(rshsdepot) Youngstown, OH

["Bernie Wagenblast" <brwagenblast_@_home.com>]

Youngstown looks at B&O renovation


By WILLIAM H. OWEN
Tribune Chronicle


YOUNGSTOWN -- City Council Wednesday gave second reading to enter into an
agreement with William Marsteller, owner of American Steel City Industrial
Leasing, for a lease/purchase agreement to redevelop the old B&O Railroad
station and sublease it to Ohio Brewing Company as a
restaurant/entertainment facility.

The Ohio Brewing Company is operated by Chris and Michael Verich, who, along
with Newton Falls businessman David Hanson, formerly operated The Ohio
Brewing Company microbrewery and restaurant on the Strip in Niles now
occupied by Max and Erma's.

The restaurant staggered financially and finally closed in 1999.

ACSL has proposed a $250,000 renovation of the B&O property at 520 Mahoning
Ave. and would sub-lease to The Ohio Brewing Company.

Democrat Michael Verich had been the state representative from the 66th
District, representing Warren and southwest Trumbull County. Facing term
limits, he was appointed by the governor to the State Employee Relations
Board and had his brother Chris named to his General Assembly seat over the
objections of the county Democratic party.

The younger Verich was defeated in his first election for the House seat by
former Warren mayor Daniel Sferra.

The brewery has been kept alive because of a contract to brew and provide
Scrappers Ale for Mahoning Valley Scrappers baseball games.

The B&O renovation project is awaiting a final re-appraisal, which should be
completed this week, according to Economic Development Director Jeffrey
Chagnot.

He said the last appraisal was done in 1997, before a disastrous accident
damaged the building in 1999.

Chagnot said that during the coldest period of the winter of 1999 the gas
meter and lines at the restaurant became clogged with oil, shutting down the
furnace and freezing the fire suppression water lines in the upstairs crawl
space.

When the lines were cleared and heat restored, the sudden surge of pressure
as the water lines thawed set off the sprinkler system, causing major
wallpaper, paint and plaster damage to the interior of the structure.

Marsteller owns the former G.F. Furniture Systems and bought and renovated
the old Commercial Intertech hydraulic cylinder division and has found a
company to lease and reopen the facility.

Council also passed an emergency measure to open negotiations with the Small
Business Administration to provide refinancing for Anthony's-by-the-River.

The restaurant is now financed by a consortium of three banks, and working
with the SBA will lower the rate and extend the financing period to match
the cash flow of the business. Anthony's has been struggling financially and
officials are hoping that a proposed convocation center downtown will
improve business at the restaurant.

Council also approved legislation to pay for some emergency sewer and
waterline repairs. Marucci and Gaffney Excavating will be paid $103,485, the
cost of emergency sewer and waterline repairs on Goleta Avenue between Tod
and Bradley lanes.

The measure will go before the city's Board of Control this morning for
final approval of the measure. Because it was passed as an emergency
measure, it does not need to go through a process of competitive bidding.

Council also approved, as an emergency, a measure to arrange an interim
float loan of $625,000 to allow Allegra Print and Imaging, a division of
Customer Printing Inc., located on Mahoning Avenue at Steel Street, to buy
Postal Mail Sort Inc., also on Mahoning Avenue.

Allegra now has 16 employees, and Postal Mail Sort has 13. This purchase
will save the 13 jobs and allow Allegra to expand with another 20 jobs,
Chagnot said. The loan will run from 12 to 18 months.

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End of RSHSDepot Digest V1 #149
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