The Ohio Development Services Agency awarded $35.9 million in Ohio Historic Preservation Tax Credits to 23 owners planning to rehabilitate 45 historic buildings in nine communities across the state. The awards are expected to leverage more that $252 million in private investments and create more than 2,500 construction and permanent jobs. The City of Cleveland itself benefited from seven projects being funded by State Historic Tax Credits, for a total investment of $14,752,441.
About the Ohio Historic Preservation Tax Credit Program:
The Ohio Historic Preservation Tax Credit Program provides a 25 percent tax credit for the rehabilitation expenses to owners and lessees of historically significant buildings. A building is eligible if it is individually listed in the National Register of Historic Places; contributes to a National Register Historic District, National Park Service Certified Historic District, or Certified Local Government Historic District; or is listed as a local landmark by a Certified Local Government. The program is competitive and received applications bi-annually in March and September.
“The Historic Preservation Tax Credit puts empty buildings back into the economic cycle, creating jobs through construction activities and reoccupation of the buildings,” said Christiane Schmenk, Director of the Ohio Development Services Agency. “This program has saved some of the state’s most significant historic structures.” According to a Cleveland State University study released in May 2011, $1 million in tax credits generates $8 million in construction spending, $40 million in total economic activity and nearly 400 jobs from construction and operations.
City of Cleveland Projects Awarded Ohio Historic Preservation Tax Credits:
East Ohio Building (Cleveland, Cuyahoga County)
Total Project Cost: $65,229,000
Total Tax Credit: $5 million
Address: 1717 East 9th Street, 44240
The first building in Cleveland to employ a curtain wall system, the mid-century modern East Ohio Building was constructed in 1959. The East Ohio Building and Illuminating Building (55 Public Square) were the first skyscrapers constructed in the city of Cleveland following Terminal Tower’s completion in 1930 and the buildings set a precedent for future high-rise development. Originally an office building, the K&D Group will transform the tower into 135 one-bedroom and 88 two-bedroom apartment units in response to strong downtown rental demand. Construction is anticipated to create 200 jobs.
Globe Machine and Stamping Company (Cleveland, Cuyahoga County)
Total Project Cost: $11,989,533
Total Tax Credit: $2,793,800
Address: 1250 West 76th Street, 44102
Constructed as an addition, the 1918 Globe Machine and Stamping Company Building is located directly across from the Battery Park redevelopment in the city of Cleveland’s Detroit-Shoreway Neighborhood. The vacant four-story building with views of Lake Erie will be transformed into 42 market-rate apartments and 5,700 square feet of commercial space at street level. More than 40 construction jobs are anticipated as a result of rehabilitation activities. An estimated 56 permanent jobs will be created at the site as a result of the redevelopment project.
Ohio City Post Office (Cleveland, Cuyahoga County)
Total Project Cost: $3,439,503
Total Tax Credit: $522,376
Address: 2515 Jay Avenue, 44113
Also referred to as the Jay Hotel, the Ohio City Post Office was completed in 1924. The mixed-use property contained a billiards hall and bowling alley in the basement, a post office on the main level, and a hotel on the upper two floors. Currently abandoned, the rehabilitated building will house eight luxury apartments and 20,000 square feet of commercial space for retail and office tenants. The investment is anticipated to create 115 jobs through construction and occupancy of the building.
Painters Lofts (Cleveland, Cuyahoga County)
Total Project Cost: $536,587
Total Tax Credit: $105,213
Address: 8205 Franklin Boulevard, 44102
Painters Lofts is located in the former Acorn Refinery Company Building in the Detroit Shoreway Neighborhood of Cleveland. A renovation project to convert the industrial building to 20 residential condominiums began in 2003 and eight condo units remain uncompleted. The project will include significant work to the building envelope in order to complete the remaining units.
Templin-Bradley Company Building (Cleveland, Cuyahoga County)
Total Project Cost: $7,790,554
Total Tax Credit: $1,825,262
Address: 5700 Detroit Avenue, 44102
Although a gritty industrial building at first glance, the Templin-Bradley Company Building once housed one of the country’s largest bulb and seed distributors. Now overgrown, the front lawn featured a lavish garden to showcase the products of the Templin-Bradley Seed Company. Currently vacant, redevelopment plans call for the boarded windows to be reopened and 30 new residential apartments to be created. The project will create at least 50 construction jobs.
West 25th Street Lofts (Cleveland, Cuyahoga County)
Total Project Cost: $21.5 million
Total Tax Credit: $4 million
Address: 1526 West 25th Street and 2711 Church Avenue, 44113
Located in Cleveland’s Ohio City neighborhood, the West 25th Street Lofts project includes the restoration of two historic buildings, the Phoenix Ice Machine Company (2711 Church) and Baehr Brewery/Odd Fellows Hall (1526 West 25th). Redevelopment will include 72 market-rate apartment units and 34,000 square feet of commercial space. An estimated 125 jobs will be created through construction and occupation of the rehabilitated facility.
West Side Community House (Cleveland, Cuyahoga County)
Total Project Cost: $2,977,000
Total Tax Credit: $480,790
Address: 3000 Bridge Avenue, 44113
Originally serving as a youth and community center established by the Methodist Episcopal Deaconesses, the West Side Community House has been vacant since 2005. The building will be adaptively reused to create 22 apartment units and a small restaurant space. An estimated 28 jobs will be created from construction activities.
Article prepared by: David Lukas, Project Coordinator, City of Cleveland Department of Economic Development