Chick-fil-A to pay half of roundabout costs
Other shopping center landowners will contribute

By Kelly Smith - Special to Conley Media

Feb. 19, 2019

DELAFIELD — The developer of a proposed Chick-fil-A near the Interstate-94/Highway 83 interchange in the Shoppes of Nagawaukee has agreed to pay half of the cost of a $1.3 million roundabout expected to be built at the intersection of Golf Road and Golf Court.

However, city financing of the project must be approved by voters in an April 2 referendum.

City officials have emphasized that Chick-fil-A and other tenants of the shopping center will reimburse the city for the cost of the roundabout.

The Georgia-based Wallace Development Group has agreed to pay the city $650,000 for the cost of construction of the roundabout including $100,000 in initial design costs for the project, provided the city begin works on the project immediately.

Wallace Development Group and city officials want construction completed by September so as not to interfere with Christmas shopping.

However, the agreement is contingent on voter approval of the referendum and Plan Commission and Common Council approval of the plans for the restaurant and a 7,500- square-foot multiuse commercial building, both at the end of Golf Court, immediately west of the Holiday Inn Express.

In addition, the Wallace Development Group can stop payments and order the initial design work halted if the referendum fails or it appears the city is not likely to approve the project.

The agreement was unanimously approved with no debate by the Common Council at its Monday night meeting.

City Administrator Tom Hafner later explained the remaining half of the roundabout’s cost will be paid by the other seven property owners in the 46-acre shopping complex.

The assessment amounts for each of the other property owners will be based on the amount of vehicle traffic generated by each property owners’ tenants, according to Hafner.

There are nearly two dozen retail and service outlets and restaurants in the shopping complex that includes Best Buy, Kohl’s, Walgreens, Sentry Foods, Famous footwear, Applebee’s, Panera, and Qdoba, and the Water Street Brewery restaurant.

The landlord for most of the tenants is RPT Reality of New York.

However, Sentry Foods, Walgreens, Water Street Brewery, the Holiday Inn Express and the Waukesha State Bank are also property owners in the complex in addition to the 2.5 acres owned by Delasota LLC, which is affiliated with the Wallace Development Group.

Roundabout, development project face uncertain future

For nearly a decade, some city officials have wanted to install a roundabout in the shopping complex but had been unable to generate enough public support and money for the project.

Wallace Development told city officials they were willing to share in the cost of traffic improvements at the intersection of Golf Road and Golf Court although the company preferred traffic signals rather than a roundabout.

Hafner told Conley Media that the city and the developer reached agreement on the $650,000 through a series of negotiations.

However, the fate of both the roundabout and the development project remains uncertain.

Common Council President Tim Aicher acknowledged during Monday’s night council meeting that plan commissioners are divided over approval of the project.