Elmhurst Dealership Plans To Move

ELMHURST, IL — Napleton's Kia of Elmhurst plans to move to another site in town, then construct a new building, with the hopes of dramatically increasing sales.

Now, it is seeking approval from the city to receive a sales tax incentive.

The dealership, which is now at Lake Street and Grand Avenue, wants to move to the northwest corner of Route 83 and North Avenue.

In its proposal, the Ed Napleton Automotive Group describes the new site as underdeveloped and an eyesore, sitting entirely in a flood plain.

Unlike previous projects proposed for the site, the dealership said, an automotive use with its significant parking requirements allows the business to use an alternative way to manage the flood plain.

At the new site, Napleton plans to hire 20 more full-time and 10 more part-time employees than it does now. At its current site, it employs 50 full-time and 15 part-time employees, according to documents.

These days, the dealership is reporting $75 million in gross annual sales. At the new site, it aims to increase that number to $81 million to $130 million.

According to Napleton, the new operation will enhance and modernize its current presentation. It would also enhance the gateway to Elmhurst "at this very recognizable corner," the dealership said.

To deal with the flood plain, Napleton plans to "deck" parking for customers, employees and the car inventory. This involves "extraordinary" costs, the business said, so it is seeking a sales tax incentive.

Under the plan, the Kia dealership would keep 60 percent of sales tax proceeds beyond a certain base year amount, not to exceed $750,000. The idea behind such incentives is that even though the city is giving up tax money, the increased economic activity would generate far greater taxes overall.

The City Council's finance committee plans to take up the issue at its meeting Monday.

The automotive group also operates Ed Napleton Acura in Elmhurst.

As of 2020, the dealership chain was ranked the 13 largest in the country, with more than $3 billion in sales. Kia of Elmhurst was the state's No. 1 volume Kia dealer in 2020, according to Napleton. The chain is celebrating its 90th year in business.