Explanation
BACKGROUND: Columbus City Council (COUNCIL), by Ordinance No. 2349-2017, passed October 2, 2017, authorized the City of Columbus (CITY) to enter into an Community Reinvestment Area Agreement (the AGREEMENT) with Rickenbacker West Owner, LLC (ENTERPRISE) and the Columbus-Franklin County Finance Authority (FINANCE AUTHORITY) for a tax abatement of one-hundred percent (100%) for a period of fifteen (15) years in consideration of a proposed approximately $34.5 million investment in real property improvements and the creation of 80 net new full-time positions with an associated annual payroll of approximately $2.4 million related to the construction of an 802,149-square-foot industrial warehouse for lease to one or more tenants (the PROJECT) on parcel numbers 495-234526 and 495-287286 off of Beggrow Street, Columbus, Ohio 43137 and within the Rickenbacker Community Reinvestment Area (the PROJECT SITE). The AGREEMENT was made and entered into effective October 12, 2017 (CRA #049-18000-14/17-000) with no real property exemption to commence after 2020 nor extend beyond 2034. ENTERPRISE and FINANCE AUTHORITY submitted an application for abatement related to the PROJECT to the CITY on October 18, 2018, and the City certified to the Franklin County Auditor on November 13, 2018 that the project described in the application met the necessary requirements for exemption and granted a 15-year, 100% exemption to the applicable improvements on Parcel Number 495-297812, 1901 Beggrow Street, Lockbourne, Ohio 43137, to commence January 1, 2019 with the term of the abatement to run through 2033.
In a letter to the CITY dated May 16, 2019 from Granite REIT, the CITY was advised that Granite (1901 Beggrow) LLC (GRANITE) had entered into a contract with ENTERPRISE to transfer to GRANITE the interest of ENTERPRISE on that certain property at 1901 Beggrow Street (Parcel Number 495-297812) with the closing of the sale scheduled to occur on May 23, 2019. The CITY was subsequen...
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