Lincolnwood board approves incentives for Honda dealership relocation

On March 3, 2026 the Lincolnwood Village Board voted 5–1 to approve a resolution authorizing an economic incentive agreement with Capo Management / Victory Automotive Group to relocate a Honda dealership to 6830–6850 North McCormick Boulevard.

Community Development Director Patrick Hainesworth told the board the project centers on converting roughly 41,000 square feet of a larger retail building into a dealership and service center and carries an estimated total investment of about $27 million. "The applicant is requesting a sales tax incentive of $10,000,000 over a 15–year period," Hainesworth said, describing a performance‑based split of the village's 1% auto sales tax remittance and a 2% annual escalator built into the agreement.

Hainesworth explained the program would give the village the first $270,000 in year one under the model used by staff and the applicant; amounts above that baseline would be split 50/50 between the village and the dealer until a $10 million cap is reached. The applicant is also seeking a Cook County Class 7B property‑tax abatement to offset increased property taxes tied to the redevelopment.

Joseph West, corporate counsel for the applicant, clarified the ownership and operating structure: "The dealership itself, the operations company is Capital Management LXXXB LLC. That's the sales tax paying entity. The real estate will be owned by Capital Properties LLC, and then there will be a lease between the two," he said.

Trustee Martel pressed staff and the applicant on the project economics and incentive scale, asking the applicant to confirm a roughly $16 million purchase price and about $11 million in property‑improvement costs that together yield the approximately $27 million investment. Martel noted board calculations that combined the sales‑tax incentive and the estimated 7B benefit at roughly $15.3 million and asked whether that level of public support was necessary. West responded that the incentives are structured and spread over the life of the agreements and said the move and investment would not "pencil" without them.

Clarifying details discussed at the meeting: the applicant's sales projections used in modeling included a hypothetical $54 million in annual sales that produced the $270,000 baseline in year one; renovation and underground detention work were described as a substantial cost component (Hainesworth cited an estimated $11,100,000 for certain site work) and the service center equipment was estimated at about $1,500,000. Trustee Martel referred to staff calculations that placed the Class 7B benefit at roughly $5,300,000, producing a combined potential incentive figure in the mid‑teens of millions over time.

The motion to approve the resolution was made by Trustee Sargon and seconded by Trustee Diaz Herrera. Clerk DeLisi called the roll; Trustees Klatsko, Herrera, Sargon, Gustes and Halabi voted yes, Trustee Martel voted no. Mayor Patel declared the motion carried, 5–1.

Votes at a glance: the board also approved minutes from Feb. 18, 2026; approved warrants totaling $467,436.36; confirmed mayoral appointments to the Economic Development Commission (Ira Dim) and traffic commission chair (Tony Jin); approved the consent agenda (three items); and voted to adjourn to executive session to review closed session minutes and to discuss employment matters. No public forum speakers were recorded for this meeting.

The board adjourned to executive session to consider closed session minutes and employment matters; no further public action was taken that evening.