×

Austintown OKs tax break for developer

AUSTINTOWN — An unused space in the township may soon be drawing new businesses and new jobs to the area.

Austintown Township trustees on Monday approved a 10-year, 60% tax abatement as part of an application for a project to construct a large metal building on an undeveloped lot along Silica Road.

Youngstown resident Ryan Englehardt of North Jackson-based GSP Land Holdings proposes to build a 25,000-square-foot metal industrial building at 6405 SIlica Road.

“I think that is the biggest industrial lot we have left in Austintown that’s not developed, and I think what’s keeping everyone away from it is that the creek runs through it, but that doesn’t scare me,” he said.

Trustee Bruce Shepas said the project is part of a collaboration with the Western Reserve Port Authority and Lake to River Economic Development — a state program that aims to create sustainable economic growth through site development, business attraction and retention and strategic infrastructure enhancement.

“A few years ago, Robert (Santos) mostly took the lead on that, we brought the Port Authority in because we’re looking to develop the land and bring in new homes and businesses and jobs to Austintown,” Shepas said. “We know we don’t have much land, but that lot on SIlica Road is valuable land, so to have someone come in, who’s also local, and can do it, we are happy to support that.”

Englehardt has worked for Brilex for the past nine years and been a member of the Mahoning Valley Manufacturing Coalition, where he is past president. He said he built his first steel building for his boss five years ago and they have become partners in building more metal structures for industrial use..

“I just like building big metal buildings. I work in them and I like building them for fun,” Englehardt said.

The first, an 80 x 200-foot building, went up in an industrial park in North Jackson about five years ago on property purchased from Molnar Farms. Then he built another structure at 25 Victoria Road, the first in Austintown, and very close to where the new building will go.

Englehart said the people at Lake to River have told him there is interest among several businesses looking to come to the area.

Generally, we’re talking about a 25,000-square-foot building on 19 acres, with the ability to build at the back of the property, with a land bridge going over it, which is being designed right now by the Army Corps of Engineers,” he said. “You can build at the back, and bring it closer to Silica Road, everything has to come off of Silica. There is access on Victoria, but we can’t really use that because of the creek.”

Englehardt said his buildings are usually built out into 6,000- to 8,000-square foot sections, but this project will depend largely on the specifications from the Port Authority, Lake to River and the particular businesses looking to occupy the space.

“Whoever is not currently in the Youngstown or Ohio region and is willing to relocate jobs here, we have to be willing to build what they want,” Englehardt said.

“The only thing here is Lake to River, they want higher use and more clear span,” he said.

Most of Englehardt’s buildings use a 16-foot clear span, with an 18-foot eave on the roof and a 22-foot pitch in the middle.

“They want 26 on the eaves, so you have 24-foot clear space for pallet racking and a 30-foot pitch in the middle, so slightly larger in volume but same footprint,” he said.

He said he was committed to the project whether he obtained grants and abatements or not.

“I did not think there were grants or tax abatements. When we built the other ones, we did it all without any of that,” he said.

The project was on Englehardt’s agenda for this year.

“But that slowed down once this process began with grants from Lake to River and tax abatements, 50-page presentations,” he said. “I hope you’ll approve this, but if not, we’re still committing $2.9 million and change to spend on it. From the financial side, that’s what’s in it for me, it’s a break even for me if I get this. I still want to do it because in the long run I’ll get the equity in the building for my kids.”

Englehardt told trustees the project should be completed in less than a year once construction begins.

“Each building took eight to nine months from groundbreaking to having the tenant moved in,” he said.

This time, he said the specs of this building will be a bit different

The tax abatement did not require approval from the Austintown Board of Education because it did not exceed the 60% threshold.

Starting at $3.23/week.

Subscribe Today