Local Incentives for Ohio Distribution Center Expansion

Local Incentives for Ohio Distribution Center Expansion

Client Profile
A lumber supplier planned to establish a new distribution center in Ohio to support its Midwest operations. Referred by its CPA, the company engaged McGuire Sponsel’s Location Advisory team to evaluate potential locations and identify available incentives that could support the expansion.

Our team reviewed incentive opportunities across multiple Ohio communities as the company considered potential sites. The company ultimately selected an existing facility in Barberton, Ohio, that provided the building space and acreage needed for outdoor storage. As part of the expansion, the company planned to create 23 new permanent jobs over three years.

Process
McGuire Sponsel’s Location Advisory team identified multiple communities that could offer incentives for the planned distribution center and worked with local officials throughout the site selection and incentive procurement process. Due to the company’s industry and the scope of the project, the expansion did not qualify for state-level incentives, making local opportunities particularly important.

After incentive procurement efforts had begun for the company’s initial preferred location, the company selected a different site. Our team quickly redirected its efforts to Barberton, working with local officials to evaluate and negotiate available incentives for the finalized location while helping keep the project moving forward.

Results
Based on the company’s plans to create 23 new permanent jobs over three years, the company was awarded two local incentives to support its Barberton expansion.

The City of Barberton awarded the company a grant with an estimated value of $55,570 and a real property tax abatement with an estimated value of approximately $172,000. Together, the incentives are estimated to provide more than $227,000 in value to support the company’s new Ohio distribution center.