Peotone Paves Way for New Homes in Ashburton Estates with Escrow Agreement

Village of Peotone Meeting | November 17, 2025

Article Summary: The Peotone Village Board has approved a cash escrow agreement to resolve a long-standing letter of credit tied to the Ashburton Estates subdivision, clearing a path for a new builder to purchase and develop four vacant lots. The village will receive $22,500 in cash to guarantee public improvements for the future homes.

Ashburton Estates Development Key Points:

• The agreement replaces a $25,000 letter of credit from the subdivision’s original developer, who has since passed away.

• A local home builder, CT Properties & Development, LLC, is purchasing four vacant lots on West Corning Street.

• The village will receive a total of $22,500 in cash from the sale.

• $20,000 will be held in escrow to ensure the new builder installs sidewalks and parkway trees; the remaining $2,500 is for a fifth, previously sold lot.

The Village of Peotone on Monday, November 17, 2025, took action to facilitate new home construction on lots that have sat vacant for years in the Ashburton Estates subdivision. The Village Board unanimously approved a resolution replacing an old letter of credit with a new cash escrow agreement, a move needed to allow the sale of four properties to a new home builder.

The subdivision, located at the northeast corner of West Corning and Rathje streets, was left with five undeveloped lots after the original developer, Mr. O’Donnell, passed away. His family has been working to sell the remaining properties.

According to Village Administrator Nick Palmer, a $25,000 letter of credit that guaranteed public improvements like sidewalks was complicating the sale. The new agreement dissolves that letter of credit.

Under the new terms, the developer’s family will pay the village $2,500 for one lot that was recently sold to an adjacent homeowner at 601 W. Corning Street. A new builder, CT Properties & Development, LLC, which is purchasing the four remaining vacant lots at 621, 613, 605, and 529 W. Corning Street, will provide the village with $20,000 in cash.

The village will hold the $20,000 in an escrow account, which can earn interest, to guarantee the installation of sidewalks and parkway trees when the new homes are built. Once the work is completed, the builder can request the money back.

“With the closeout of the letter of credit, we expect that sale of those properties to go through and this developer to move forward at some hopefully near-term development of those properties,” Palmer said.