On October 23, 2020, the Village received notice of wind down and dissolution regarding Tobmar International, the parent company of Gateway Newstands.  The operator of the Gateway Newstands within the Downtown Arlington Heights Metra Station, Dilip Patel, has requested a new lease to continue operation of a convenience store/coffee shop at this location under his new legal entity Shree Neelkanth Inc.

Throughout November and December, Village Staff coordinated with Dilip Patel and his attorney on terms of the new lease, which is attached as part of this agenda item.  The lease is a five-year agreement that commences on January 1, 2021, running through December 31, 2025.  The first four months would allow operation free of rent, in order to help the owner re-establish the business during a difficult economic period.  The following 20 months would be at $300.00 monthly gross rent, and the final 36 months would be at $450.00 monthly gross rent.  The lease includes a tenant option for an additional five years.  The owner also opens the station to passengers beginning at 5:00am.

Besides bringing the Village modest sales tax revenue, such an operation is a positive amenity benefitting the 2,500 weekday commuters (source: Metra) who board trains via Downtown Arlington Heights during normal times, as well as other residents and patrons of our Downtown. 

RECOMMENDATION

It is recommended that an Ordinance Approving a Lease Agreement with Shree Neelkanth Inc. for operation of a convenience store/coffee shop within the Downtown Train Station, be approved.