Explanation
BACKGROUND: The need exists to enter into an Enterprise Zone Agreement with Schottenstein Stores Corporation and 4300 Venture 34910 LLC. The Ohio Enterprise Zone law O.R.C. Section 5709.62 (3) requires the City to enter into a Council-approved agreement between the City and participating companies.
Schottenstein's was founded by Ephraim Schottenstein in 1917. Schottenstein Stores Corporation (SSC) is the Schottenstein family retail holdings company. The firm owns interests in retail businesses, including Retail Ventures, Filene's Basement stores, DSW shoe warehouse stores, Value City Furniture and American Eagle Outfitters. Schottenstein Stores Corp. (SSC) ranks among the 250 largest private enterprises in the United States.
The company proposes to relocate its corporate headquarters from 1800 Moler Road in Columbus to 4300 East Fifth Avenue Columbus, Ohio (a.k.a. Air Center Park). The project would involve the relocation of all 355 full-time employees currently located at the Moler Road facility to the renovated Air Center Park facility.
The Department of Development recommends a 75%/10 year Enterprise Zone tax abatement on real property improvements. The proposal is consistent with the Columbus Tax Incentive Policy under Edge City projects.
Emergency action is requested of City Council in order to facilitate a project start date.
The Columbus Public School District has been advised of this project.
FISCAL IMPACT: No funding is required for this legislation.
Title
To authorize the Director of Development to enter into an Enterprise Zone Agreement with Schottenstein Stores Corporation and 4300 Venture 34910 LLC for a tax abatement of seventy-five percent (75%) for a period of ten (10) years; in consideration of a proposed $11.8 million investment in real property improvements and personal property and the retention of 355 full-time permanent positions. ; and to declare an emergency.
Body
WHEREAS, the Columbu...
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