Explanation
BACKGROUND: Columbus City Council (“COUNCIL”), by Ordinance No. 2012-2020, passed September 21, 2020, authorized the City of Columbus (“CITY”) to enter into an Enterprise Zone Agreement (the “AGREEMENT”) with HQ Office I LLC (the “ENTERPRISE”), for a tax abatement of seventy-five percent (75%) for a period of ten (10) consecutive years in consideration of a proposed total capital investment of approximately $19,200,000.00 in real property improvements to construct a Class A office building consisting of approximately 141,000 square feet (the “PROJECT”) at 4960 E. Dublin Granville Road, Columbus, Ohio 43081, parcel number 010-301661, within the City of Columbus and within the City of Columbus Enterprise Zone (the “PROJECT SITE”). Additionally, the ENTERPRISE committed to create or cause to be created fifteen (15) net new full-time permanent positions with an associated annual payroll of approximately $750,000.00 at the PROJECT SITE. The AGREEMENT was made and entered into effective December 23, 2020 with the PROJECT expected to begin approximately January 2021, with all real property improvements expected to be completed approximately by January 2022 and with the abatement to commence no later than January 1, 2023 nor extend beyond December 31, 2032 (Agreement No. 023-21-07).
Paragraph fourteen within Section 6 (Program Compliance) of the AGREEMENT states that the “AGREEMENT is not transferable or assignable without the express, written, approval of the CITY” and paragraph fifteen of that same section states that “any requested amendment…to any of the terms of the AGREEMENT…shall require the payment to the CITY by the ENTERPRISE of an AMENDMENT FEE in the amount of five-hundred dollars ($500.00).”
Subsequently, in a letter from HQ Office I LLC received by the CITY dated August 31, 2026, and through ensuing correspondence, confirmed that the ENTERPRISE sold its’ entire interest in the PROJECT SITE to OhioHealth Corporation on August 16, 2026, the da...
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