Explanation
BACKGROUND: Columbus City Council (“COUNCIL”), by Ordinance No. 2504-2019, passed October 14, 2019, authorized the City of Columbus (“CITY”) to enter into an Enterprise Zone Agreement (the “AGREEMENT”) with RM Biltrite LLC and Watkins Road LLC (collectively, and hereinafter referred to as “ENTERPRISE”) for a tax abatement of seventy-five percent (75%) for a period of ten (10) years in consideration of a total investment of approximately $11,470,500.00, which included $1,650,000.00 in real property improvements, $4,705,500.00 in acquisition cost, $5,000,000.00 in machinery and equipment, $100,000.00 in furniture, fixtures, and $15,000.00 in stand-alone computers to acquire, renovate, and redevelop a vacant industrial warehouse consisting of approximately 177,566 square feet at 1635 Watkins Road, Columbus, Ohio 43207, parcel number 010-001860 (the “PROJECT SITE”), within the Columbus City School District, and the Columbus Enterprise Zone (the “PROJECT”). Additionally, the ENTERPRISE committed to create forty (40) net new full-time permanent positions with an estimated annual payroll of approximately $1,677,740.00 and the retain one (1) full-time job at the aforementioned PROJECT SITE. The AGREEMENT was made and entered into effective January 30, 2020, (EZA #023-20-02). The AGREEMENT stated that construction on the improvements of the PROJECT was expected to begin December 2019 with all real property improvements expected to be completed by December 2020, and that no real property exemption was to commence after 2021 nor extend beyond 2030.
Subsequently, on January 22, 2024, COUNCIL passed Ordinance No. 0015-2024 which authorized the Director of the Department of Development to amend the AGREEMENT. The ordinance added QRRI, Inc. as an additional entity and party to the AGREEMENT; whereby, all three entities RM Biltrite LLC, Watkins Road LLC and QRRI, Inc. assumed the terms and commitments of the AGREEMENT. The First Amendment to the AGREEMENT wa...
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