Online used car retailer Carvana, whose striking multistory glass box buildings effectively serve as auto vending machines, is back in business in Illinois, but construction of a controversial 14-story Carvana glass tower in Skokie remains stalled, village officials said.
In February, Carvana won approval from the Skokie Village Board to construct the vertical used car dealership in an office and research-zoned area at 9759-9801 Woods Drive. The plan drew significant opposition from neighbors, who objected to the bright light that would emanate from the tower at night and to the increased traffic and noise from delivery trucks. Residents also complained that the tower would reduce their property values and suggested that given the tower’s proximity to the Harms Woods forest preserve, numerous birds would fly straight into the tower’s windows and be killed.
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However, work on the tower came to a halt after the Illinois Secretary of State Police on May 10 suspended Carvana’s dealer’s license in Illinois. At issue, state officials said, was Carvana’s practice of misusing out-of-state temporary vehicle registration permits and its practice of failing to properly transfer titles for vehicles it sold.
That action by the Secretary of State Police prompted Skokie’s village attorney, Michael Lorge, on May 16 to send Carvana a letter ordering the company to not proceed with any work on the site and to have no further contact with Skokie’s building department. The village’s rationale, Lorge noted, was that the site plan approval was conditioned on Carvana complying with all federal and state statutes, laws, rules and regulations.
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On May 26, the Illinois Secretary of State’s office implemented a stay of Carvana’s temporary suspension order in Illinois but under strict guidelines, including requiring that Carvana post a $250,000 bond to guarantee payment of any fines or fees that customers incurred from Carvana’s improper practices. The stay allows Carvana to operate in a limited capacity while the process moves forward, said Henry Haupt, a spokesman for the Secretary of State’s office.
During the stay, Carvana can sell vehicles to Illinois residents, but the company is not able to issue temporary registration permits or license plates. Instead, Carvana must register auto titles through Illinois remitters, which are third-party entities licensed in Illinois to process title transactions.
Also despite the stay, Carvana is not able to resume work on the glass tower site in Skokie. Village officials said on May 27 that Carvana needs to fully resolve the matter before Skokie will sign off and allow work to resume. That will not happen at least until a state hearing scheduled for early June, Skokie officials said.
“Until the matter is completely resolved …. the village’s position has not changed and the project is on hold,” Ann Tennes, Skokie’s director of marketing and communications, said in a statement.
Goldsborough is a freelance reporter.
