The $128 million first phase of Valor Acres, on the site of a former Veterans Administration hospital in suburban Brecksville, won financing today from the Port of Cleveland’s board of directors. Up to $93 million in bonds were provided to help build nearly 437,000 of housing, retail and offices (DiGeronimo). CLICK IMAGES TO ENLARGE THEM.
Projects are in Cleveland, Richmond Hts, Brecksville
The Cleveland-Cuyahoga County Port Authority’s board of directors today approved $170 million in bond financing to fuel a series of high-impact projects, including a large redevelopment of land that contained a former Veterans Administration facility, a major manufacturing expansion, and refinancing bonds for a nonprofit school that will free up more resources for more renovations.
These investments underscore the port authority’s pivotal role in driving economic growth, facilitating access to the tax-exempt bond market, and supporting cultural institutions across the region utilizing its credit enhanced bond fund program. This summer alone, the port has approved more than $311 million in bond financing with awards made in June and again in July, reflecting the significant demand for its regional development services.
“These projects, coupled with others approved by the port board in recent months, show just how crucial this agency’s support is for economic development and community growth,” said Rhonda Winslow, vice president of development finance at the port authority, in a written statement.
J. Stefan Holmes, chairman of the port board, said “The depth of these projects, coupled with others before the board in recent months, show just how much the port can do to help economic growth and development in Greater Cleveland.”
The Highland Business Center on Highland Road, near the Richmond Heights-Euclid line, is due to be expanded to accommodate the continued growth of Momentive Technologies’ manufacturing of quartz for semiconductors and aerospace uses (Google).
The largest funding award approved today went to build the first phase of the Valor Acres redevelopment in Brecksville. Developer DiGeronimo Companies of Independence will receive approximately $93 million in lease revenue bonds. DiGeronimo and affiliate Independence Construction will relocate their headquarters to the site.
This ambitious mixed-use development, on the former Louis Stokes Cleveland Veterans Administration Medical Center site, will include residential units, retail space, and office buildings, with 292 permanent jobs expected upon completion. This does not include Sherwin-Williams’ new 600,000-square-foot research and development center which is a separate project onsite and is already under construction.
Valor Acres’ first phase includes five buildings with a total project cost of about $128 million on about 23.75 acres at the intersection of Brecksville and Miller roads, just off Interstate 77. The initial phase of development will have a total of 221 residential units totaling 221,204 square feet plus 70,000 square feet of retail space and 146,000 square feet of office space. Full build-out of Valor Acres among all phases is estimated at about $679 million.
Momentive Technologies’ expansion of a manufacturing facility at 24400 Highland Rd. in Richmond Heights was awarded up to $50 million in lease revenue bonds. It was approved for the $40.2 million expansion of Momentive Technologies’ High Quality Quartz production facility. The company is headquartered in Strongsville.
Constellation Schools’ Stockyard Community Elementary school, 3200 W. 65th St., in Cleveland’s Stockyards neighborhood, is among the company’s facilities that will receive funding for physical improvements (Google).
This project, critical to industries ranging from semiconductors to aerospace, will see a significant upgrade with new furnace equipment and a reconfigured, modernized manufacturing process. The expansion, covering 18,000 square feet on a 26-acre site, is expected to be completed over five years, and adding 14 skilled jobs to this global company that has approximately 850 employees.
The port refinanced Constellation Schools’ $35 million in tax-exempt bonds that were issued 10 years ago at a lower rate, port officials said. That allowed an additional $4.2 million of the newly refinanced bonds to be available for upgrading its existing facilities.
Renovations include window replacements, new HVAC, tuckpointing, paving, painting, lighting and more at five of its schools — Parma, Stockyard, West Park, Old Brooklyn and Madison. The latter four are all in Cleveland. Constellation manages 20 school with a total of more than 4,400 students and 550 employees.
Lastly, the port partnered with the Toledo-Lucas County Port Authority and the Columbus-Franklin County Finance Authority to help finance $20 million worth of energy efficiency improvements at the Toledo Museum of Art. The Port of Cleveland’s share is $7 million in tax-exempt Property Assessed Clean Energy (PACE) revenue bonds.
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