Spiegelberg Orchards property to be developed as part of JEDD agreement

An agreement between Elyria Township, the cities of Elyria and Lorain, and the county commissioners will allow future development of the former Spiegelberg Orchards property between Middle Ridge Road and state Route 2. Commissioners announced Monday the board, the township and cities entered a partnership to create an approximately 124-acre joint economic development district, or JEDD. According to the county, a potential developer is poised to invest approximately $35 million in improvements and construction to create an estimated 200 jobs with a payroll of $6.6 million. The developer's name is not being made public just yet, Elyria Township Trustee Rick Hutman said Monday. That could grow to 400 or more jobs and payroll of more than $13 million within three to five years as long as the economy is stable during that time, commissioners said. Investment and job creation is also contingent on the creation of the JEDD, utilities being brought to the property and approval of state and local incentives. "We welcome partnering with the cities of Lorain and Elyria to create this district in Elyria Township to bring needed services to the Spiegelberg property to promote its development into a major job creator for the county," Commissioner Lori Kokoski said. Lorain Mayor Joseph Koziura and commissioners worked together for the city to benefit as well, as an Elyria Township JEDD creates new sanitary sewer customers for the city and the possibility of new income tax revenue. A county-township-city of Elyria partnership also allows the possibility of bringing sewer service south of Route 2, where there is undeveloped land in both Elyria and Amherst townships. Amherst Township also has a JEDD with the city of Lorain. "This is an opportunity for Lorain to benefit from development along the freeway like other communities," Koziura said. "I envision this being the next job hub in the county with many businesses and jobs created that put Lorain citizens and our neighboring communities at work close to home." The agreement went before Lorain Council Monday evening, but was moved to a second reading. Under the agreement Lorain would provide sewer service at in-city rates, while collecting 75 percent of the income taxes. A public hearing is scheduled for 5:30 p.m. Jan. 21 at Lorain City Hall. Elyria Township Trustees Hutman, Bill Holtzman and Timothy Van Dyke brought the JEDD concept to commissioners looking for assistance in creating a "premier development opportunity." "If we could get the right people to work with us, we as trustees knew we could create a real win-win opportunity for the township and our neighbors to generate growth for our collective future," Hutman said. The city of Elyria will provide water to the site and is working with the township to assist making development possible. The site currently does not have adequate water, sewer and roadway infrastructure to support development, but Lorain County is looking to create a tax increment financing district, or TIF, to help bring sanitary sewers to the area on both sides of Route 2. A TIF allows increased real estate taxes to be redirected to fund public improvements to allow for the development of the land and further job creation. Commissioners applauded the partnership that brought the as-yet-unnamed development together. "Economic development is about creating jobs and investment in the local community," Commissioner Sharon Sweda said. "This project is a prime example of how we can reposition a vacant or underutilized property to prepare it to support development." "Since I came to the board, I have believed that we will move forward faster when working together," Commissioner Matt Lundy said. "I am proud to say that with Lorain taking action now, the cities of Lorain, Elyria and the township of Elyria with the strong support from the commissioners are setting the stage to a new and prosperous future for all off the communities and the county as a whole." The former Spiegelberg Orchards property has been for sale for more than three years. It went on the market for $18 million in September 2016, according to an October 2016 Chronicle-Telegram story. At the time, Hutman told the Chronicle he anticipated the property being very valuable because of the large amount of frontage it had on Route 2. Spiegelberg Orchards opened in the 1930s, and Kenneth and Ruth Spiegelberg ran the 105-acre property until they died in 2014, according to Chronicle archives. State law allows a JEDD to be formed when municipalities and townships work together to develop township land for commercial or industrial purposes. Municipalities benefit from a portion of the taxes levied in the JEDD, while townships keep land for development, continue to collect property taxes and a portion of income taxes created by development and may utilize city-provided utilities such as water and sewer. Chronicle-Telegram reporters Dave O'Brien, Carissa Woytach and Laina Yost contributed to this story.