Dutch Bros Project Moves Forward At Former Arlington Heights Pep Boys Site

ARLINGTON HEIGHTS, IL — A long-awaited redevelopment of the former Pep Boys property on Rand Road is moving closer to construction, with Dutch Bros still part of the plans but Wendy's no longer slated for the site.

The Arlington Heights Village Board on Tuesday advanced zoning plans for the nearly 3-acre property at 375-425 E. Rand Road, near the busy intersection of Rand, Palatine and Arlington Heights roads.

The redevelopment would retain and renovate a portion of the former Pep Boys building for as many as five tenants while adding a Dutch Bros drive-through coffee shop and another pad for a future drive-through restaurant.

Wendy's had previously been planned for that second pad, but village staff said Tuesday the restaurant is no longer moving forward with the location.

The developer, Core Acquisitions, expects another tenant to eventually take the site, though that user has not yet been finalized. A future restaurant would need to return to the village for its own drive-through special use approval.

Core representative Ben Barad told trustees the company has been involved with the project for about 18 months and has an established relationship with Dutch Bros, including several locations already completed or under construction in Illinois.

Deerfield-based Core Acquisitions has been active throughout the northern and northwest suburbs. The company purchased the 428,000-square-foot Deerbrook Shopping Center in Deerfield for $44 million in 2025 and has also worked on properties in Schaumburg, Skokie, Palatine, Lake Zurich and Libertyville.

Dutch Bros, founded by brothers Dane and Travis Boersma in Grants Pass, Oregon, in 1992, has grown into one of the nation's largest drive-through beverage chains. The company had 1,225 locations across 25 states as of June 30 and says it is targeting 2,029 shops by 2029.

The company's current location directory lists 1,282 shops nationwide, including 14 in Illinois. Illinois locations include Buffalo Grove, Waukegan, Melrose Park, Rockford, New Lenox, Bloomington and several other communities.

Dutch Bros opened a Buffalo Grove location in August at The Clove redevelopment near McHenry and Lake Cook roads. That location is notable because it includes indoor seating, something relatively uncommon for the chain, which is built largely around drive-through service.

RELATED: Dutch Bros Opens As Buffalo Grove's Clove Development Continues To Fill In

The developer hopes to move into construction as soon as permits can be secured, potentially around the beginning of 2027.

Barad said the plan is to move forward with the Dutch Bros building and renovation of the former Pep Boys building at roughly the same time.

Mayor Jim Tinaglia pressed the developer about the appearance of the property, which has sat behind what he described as a "tattered fence," and asked that the site be cleaned up as soon as possible.

Barad said he would bring the request to the company's property management team.

Traffic At The "Bermuda Triangle"

Much of the board's discussion centered on traffic around the development, an area trustees repeatedly referred to as the "Bermuda Triangle."

Trustees raised concerns about congestion along Rand and Palatine roads, particularly during evening rush hour, and questioned whether the added restaurants and businesses could create backups.

Village staff said the Rand Road entrance will be restricted to right-in, right-out traffic, while the Palatine Road entrance will remain full access but will be shifted slightly west.

Staff said the village, its engineering division and the Illinois Department of Transportation spent considerable time reviewing the traffic study and access plans.

Officials said they believe the proposed layout can accommodate the development but acknowledged traffic will need to be monitored once the businesses open and traffic patterns stabilize.

A Dutch Bros representative said the coffee shop's drive-through is designed with two lanes and space for roughly 12 vehicles.

The company also expects heavier traffic during its opening period and plans additional traffic-control measures during that time.

The board unanimously advanced the overall redevelopment plans, directing staff and the village attorney to prepare final approval documents for consideration at a future meeting.

Dutch Bros Signage Draws Split Vote

Trustees later spent considerable time debating a separate request involving signs for Dutch Bros.

The Design Commission had recommended allowing more signage than village staff preferred, including additional wall and menu-board signs.

Staff cautioned that allowing more signs than normally permitted could set expectations for future restaurants seeking similar treatment.

Several trustees, however, argued the signs would help drivers navigate the compact development and that the village should give businesses flexibility to operate successfully.

The board ultimately voted 6-3 to side with the Design Commission’s recommendation.

Trustees Greg Zyck, Bill Manganaro and Wendy Dunnington voted against the motion, favoring the more restrictive staff recommendation.

The approval includes a condition prohibiting additional ground signs beyond the two larger multi-tenant signs planned along Rand and Palatine roads.