IDOT PLANS ROUTE 31 EXPANSION

Last week I attended a show and tell by IDOT held at the City of Crystal Lake. IDOT has aspirations of widening Rt 31 from Rt 176 all the way to Rt. 120. As I studied the plan, it became clear that all they were going to do is add a turn lane on this major North-South artery. I filled out a feedback form that asked why they weren’t talking about a 4 lane highway with a turn lane. They apparently have no plans to actually do the work til after 2017 but will be considered for future proposed highway improvement programs subject to funding availability and project readiness. I had the feeling they were just making the people of McHenry County feel that our tax dollars were possibly going to put to use for our benefit sometime in the next century…maybe. It is astounding that they would do all this work and research and have no clue as to when they might actually be able to deliver a product. That’s government for you! What is your opinion?

HUGE CHANGE BREWING FOR LEASE ACCOUNTING

The Financial Accounting Standards Board (FASB) is a private sector group that makes the rules and reporting standards for accountants. It seems they have been busy trying to figure out a way to make life miserable for companies with commercial leases. Currently, leases are off balance sheet items, appearing only in footnotes to the financial statements, if at all. The FASB is proposing to change that so that operating leases, which includes most real estate leases, that will treat leases as if the company had purchased and financed the leased asset. They will require the lease to be set up as an asset called a “right of use asset” and will require a corresponding liability related to the rent payments and any direct costs such as brokerage fees. An article in the June issue of Realtor magazine by Marc Betesh (page 22) talks about this as if it is likely to be enacted this year and go into effect next year. Maybe this is a good thing and will cause more people to buy rather than lease. Any thoughts?

Local Chicago construction contracts are up 14% so far in 2011!

Crains reported on 6/6 that local contractors and architects “are enjoying a modest uptick” in activity and they couldn’t be happier.  Of course they aren’t sure if it will continue.  Health care is one of the brightest spots on the local construction scene but the apartment sector is gathering momentum while institutional work for colleges and some commercial and office work is showing evidence of an uptick.  This news seems to dovetail with what our office is seeing – more calls, more showings, more offers, more accepted contracts, more closings ad lease consummations.  We’re not celebrating yet . . . how do you see it?Crains reported on 6/6 that local contractors and architects “are enjoying a modest uptick” in activity and they couldn’t be happier.  Of course they aren’t sure if it will continue.  Health care is one of the brightest spots on the local construction scene but the apartment sector is gathering momentum while institutional work for colleges and some commercial and office work is showing evidence of an uptick.  This news seems to dovetail with what our office is seeing – more calls, more showings, more offers, more accepted contracts, more closings ad lease consummations.  We’re not celebrating yet . . . how do you see it?

Shame on Woodstock!!

No more liquor licenses to be issued.  They call it a moratorium.  They claim they have too many already.  I have a 7-11 franchisee ready to go in a vacant space that was built 3 years ago and Woodstock won’t consider it.  All they need is a beer and wine license.  Liquor isn’t their primary business.  Something is rotten in Denmark!  What about the jobs?  The sales tax revenue?  Other communities are salivating for this type of business.  This is an example of short sightedness.  Tell me if you think I’m wrong.