MANSFIELD — Big things are happening at Mansfield Lahm Airport.
The so-called “sleeping giant” of north central Ohio was at the center of discussion in Mansfield City Council’s caucus and committee meetings on Wednesday evening.
Council approved a tax incentive package that will lead to the construction of a 160,000 square-foot industrial building/warehouse at 1750 Airport West Road.
The “spec building” project by Airport West I, 1310 W. Fourth St., involves an estimated building investment of $9 million on 15 acres, with work scheduled to begin Nov. 15 and an estimated completion date of June 20, 2021.
A tenant for the building has yet to be determined. The structure will be available for lease and/or purchase by warehouse and/or industrial tenants.
According to the ordinance, the project is expected to create an annual payroll of $158,080 in the first year, rising to $299,520 in the 10th year. Tim Bowersock, economic development director, said a warehousing tenant would bring three full-time and seven part-time jobs, while an industrial tenant would bring five full-time jobs and 20 part-time jobs.
The city granted a 100-percent tax exemption to Airport West I for real property improvements for 15 years, meaning the first year the property will be taxable is 2036. The project is through the city’s Community Reinvestment Area.
Due to its location, the tax incentive required the permission of the Madison Local School District. In exchange for the tax break, Airport West I will make a direct annual payment of $100,422 to the school district during the lifetime of the tax incentive.
Council also authorized the public works director to advertise for bids for certain airport property for agricultural purposes. The highest bidder will purchase 270 acres of farmland available for use for a period of five years.
According to city engineer Bob Bianchi, the city hopes to sell the land for $130 to $150 per acre.
Finally, the city’s airport committee discussed creating minimum standards for commercial air service providers at Mansfield Lahm Regional Airport. In the future, the city hopes to enter into a lease agreement with Niss Aviation to provide fixed base operator services at the airport.
Richland Aviation currently provides fixed base operator (FBO) services at Mansfield Lahm, including aviation fuel, aircraft parking, hangars, catering and courtesy cars for pilots to use in the local area.
Attorney Bud Vetter representing Niss Aviation said the company is proposing investing $2 million into Mansfield Lahm Airport in the future, offering services including a self-serve fuel station, building a new hangar and improving parking.
“The plan is to have a first-class operation at Mansfield Lahm Airport,” Vetter said. “This family is very community-minded and charitably inclined, and I think this is a very good relationship for the city of Mansfield and this family.”
Part of the agreement with Niss Aviation would include Mansfield making some aesthetic improvements, including relocating and improving the HVAC system for the terminal building, and beautifying and enhancing the entrance from the ramp to the terminal.
Bianchi said the improvements would be paid for using revenue from the sale of approximately 192 acres of land by the airport. The land was estimated to sell for between $500,000 and $750,000, and the funds from the sale are required to be used at the airport.
