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File #: 2531-2020    Version: 1
Type: Ordinance Status: Passed
File created: 11/4/2020 In control: Economic Development Committee
On agenda: 11/23/2020 Final action: 11/25/2020
Title: To authorize the Director of the Department of Development to enter into an Enterprise Zone Agreement with BND Properties IV, LLC and BND Rentals, Inc. dba Vandalia Rental for a tax abatement of seventy-five percent (75%) for a period of ten (10) consecutive years in consideration of a proposed capital investment of approximately $3,000,000.00 in real property improvements and the creation of 10 net new full-time permanent positions with an estimated annual payroll of approximately $680,000.00.
Attachments: 1. ORD2531-2020 Vandalia Rental - Project Site Map EZ, 2. ORD2531-2020 Vandalia Rental - Fact Sheet EZ
Explanation
BACKGROUND: The need exists to enter into an Enterprise Zone Agreement with BND Properties IV, LLC (“BND Properties”) and BND Rentals, Inc. dba Vandalia Rental (“Vandalia Rental”). The Ohio Enterprise Zone law O.R.C. Section 5709.62(C) requires the City to enter into a Council-approved agreement between the City and participating companies.

Established in 2018, BND Properties is a real estate holding company. Vandalia Rental is an equipment rental company focused on construction and industrial equipment. Vandalia Rental was established in 1961, and their main lines of equipment are earth equipment (loaders, excavators), material lifts, boom lifts, and other equipment such as (i.e. trailers, heaters, generators, etc.) all of varying types and sizes. Vandalia Rental is a third generation, family-owned and operated construction equipment rental company that was named after the city in which it was built, in Vandalia, Ohio. The company has evolved from a small family business into the premier equipment rental company in Southwest Ohio. Both entities have a common owner, Kurt Barney.

BND Properties and Vandalia Rental are proposing to invest a total project cost of approximately $8,125,000, which includes $3,000,000 in real property improvements, $5,000,000 in machinery and equipment, $50,000 in furniture and fixtures, $25,000 in computers and $50,000 in inventory to construct a new operation facility consisting of approximately 15,000 square feet at 2265 N. Wilson Road, Columbus, Ohio 43228, parcel number 560-129701 (the “Project Site”). With this new facility, the company will be able to establish a local physical presence in Columbus to better enhance the customer service experience. Vandalia Rental will be the tenant and employer of record and enter into a long-term lease agreement with BND Properties, the property owner. Additionally, the company will create 10 net new full-time permanent positions with an estimated new annual payroll of app...

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