City officials in Rochelle plan to rescind the development agreement with a Florida businessman dealing with renovation work for the Hub Theater along with a 2-story building in the 400 block of 4th Avenue.
Former Rochelle resident Mike McCarty purchased the 2 buildings in July of 2015. The city in June of that year approved payment of $250,000 in escrow used to purchase the Hub Theater and the 4th Avenue building as part of the project.
McCarty hired an architectural firm to do the work with funds from the escrow agreements. The development of the 2 buildings has not been completed.
The council on Monday night plans to approve the rescinding agreement in which the city will pay the unpaid obligations to McCarty Technologies of around $85,000. There will also be an additional cost of $10,000 the city will owe for the development.
McCarty Technologies will then assign its rights to the architectural work to the city.
The remaining money in the escrow will be given back to the city.
McCarty's original plans were to have to Hub Theater open next summer.
