Tax credits could spur $89M of Cincinnati development
A $45 million project to restore the former Crosley Radio Corp. headquarters in Camp Washington is one of five Cincinnati real estate developments to land state historic preservation tax credits Tuesday.
Indianapolis-based Core Redevelopment secured $5 million in tax credits to help restore two buildings – including the Samuel Hannaford & Sons-designed building headquarters – to house 324 market-rate apartments. It is the first time a project in the neighborhood has landed the incentive.
Community organizer Joe Gorman said residents and business groups have been working hard to support Core in its development work. The building has been vacant for 10 years and the new project gives the Crosley a second chance to serve as a "powerhouse" of activity.
"This will be a very big positive for Camp Washington," Gorman said. "The Crosley Building is at the heart of Interstate 75 and Interstate 74, it's a gateway to the city. We're very excited about this."
Core Redevelopment principal John Watson said it could be 12 months before construction is ready to begin on the project, but the receipt of tax credits is a step in the right direction. He said the six-year-old firm is committed to the renovation project, which would be the biggest in the company's history.
The tax incentives awarded Tuesday are helping support $89 million of development projects around the city. Twenty-six projects around the state obtained $27.8 million of credits in the latest round of program funding.
“Preserving these historic buildings will help revitalize neighborhoods and downtowns,” said David Goodman, director of the Ohio Development Services Agency. “Historic rehabilitation transforms underutilized properties into assets for communities."
Here are the approved Cincinnati projects:
Crosley Building, Camp Washington
Project cost - $45.3 million
Tax credit - $5 million
Address - 1333 Arlington St.
Developer - Core Redevelopment
Details - Completed in 1930, the Crosley Building was the headquarters of the Crosley Radio Corp. and home to its design and manufacturing operations. The building also served as the home of WLW-AM's studios from 1930 until 1942. The nearly 300,000-square-foot Crosley building and an adjacent building will become home to 324 market-rate apartments. This is the first Ohio Historic Preservation Tax Credit project in the Camp Washington neighborhood of Cincinnati.
Market Square II, Over-the-Rhine
Project cost - $17.9 million
Tax credit - $1.8 million
Address - 1807-1830 Elm St., 127 Findlay St., and 1827 Logan St.
Developer - Model Group
Details - The Market Square II project includes 10 historic buildings and one new building to be constructed near Over-the-Rhine's Findlay Market. It is the second phase of a larger redevelopment effort by the Model Group and the buildings will include 55 apartments as well as 24,000 square feet of commercial space. The historic buildings will all be mixed-use with residential spaces above ground floor commercial spaces that will include office, restaurant and commercial tenants.
Strietmann Biscuit Co. Building, Over-the-Rhine
Project cost - $12.3 million
Tax credit - $1.2 million
Address - 223-235 W. 12th St.
Developer - Grandin Properties
Details - This building is the former home to the manufacturing and office facility for the Strietmann Biscuit Co. which made a variety of baked goods including biscuits, cookies, crackers, and pastries. The original building was built in 1899 with three subsequent additions in the early 20th century as the company expanded. After the company moved to a new facility in the 1940s, the building was home to a number of mixed uses and small businesses until it was vacated. Once rehabilitated, it will house office space for 10 to 15 businesses with first-floor space for restaurants. Up to 550 employees could work in the building. The project is expected to be completed by the end of 2017. The building will offer amenities such as the Penthaus Conference Center, a rooftop terrace, a small fitness center, bicycle storage and basement storage.
Film Center Building, Over-the-Rhine
Project cost - $10.7 million
Tax credit - $1.1 million
Address - 1632 Central Parkway
Developer - Urban Sites
Details - Originally built for film companies, the vacant five-story building is expected to be redeveloped into 50,000 square feet of space for apartments and commercial uses. There will be a mixed of office and restaurant tenants occupying the first floor and upper floors will be remodeled to house 46 rental units with a mix of studio, one and two bedroom apartments. Due diligence on the project began in fall 2013, said Greg Olson, CEO of Urban Sites.
"Urban Sites is thrilled to take part in the continued revitalization of OTR and now the areas immediately adjacent Findlay Market," Olson said.
771 and 772 E. McMillan Ave., Walnut Hills
Project cost - $2.3 million
Tax credit - $250,000
Address - 771 and 772 E. McMillan Ave. and 2504 Chatham St.
Developer - Walnut Hills Redevelopment Foundation and South Block Properties
Details - This project will redevelop three buildings, two of which are historic. The Hamilton Building (771 McMillan) dates to 1883 and was originally a single-family residence. The building, later converted to apartments, has been vacant since 1981. The building at 772 McMillan is a mixed-use building with three commercial spaces on the ground floor with apartments above it. The apartments have been vacant since the mid-1970s and the ground floor has been empty since 2004. Plans call for the rehabilitated historic buildings to house seven apartments and a restaurant/bar in the commercial space. The building at 2504 Chatham has six vacant apartments that will be rehabilitated.
"State historic tax credits have been a critical component to our success on McMillan these last few years and this announcement continues that trend," said Kevin Wright, executive director of the Walnut Hills Redevelopment Foundation.
Here are projects that missed out on tax incentives:
Cincinnati Union Terminal, Queensgate - $5 million
12th and Walnut, Over-the-Rhine - $2 million
George Otte Carpet Store Building, Downtown - $880,000
Mulberry Hill, Mt. Auburn - $491,200
Walnut and Moore, Over-the-Rhine - $803,230
ABOUT THE PROGRAM
The State Historic Preservation Office reviewed each project proposal to ensure that the rehabilitation work will protect the integrity of each historic building.
Tax credits are not awarded until projects are completed and analyzed to ensure historic preservation and other standards are met. Credits can then be applied to certain Ohio taxes owed.