Bears' 2025 Arlington Heights Tax Deal: Impact on Real Estate Values

May 16, 2025

Deal Scope Summary

$197.2M

Purchase Price

326

Acres

$3.6M

Annual Tax Payment

10%

Assessment Rate

2027

Agreement End

After purchasing Arlington Park in February 2023, the Bears faced a property tax dispute when the Cook County Assessor increased the value from $33M to $197M. The November 2024 agreement with Arlington Heights and three school districts sets a $3.6M annual payment through 2027—significantly less than the potential $8.9M under the County's $124.7M valuation. The deal was unanimously approved in December 2024 but becomes void if funding is approved for a Bears stadium outside Arlington Heights.

The Chicago Bears' property tax agreement with Arlington Heights establishes a significant precedent for commercial real estate taxation that could influence property values regionwide. This analysis provides key insights for real estate professionals navigating complex tax landscapes.

What specific terms were included in the tentative property tax agreement?

The Bears will pay $3.6 million annually through 2027 for the 326-acre Arlington Park property, assessed at 10% as "unimproved" real estate rather than the standard 25% commercial rate.

This represents substantial savings compared to the $8.9 million they would have paid under the County Board of Review's $124.7 million valuation. The agreement contains a critical clause: it becomes void if funding is approved for a stadium outside Arlington Heights.

How does the property tax deal impact the Bears' plans for a lakefront stadium?

Despite securing favorable Arlington Heights terms, the Bears remain "focused on investing over $2 billion to build a publicly owned enclosed stadium on Chicago's lakefront," suggesting the suburban property serves as leverage or backup.

The tax agreement provides financial predictability while they pursue multiple development options simultaneously—a sophisticated strategy giving them negotiating leverage with both municipalities.

What are the potential long-term financial implications for the Bears in Arlington Heights?

If development proceeds in Arlington Heights, the $3.6 million annual tax agreement would likely be renegotiated after 2027 based on improved property value.

A completed stadium would significantly increase assessed value, but economic impact studies project the development could generate up to $16 million in annual tax revenue for Arlington Heights, potentially justifying future incentives.

How did the school districts benefit from the property tax agreement?

Arlington Heights School District 25, Northwest Suburban High School District 214, and Palatine-Schaumburg High School District 211 receive guaranteed revenue of $2.7 million annually.

This represents approximately 75% of the total payment, providing budget certainty during the property's transition while preventing potentially lengthy assessment appeals that could delay revenue collection.

What are the next steps for the property tax deal to be finalized?

The Arlington Heights Board of Trustees unanimously approved the agreement in December 2024, making it binding while the Bears pursue parallel planning efforts.

The Bears must now make quarterly payments while maintaining compliance with development timeline commitments as they continue negotiations for both the Arlington Heights site and Chicago's lakefront.

Agent Opportunity: Leveraging Bears Development in Your Zip Code

For agents working in key zip codes ( 60004 , 60005 , 60056 ), this development creates immediate marketing opportunities.

Client Talking Points:

  • Properties in 60004 (closest to the site) could see 15-20% valuation increases if development proceeds

  • Homes in 60005 and 60056 offer proximity benefits with more moderate price points

  • Investment potential exists in 3-5 year horizon as development plans solidify

Listing Strategies:

Create "Bears Development Proximity" highlights in listings, emphasizing:

  • Commute times to potential stadium (under 10 minutes from 60004 )

  • Rental potential during events (especially relevant for 60004 properties)

  • School district benefits from increased tax base

Buyer Consultations:

  • Frame properties as "ground floor opportunities" before valuations potentially increase with development announcements.

  • Emphasize how the tax agreement provides greater certainty about the project's viability compared to previous stadium proposals.

  • Position properties as "hedged bets" with strong fundamentals regardless of which stadium site the Bears ultimately choose.