicroLink is the poster child for that profile,” he said. “This is a green company, it’s a high technology company. It’s completely a fact that they don’t have to come here; they can go elsewhere.”

The benefits of the relocation were not simply economic, he added.

“These are not burger flippers. These are people with Ph.D.s, engineering degrees, high value income people. They’re going to locate here, they’re going to spend money here, they’re going to put their children in the school system here,” he said. “This is exactly the kind of people we want to come into Northbrook.”

While the trustees did not vote on the property tax exception itself Tuesday night, they did vote to send the request on to the other local taxing bodies for their input before a final decision is made.