The Chicago Bears and the village of Arlington Heights, in addition to three school districts, have reportedly reached a tentative agreement regarding the annual property tax amount the NFL franchise would pay for the former Arlington International Racecourse property. As detailed in a memorandum of understanding released Thursday by Arlington Heights officials, the Bears would settle with a property tax bill of $3.6 million a year until construction on a potential new stadium kicks off. The 12-page agreement was the result of negotiations spanning over a year and a half aimed at resolving the brewing tax dispute between the Bears and the school districts within the property's boundaries.
According to the Daily Herald, this settlement comes after the property, purchased by the Bears in 2023 for $197.2 million, saw all its previous structures demolished, leading it to now be considered "unimproved" real estate. Initially, the Bears had hoped to get the property value reduced from the current $124.7 million, as assessed last February by the Cook County Board of Review, to $60 million. This would have significantly lowered their tax bill. However, the proposed settlement would set their tax obligations from 2024 through 2027, potentially extending the same amount in subsequent years if the Bears progress with zoning approval and apply for construction permits.
As CBS News Chicago highlighted, the tentative deal doesn't necessarily indicate a commitment by the Bears to build their new stadium in Arlington Heights. The team still shows interest in a new stadium in the city of Chicago. Moreover, Mayor Tom Hayes of Arlington Heights revealed, "I am encouraged about the significant progress we have made in recent weeks." The taxing bodies covering Arlington Heights are scheduled to vote on the agreement next week, furthering the discussion of the Bears' future moves.
The Bears have been intending to solidify their position in Arlington Heights while simultaneously exploring other options in Chicago. For instance, earlier this year they unveiled a $4.7 billion plan for a new domed stadium along the lakefront. This proposal, however, faced opposition, as Gov. JB Pritzker deemed it a "nonstarter." The team has suggested in addition another potential site in Bronzeville. Arlington Heights, in the meantime, stands as a potential option, with a proposed agreement that includes Payments instead of Taxes, a tax mechanism aimed to favor the Bears, which will be considered next week. "The Chicago Bears remain focused on investing over $2 billion to build a publicly owned enclosed stadium on Chicago's lakefront while reevaluating the feasibility of a development in Bronzeville," the Bears stated as per Mayor Hayes' release. On the other side, the village and school districts maintain optimism about Arlington Heights as an excellent opportunity for the Bears' future development.
Despite a possible vote on this tax agreement next month, it should be noted that the deal would become null should any legislation, budget, or funding be approved for a new Bears stadium outside of Arlington Heights. And the Bears have to keep meeting certain milestones to maintain the proposed tax levels. This contingency outlines the agreement's specificity for a stadium build at the Arlington Park site rather than for other developments the Bears or other entities could pursue. Amid these ongoing discussions, the Bears continue to base operations out of Soldier Field, where they have resided since 1971.
