A former Belmont-Cragin parking lot will be redeveloped as a neighborhood park through a plan approved today by the Chicago City Council.

The quarter-acre property at 4901-09 W. Belmont Ave. will be sold by the City for $1 to the Chicago Park District, which will install landscaping, seating, a water fountain and decorative lighting under the plan.

Approximately $64,000 in Open Space Impact Fees and $33,000 in Tax Increment Financing (TIF) assistance will fund the improvements.

"The land sale and financial assistance provide a unique opportunity to add grass, walking paths and other amenities to a densely populated community that needs more open space," Mayor Richard M. Daley said.

Prior to being used for parking, the site was occupied by a used car business. The City purchased it in 2006 and the Chicago Department of Environment subsequently completed a $55,000 remediation project to make the land suitable for people-intensive uses.

The TIF assistance will be allocated from the Belmont/Cicero TIF district. TIF is a City of Chicago funding tool that's used to promote infrastructure and other improvements in designated districts across the city.

Open Space Impact Fees are collected by the City of Chicago from new residential developments to help expand the amount of open space in each of the city's 77 community areas.

Construction on the park could start later this year.