The former Firestone headquarters and Plant No. 1 building is on its way to joining an elite group — becoming part of a historic district.
This designation celebrates the past — but is all about the future.
Developers planning to buy the century-old Firestone property in South Akron would use the historic designation to apply for historic preservation tax credits. The developers would then use the credits to help finance their proposed redevelopment of the buff brick building and adjoining properties. They envision a multiple-tenant complex of new offices, lab space and other uses.
Developer David Marshall, in negotiations with possible tenants, said the designation and tax credits are crucial: “In this economy, in order to make the project economically feasible, we need the historic tax credits.”
Marshall said it’s too early to determine the cost of redevelopment so it’s hard to say how much in tax credits would be sought.
However, he said, the credits would finance a significant portion of the redevelopment of the properties off South Main Street.
“It’s impossible to [determine a redevelopment cost] because what we’re building is to the needs of the tenants,” Marshall said. “One business could say we need laboratory space, and for another business, it could be wide open space” that’s needed.
Marshall, owner of Amerimar Realty in Philadelphia, said he is negotiating with possible major tenants for the Firestone “clubhouse” and “triangle” buildings. The four-story triangular-shaped building, built between 1916 and 1930, is north of the headquarters/plant building; the clubhouse, built sometime before 1916, is east of the plant.
Built in 1910
The headquarters/plant building was built in 1910 under the tenure of Firestone founder Harvey Firestone. The five-story structure features an eight-story clock tower.
The historic preservation tax credits are designed to spur the rehabilitation of historic properties. Developers help to finance their projects by selling the federal and state tax credits to investors, who use them to trim their tax bills.
Brad Beckert, development engineering manager for Akron, said City Council members are likely to approve the historic designation next month. The city’s planning commission recommended approval this month.
The city of Akron is the owner of the buildings. It got involved with the complex about four years ago, when Firestone’s owner, Japan-based Bridgestone Corp., said it planned to build a new tech center in Tennessee or Ohio. Akron officials, in a deal designed to keep the tech center in town, agreed to pay $5 million for the property.
Akron got the new tech center — the $100 million facility opened last April.
Bridgestone still makes Firestone-brand racing tires at the old plant. (Bridgestone took over the property when it bought Firestone in 1988.)
Marshall entered the picture last year, securing from the city an option to buy the headquarters/tire plant building, as well as related property. He plans to buy the property for the same amount the city spent to buy it — $5 million. The idea was to give Marshall time to drum up tenants.
Another designation
Separately, the City Council will soon consider a historic designation for the red brick building at 237-243 Furnace St. at the northern fringe of downtown.
Advertising and marketing company WhiteSpace Creative plans to relocate there from a nearby spot downtown.
A sale of the property to WhiteSpace is pending.
City documents indicate that WhiteSpace will seek tax credits to help with financing for redevelopment of the property, which was constructed in 1893 to house the Akron Soap Co.
Katie Byard can be reached at 330-996-3781 or kbyard@thebeaconjournal.com.