City OKs Incentives for Hotel, Chill-Can Projects
YOUNGSTOWN, Ohio – The city’s Board of Control this morning approved a development agreement for the Stambaugh Building hotel project and purchased additional land on the East Side for the proposed chill-can project.
The development agreement, with partnerships related to developer NYO Property Group, includes a 10-year, 75% enterprise zone property tax abatement and bridge and float loans totaling $2.75 million.
NYO is converting the Stambaugh Building into a DoubleTree by Hilton hotel downtown. Total investment in the project is valued at $32.1 million
The loans had been approved by City Council in December but notifications involving the Youngstown City School District required the abatement to be incorporated into the development agreement at a later date, said T. Sharon Woodberry, the city’s director of community planning and economic development.
“We also had to make sure that we cleared up and finalized the scope of work on what our funds would be used for. This agreement captures everything,” Woodberry said.
The developer has been working on interior demolition and is preparing to transition to “more material aspects of the improvements,” she said.
The board also approved paying a total of $4,338 for eight city lots as part of the Near East Side Urban Renewal Plan. The property is in the area where Joseph Company International plans to develop a $20 million beverage technology and manufacturing complex. The California-based company has developed a self-chilling can technology.
Last month, CEO Mitchell Joseph said his company would make a pair of major announcement next month and in September related to the $20 million project.
Mitchell was in town earlier this week and met with city officials, Mayor John McNally said.
City officials did not have information on when structural work might get underway on the project. A water line will need to be relocated, work that the city already has approved, McNally said.
“I know Mr. Joseph is excited that dirt is moving on the site,” he said.
Copyright 2024 The Business Journal, Youngstown, Ohio.