MANSFIELD — A proposed $10 million private investment into the former Holiday Inn downtown is the latest public-private partnership in Mansfield, according to legislation planned for City Council on Tuesday night.
A coalition of local investors, led by businessman and engineer Jay Goyal, are asking local lawmakers to approve a 75-percent, 12-year tax abatement on the property at 116 Park Ave. West.
The abatement would come in the form of a community reinvestment area, an economic development tool administered by municipal and county government that provides real property tax exemptions for property owners who renovate existing or construct new buildings.
The request said the CRA incentive is needed for the project to be “financially feasible” at the 42-year-old hotel that has fallen into disrepair in the hands of out-of-state owners.
“The scale of investment required to fully develop and reposition the property is significant, particularly given the current condition of the building and the costs associated with bringing it to a modern standard capable of supporting hotel, conference and event operations,” according to documents filed with the CRA request.
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“Without public participation, the project is not economically viable at the level necessary to deliver a high-quality, competitive asset. The requested tax abatement will directly support the gap between project costs and achievable returns, enabling the substantial reinvestment required to restore this property as a productive and contributing part of downtown Mansfield,” according to the documents.
The redevelopment, currently planned under the working name The Hearth & Forge Hotel, will include a comprehensive renovation of the entire property, with improvements to both the interior and exterior.
“We will touch every surface in the hotel,” said Goyal.
Public-private partnerships used to spur development
CRAs, created by state law, are often-utilized agreements to help spur economic development that otherwise may not take place, according to officials. A CRA can provide up to 100 percent property tax relief for up to 15 years.
In March, City Council approved a CRA for an estimated $25 million redevelopment project that will turn about 180,000 square feet into 95 apartments in downtown Mansfield.
Also in March, Newman Technology in Mansfield announced a $74 million expansion, including hiring 70 new employees and adding an estimated $3.55 million in new annual, local payroll. That project is being done with a tax credit through the Ohio Dept. of Development.
In January, local businessman Dan Niss and his wife, Brenda, purchased the decaying former West Park Shopping Center from an out-of-state owner for $1 million and a state brownfield grant has been proposed to raze the former strip mall and make it possible for potential redevelopment.
In June 2025, Baker’s Collision was granted a 50-percent tax exemption for 15 years for a $4.4 million investment and expansion at 705 Fifth Ave. that will create nine new jobs.
Goyal creates The Mansfield Forward Fund, LLC
Goyal and his investors created The Mansfield Forward Fund, LLC, for the project, which includes his business partner, Snehal Patel, backed by a group of local investors that include including Mark and Beth DeLaney; David and Leslie Eichinger; the Gorman Family; Rich and Gayle Gorman Green; Chuck Hahn; John and Maura Siegenthaler; and Rick and Carol Taylor.
According to legislation tied to the development plan, the project will create 18 construction jobs and 16 new full-time jobs within five years of the project’s completion.
Goyal, president of Goyal Industries in Mansfield, created the LLC with the Ohio Secretary of State’s Office on April 7.
Its stated purpose is “to own, lease, manage, operate, and provide hospitality services in connection with hotels, lodging facilities, conference and event spaces, food and beverage operations, and related amenities; and to engage in any other lawful business activities for which a limited liability company may be organized in the State of Ohio.”
The local group plans to acquire the hotel from its current California owner for $2.5 million and will invest more than $6 million in its redevelopment.
The project is in keeping with other downtown momentum projects, including the Main Street Corridor Improvement Project and the Richland County Foundation to create downtown living spaces in buildings donated by John and Mimi Fernyak.
“I have been interested in downtown revitalization and how I might be able to play a role in it,” Goyal said last week. “My business partner approached me about this deal and I just thought it would be a great opportunity to contribute to the growing momentum we have downtown,” he said.
“I don’t think the need for what we’re doing would have been any less 10 years ago. But I do think that all of these things happening at the same time will just build on one another and reinforce one another and hopefully contribute to the success of one another,” he said.
The plan is to redevelop the former Holiday Inn into an upscale, 102-room boutique hotel designed to serve both business and leisure travelers, as well as the local population.
(Below is a PDF with the CRA agreement requested for a new downtown Mansfield hotel project.)
City Council on Tuesday is also scheduled to:
— vote on the city administration’s plan to spend federal Community Development Block Grant dollars for 2026.
— vote to accept a $4,300 donation from the Mansfield Rotary Club and a $14,468 grant from Richland Public Health, both of which will benefit the city’s parks and recreation department.
— vote to accept a $200 donation from Mechanics Bank to be used in the upcoming annual Bike-A-Palooza event at North Lake Park.
— vote to appoint four members to the city’s Police Review and Community-Police Relations commission. Nominees are Nikie Jeruta (1st Ward), Jason Taylor (2nd Ward), Michelle Isaac (5th Ward) and Sara Hampton (6th Ward.)
— vote to appoint Jessica Gribben to the Downtown Improvement Advisory Board. Gribben is the new president and CEO of Richland Area Chamber & Economic Development.
— adopt changes to personnel positions, pay grades and salaries for designated city employees during 2026.
— vote on proposed amendments to the Mansfield Fire Prevention Code.
— vote to reallocate American Rescue Plan Act funds within previously approved projects. The administration seeks to reallocate $372,419.18 in “unused regular ARPA funds” to the Wayfinders homeless shelter project and $104,250.17 in “revenue replacement ARPA” to the Westinghouse arch project.
Council’s evening on Tuesday is scheduled to start with an employee relations committee meeting at 6:30, followed by a safety committee at 6:35 p.m. and a claims committee meeting at 6:45 p.m.
Council caucus is scheduled to begin at 7 p.m. with the legislative session following immediately thereafter.
(Below is a PDF with legislation scheduled to come before Mansfield City Council on Tuesday evening.)
