Explanation
BACKGROUND: The Director of the Department of Development is requesting authorization to enter into an Enterprise Zone Agreement on behalf of the City with Patton Ohio Investments LLC (“POI”) and Patton Warehousing LLC (“Patton Warehousing”), (collectively, the “Enterprise”). The Ohio Enterprise Zone law Section 5709.62(C) of the Ohio Revised Code authorizes the City to enter into Council-approved tax abatement agreements between the City and qualifying companies.
POI was established in 2017 as a real estate holding company. Patton Warehousing was established in 2015 in Milton, Pennsylvania and is a family-owned and operated business. The company provides third-party logistics services for more than 100 customers such as Kellogg’s, Pepsico, Ardagh Group, Anheuser Busch and others. These services include distribution, fulfillment, railcar unloading/trans-loading, cross docking, co-packing and transportation. Patton Warehousing is part of The Patton Logistics Group
family of companies.
The Enterprise is proposing to invest a total project cost of approximately $10 million in real property improvements to construct an additional distribution and warehouse facility (the “Facility”) consisting of approximately 124,295 square-feet at 650 Manor Park Drive, Columbus, Ohio 43228, parcel number 570-297142 (the “Project Site”). Patton Warehousing will be the tenant and employer of record, and enter into a lease agreement with POI, the property owner. Additionally, Patton Warehousing will retain 17 full-time jobs with annual payroll of approximately $635,760 and create eight (8) net new full-time permanent positions with an estimated annual payroll of approximately $282,880 at the proposed Project Site (“New Employees”).
The Director of the Department of Development is recommending that Council approve a 65%/10-year Enterprise Zone tax abatement on real property improvements made by the Enterprise at the Projec...
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