If passed by the city council, which could come as early as nextmonth, the law would grandfather restrictive use covenants in placebefore May 11, when 1st Ward Alderman Manuel Flores and 39th WardAlderman Margaret Laurino introduced the measure aimed at reducingthe number of shuttered grocery stores across the city. However,restrictive use covenants would be allowed for up to three years ifthe tenant relocated within a half-mile of the vacated store andcompleted the move within two years.

While leases often allow prospective anchor tenants to barcompetitors from renting space at the same shopping center,aldermen are upset by restrictive use covenants that barcompetitors from taking over space vacated by grocery or pharmacyoperators. "Every community should have access to food, everycommunity should have access to medication," says Flores, whodiscovered a restrictive use covenant during negotiations to bringa Dominick's store to his ward.

Conceding the practice of blocking competitors to take overtheir abandoned spaces may not seem fair, Chicagoland Chamber ofCommerce president and chief executive officer Jerry Roper countersthat is the right of the tenant and property owner. He adds the lawwould be one more obstacle to attracting business to the city,which already has the highest commercial property tax and sales taxrates in the US.

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