MANSFIELD — Economic development, current and future, were major topics Tuesday night for Mansfield City Council.
Local lawmakers approved a current property tax abatement request for a new warehouse near Mansfield Lahm Regional Airport to benefit Walcraft Cabinetry.
Council also heard about the city administration’s plans to partner with the Richland County Land Bank on the demolition of commercial properties at 400 Park Avenue East that could result in future economic development.
Both issues were discussed by Tim Bowersock, the city’s economic development director.
A community reinvestment area agreement with Walcraft Cabinetry creates a 50-percent, 15-year property tax abatement in exchange for creating 20 jobs over the next two years with an annual payroll of about $1.2 million, according to Bowersock.
Walcraft Cabinetry founder and CEO Sean Walsh told Richland Source the warehouse being constructed will be 28,000 square feet dedicated to building and selling cabinets. The cabinets can be stained and painted to a customer’s request.
During an economic development committee meeting, Bowersock told council the project involves a $2.5 million investment in the building and another $1,115,000 in equipment, furniture, fixtures and inventories.
“They’ll start the project right away and intend to have it complete by Aug. 31, 2024,” Bowersock said.
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In November of 2022, City Council approved the sale of 10 acres of land along Airport West Road near the airport for the project.
The land is located south of the Old Dominion Freight Lines facility.
City Council later unanimously approved the abatement without questions.
City plans to partner with Richland County Land Bank
Though no financial request was made Tuesday, Bowersock told council the administration would be asking for $250,000 from the city’s American Rescue Plan Act funds to help with the demolition of property on Park Avenue East formerly owned by Denver Roof.
The Richland County Land Bank was recently given permission by the Ohio Department of Development to use about $750,000 in funds left over from other demolitions to take down decaying buildings at 400-424 Park Ave. East.
The properties were purchased in 2022 by Goyal Industries and Cement Products for $160,000 during an auction after Roof died. The companies plan to clean up and divide the properties between them for redevelopment.
Bowersock said the total project, including asbestos removal, demolition and soil remediation, is expected to cost about $1.5 million.
The two companies, operating together as 400 Park Avenue LLC, will provide the $250,000 local match needed for the ODOD funding.
Goyal Industries is at 382 Park Ave. East and Cement Products is at 389 Park Ave. East.
Bowersock said the new owners plan to expand and create new employment opportunities with the new site.
“We paid well above what this land was worth,” Jay Goyal said during a Land Bank board meeting in April 2022.
“We had heard the land was appraised at about $100,000 and we think we may have gone about $60,000 above market value when purchasing it. We did it because we thought it was important to get it cleaned up for our interests,” he said.
Also on Tuesday, City Council:
— unanimously approved a resolution in support of the Richland County Children Services property tax renewal issue on the Nov. 7 ballot. Agency Executive Director Nikki Harless and several agency employees attended the City Council meeting.
— approved legislation amending city’s ordinances that increases the “threshold for competitive bidding, thereby maintaining consistency with the Ohio Revised Code.” The current threshold requiring competitive bids had been $50,000. Council approved changing it to $75,000 and agreed to review it every two years for additional potential increases.
— approved a “then-and-now” payment of $8,938.75 to Mr. Rooter for repairs to backflows as splash pads at North Lake Park and Johns Park. The work was done before the city’s Parks & Recreation Dept. obtained a purchase order.
— approved acceptance of a $33,056 grant from the Ohio Crime Victim Assistance Program to be used by the city Law Director’s office.
