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Monday, October 09, 2000

Lebanon looks at business park deals




By Cindi Andrews
The Cincinnati Enquirer

        LEBANON — The city might look for another company to help market its business park after a situation developed that highlighted a potential conflict of interest with its current partner, real estate giant Henkle-Schueler.

        Doran Enterprises, now on Fields Ertel Road, had planned to move its race car construction and repair business into Henkle-Schueler's Lebanon Commerce Park. City Council, in fact, had already approved an incentive plan in which the city would have bought the site and leased it to Doran.

        But Kevin Doran, head of the 11-employee company, discovered recently — before finalizing the deal — that he could get a better deal at the city-owned Columbia park.

        Henkle-Schueler usually requires companies to use its own construction company, and Mr. Doran mistakenly believed he also would have to use Henkle at Columbia. He can save “tens of thousands” of dollars using a different builder, Mr. Doran said.

        Because of the savings, he has asked City Council to sell him a site in Columbia instead. Council seems amenable, and could vote on legislation at its meeting Tuesday.

        “It would certainly be a better deal for the city of Lebanon,” Councilwoman Jane Davenport said, to use its own parcel instead of Henkle-Schueler's more expensive land.

        The larger question is whether the city would be better served by having another company — or no company at all — market Columbia. City Manager James Patrick raised the possibility at a council work session Tuesday, citing the potential for a conflict of interest with Henkle-Schueler simultaneously marketing its own and the city's parks.

        Councilman James Reinhard isn't convinced there's a problem: “I think Henkle-Schueler Corp. has done a lot for this town.”

        Mike Schueler, the company's chief, has said the two industrial parks compete less with each other than with outside communities. His park is closer to Interstate 71 while Columbia is close to a rail line, for instance.

        Mr. Schueler did not return a call last week.

        Columbia has so far landed two companies: Franklin Brazing and Quantum Metals.

       



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