NorthPoint – Appellate Court Orders Hearing for CenterPoint Suit
By Nick Reiher
CenterPoint Properties will get another day in court.
The Third District Appellate Court in Ottawa has overturned a local court order denying CenterPoint the opportunity for a hearing on a preliminary injunction barring further development of a controversial 2,300-acre business park until courts could determine if part of the plan violated an agreement between CenterPoint and the City of Joliet.
CenterPoint owns the property on which the massive BNSF intermodal yard in Elwood and the Union Pacific intermodal yard just to the north in Joliet sit.
CenterPoint also paid $125 million to build the Houbolt Road bridge, a path which they say will help alleviate the truck traffic on portions of interstates 80 and 55, as well as local roads.
As part of that project, officials from CenterPoint and the City of Joliet signed a Memorandum of Understanding stating in part how roads in and around the intermodal yards could be used.
NorthPoint, the parent company of the 2,300-acre development along Illinois 53 near Elwood uses a “closed loop” traffic plan, part of which depends on CenterPoint Properties’ roads in its intermodal yards.
CenterPoint officials in late 2021 asked the city to delay further votes on the development until apparent conflicts with the MOU for the Houbolt Road Bridge and the traffic plan could be worked out.
When that didn’t happen, CenterPoint in May 2022 filed a motion against East Gate-Logistics Park Chicago, New Wave Farms, LLC, the County Of Will, the State of Illinois and the City of Joliet to stop the business park project until they get answers on what they see are violations.
Will County Associate Judge John Pavich on May 13 denied an emergency motion for a temporary restraining order that would have blocked the City of Joliet from voting on plats that are part of a 2,300-acre warehouse plan.
Pavich’s ruling allowed the City Council on May 17, 2022, to vote on requests by East Gate Logistics Park Chicago, LLC, for approval of a preliminary and final plat of subdivision, Special Use Permit, and a vacation of right-of-way for nearly 4 acres of Bridge Road near Millsdale Road and Illinois 53 to create lots for future warehouse development.
CenterPoint continued the battle through the summer, but on Oct. 18, 2022, the court issued a written order dismissing CenterPoint’s the complaint. It found that the MOU’s restrictions did not prohibit the city’s alleged activities and did not extend to East Gate, a nonsignatory third party.
The court at that time acknowledged that while the MOU prohibited the city from taking any “steps or actions to build new roads,” those words could not be extended to include the act of passing permits or authorizing a third party to pay for and build new roads on its own private property.
The Appellate Court noted the Circuit Court’s order did not address another section of the MOU, which prohibited the City from taking “steps or actions to eliminate trucking restrictions, weight limits, or other similar regulations on roads that enter or exit the CNT Intermodal Center or on roads that are adjacent to the CNT Intermodal Center.”
“While we do not believe the court abused its discretion in postponing the July 2022 preliminary injunction hearing to rule on the City’s motion to dismiss, plaintiff has sufficiently alleged a violation of the MOU and should be allowed to present evidence on whether it possesses a clearly ascertainable right in need of protection,” said Third District Appellate Court Justice Linda Davenport, with Justices Liam Brennan and Adrienne Albrecht concurring.
“On remand, the court should conduct a hearing on plaintiff’s preliminary injunction request without delay.”
Opponents the Elwood/Manhattan area – as well as a growing number in Joliet — have been fighting NorthPoint since the company first unveiled its plans for the business park in 2017.
At that time, NorthPoint was working with the Village of Elwood. But after months of opposition, current mayor, Doug Jenco, pulled the plans from Village Board consideration.
NorthPoint officials then tried to gauge interest from officials in Manhattan and Will County, before applying with the City of Joliet in late 2019 with a small parcel that gave them connectivity to most of the rest of the land needed.
NorthPoint officials then dropped the full plan on Joliet officials a few weeks later, backed again by strong support from the International Union of Operating Engineers Local 150, who had given several Joliet leaders a glimpse of their larger business park plans before the vote.
Michael Murphy, CenterPoint’s Chief Development Officer, declined comment at this time.
Chris Regis, assistant Joliet city attorney, said he could not comment, citing continuing litigation.
Patrick Robinson, NorthPoint’s Director of Development, has not responded to an email request for comment.
“We have been watching this case closely since the initial complaint was filed, and we are very pleased with the Appellate Court’s ruling,” said Stephanie Irvine, one of the leaders of a grassroots group of opponents.
“Just Say No to NorthPoint will continue to be vigilant and resolute in our fight against NorthPoint Development.”