Acquiring dilapidated properties is an important part of spurring economic development, according to Wheeling City Manager Bob Herron, and that is why the city of Wheeling is expected to close on a three-acre property in East Wheeling within the next two weeks.
The city negotiated with owner Frank Callabrese a purchase price $150,000, far less than when the site was the most probable location for a $14.5 million public safety building. That plan, however, vanished once the city acquired the OVMC campus, including the Valley Professional Center that will be renovated into a new police department headquarters.
“We were able to get the price for the property down to a level that I believe is reasonable,” Herron reported. “And now that we have done all of the work necessary where we thought the Public Safety Building would go, it is my opinion that this site has a lot of potential for development in the future. What will help is that this area in East Wheeling is seeing some economic development already, so once it’s cleaned up, it is the city’s intention to sell the property to someone who will develop it.
“With the city of Wheeling, there are not many sites like this one because of its size and because it is flat land,” he continued. “Most of the properties that the city has acquired are usually a half-acre to an acre large, so this one is much different.”
After Closing, Clean-Up Follows
Once the environmental studies determined the land was not as contaminated as initially believed, Herron recommended moving forward with a less expensive purchase with the future in mind. The property was industrial for several decades before falling silent more than 20 years ago.
Asbestos removal is necessary as is demolition, and additional environment testing will be conducted over the next three years, Herron explained.
“Once we got into our due diligence concerning the possible acquisition, there was a lot of enthusiasm from the environmental clean-up community that the property was good and that this was an excellent project moving into the future,” Herron explained. “We discovered that it wasn’t going to be nearly as expensive as we initially believed.
“Based on all the information that we compiled, we found that the clean-up could be performed for approximately $150,000,” he said. “We will have to watch the property for any chemical movements for three years even though it has not moved during the past 100 years. Once it’s all complete, no other owners of that property will have to do a thing as far as environmental cleanup.”
Rare Flat Land
Under two former Wheeling mayors, Nick Sparachance and Andy McKenzie, the city of Wheeling began purchasing dilapidated properties within the 1100 block in downtown Wheeling. Then, in January 2016, McKenzie announced The Health Plan would construct a new headquarters on the cleared land.
Herron explained the reasons for acquiring the 19th Street property are very similar as the 1100 block.
“One of the things that cities across the country do when working on economic development is using land as an incentive,” Herron explained. “To me, this case is textbook because we’re taking a deteriorated site that more than likely would remain in that state for years to come. This way, we will own it, clear it, and clean it up so we can market it to a new owner.
“This is a way for us to check all the boxes as far as economic development is concerned,” the city manager added. “So, instead of that property sitting the way it is today for several more years, it will be prepared for what is next for that land.”
What could be next?
“The city does own a very valuable piece of property, and that is where our operations center is in the Clator neighborhood,” Herron said. “Of course, we need an operations center to provide the services a city must provide its citizens, but we have had our eyes open to watch for other potential sites for that operations center, and the property on 19th Street could be an option moving forward.
“Now, that’s not the main reason why we moved forward with this purchase, but it could give us the opportunity to market the land that is located along the interstate for a multi-purpose development,” he said. “It’s a possibility, yes, but nothing has been decided in that respect.”
