SHELBY — Mayor Steve Schag on Monday highlighted Shelby housing growth, major industrial investment and environmental initiatives.

“The present state of the city is stable, secure and fiscally sound,” Schag said during his annual State of the City address, which he shared at Monday evening’s City Council meeting.

The report offered a concise review of the city’s accomplishments in 2025 and a look ahead at projects planned for the coming year.

Housing growth and community development

“This annual report to council affords me the opportunity to enumerate and celebrate with you a number of noteworthy accomplishments of last year, as well as preview goals and projects on the horizon for the year ahead,” the mayor said.

Addressing housing needs across Richland County, Schag said the Millstone Manufactured Home Community project is taking shape in Shelby’s Third Ward, where infrastructure installation is currently underway.

“Infrastructure is being put in place as we speak. Plans are to provide 48 homes with the inclusion of a nice walking path and playground,” Schag said.

“This is going to be good for both ends of the spectrum,” he said. “Whether you’re a young family looking to start out or a couple looking to downsize — it’s going to be a mixed-use community with something for everyone.”

The project footprint has expanded with the purchase of property north of the Lee Street site, with the main entrance planned off Flint Street.

Developers will begin by constructing an initial number of homes for sale, then continue expansion in the future.

Schag also highlighted the city’s partnership with the Richland County Land Bank through the Welcome Home Ohio Grant, which would bring additional affordable housing to the Third Ward as well — significantly expanding local housing options.

Industry, jobs and environmental initiatives

Industrial growth continues in Shelby’s Industrial Park with a $45 million capital investment by the Hanline Group.

“This phenomenal expansion is set to be in operation this month,” Schag said. “They are hoping to add some 30 jobs in connection with this new venture.”

While details about the investment remain limited, Schag said the company plans to announce its new product in the near future.

“This is a wonderful example of job retention,” Schag said. “We’re thankful they chose to stay and develop here in Shelby.”

Schag also announced plans to develop four acres of city-owned land into a honeybee and pollinator habitat to help maintain Shelby’s Bee City USA designation — an integral part of their municipal identity.

The habitat will be located on property adjacent to the water treatment plant on North Gamble Street.

“I’ve always been concerned about the declining honeybee populations,” the mayor said. “This not only helps combat that issue, but shows our interest in progress and helping the environment.”