Explanation
BACKGROUND: Columbus City Council (COUNCIL), by Ordinance No. 1277-2016, passed June 6, 2016, authorized the City of Columbus (CITY) to enter into an Enterprise Zone Agreement (the AGREEMENT) with Micro Electronics, Inc. (TENANT) and Lightning Propco I, LLC (OWNER) (together, “ENTERPRISE”), for a real property tax abatement of fifty percent (50%) for a period of eight (8) consecutive years in consideration of a proposed $2.97 million investment in real property improvements, the retention of 104 existing full-time permanent positions with an associated annual payroll of approximately $3,005,612 and the creation of 5 new full-time permanent positions with an associated annual payroll of approximately $130,000 related to the expansion of the OWNER’s existing 262,636 square foot facility by approximately 43,380 square feet which TENANT was to continue to occupy as part of an amended long-term lease agreement located at 2701 Charter Street on Parcel Number 560-241826 within the City of Columbus and within the Columbus Central Enterprise Zone (The PROJECT SITE). The AGREEMENT was made and entered into effective October 11, 2016 with the abatement to commence no later than 2017 nor extend beyond 2024.
Paragraph thirteen 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.”
The AGREEMENT was subsequently Amended for the First Time for Assignment & Assumption (The FIRST AMENDMENT) whereby Lightning Propco I, LLC assigned the benefits of the AGREEMENT to GPT Charter Street Owner LLC as OWNER, assuming the commitments of the AGREEMENT as ENTERPRISE and party to the AGREEMENT, authorized by COUNCIL by Ordinance 1874-2017, passed July 24, 2017, with this FIRST AMENDMENT executed August 11, 2017, effective as of the day and year first written in the AGREEMENT.
The Final Determination of the Tax Commissioner regarding the application for exemption o...
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