AVON LAKE — City Council will consider a property tax abatement next Monday for a construction project for Northern Hammerworks LLC on Miller Road.
The 10-year abatement, which received economic committee approval Nov. 5, would give the company a 50 percent property tax abatement to build a 7,200-square-foot-building and a 1-acre parking lot. The building will be used to transfer the company from its 266 Belmar Boulevard address to 531 Miller Road.
The project is an estimated $315,000 investment, according to the ordinance. The tax incentive agreement also stipulates that Northern Hammerworks will add 16 full-time jobs and four part-time jobs to the 15 jobs the company already has through the agreed 10 years.
Due to the abatement being at 50 percent, the agreement doesn’t need approval from local schools, according to Economic Development Director Ted Esborn.
Mayor Greg Zilka said the additional space will offer office space and storage space for equipment.
“It’s going to be a tremendous upgrade for him and allow him to grow,” he said.
The agreement is possible because Avon Lake in 1994 designated the entire city as a community reinvestment area, allowing for tax exemptions for new construction for expanding businesses.
Zilka said the city will have its first reading at the Nov. 26 council meeting. If approved the building is expected to begin in spring of 2019 and finish by the fall of the same year.
Northern Hammerworks is a contractor that recently had helped in the restoration of the historical Thomas Folger Home at 32770 Lake Road in 2017.