March 14, 2022

This past October, work came to an abrupt halt on The Villas at Sandy Creek, the 126-unit apartment development which is an integral component of Sandusky Mall’s revitalization.  Why was a multimillion dollar project scheduled to create hundreds of construction jobs derailed after years of planning and unprecedented support and collaboration with Perkins Township, Perkins Local Schools, Erie County Economic Development Corporation, and a number of other agencies, including the Erie Regional Planning Commission?  Why was the project’s Enterprise Zone Tax Abatement application delayed for months and then ultimately denied by the County Board of Commissioners despite the unanimous support of the region’s economic development officials?   Who is responsible for jeopardizing the future of Erie County’s retail economic engine that has generated $10’s of millions of property tax and sales tax revenues for the community since its inception in the 1970’s?

To find the answers to these questions, one need not look any further than the Erie County Board of Commissioners – specifically Commissioner Patrick Shenigo and Commissioner Matt Old.  During the latter part of 2021, Commissioner Shenigo and Commissioner Old used their office to thwart Sandusky Mall’s plans.   Northeast Ohio based CAFARO owns Sandusky Mall and the surrounding properties, including The Villas at Sandy Creek site.  As reported on October 27, 2021 in the Sandusky Register, Shenigo publicly denounced the plans by Perkins Township and Perkins Local Schools to assist the mall’s redevelopment.  Shenigo later was forced to recuse himself from further deliberations regarding Cafaro’s plans for the apartment development because of what Erie County Chief Assistant Prosecutor, Gerhard R. Gross, termed as a “conflict of interest” after consulting with the Ohio Ethics Commission.  The Ohio Ethics Commission investigates public officials when they utilize their public role in any action that involves the direct interests of the official or their business interests.  Per the County Auditor’s site, Shenigo is the registered agent for Timbers Edge apartments which abut Sandusky Mall and the new Villas at Sandy Creek apartment development.  Shenigo’s published statements along with any other actions he took in his official capacity opposing The Villas at Sandy Creek abatement application appear to be in violation of Ohio law because of his financial interest in this competing apartment complex along with a number of other Shenigo owned or managed residential properties in Erie County.

While Commissioner Shenigo did not cast a vote at the December 20, 2022 commissioners meeting, as the longest tenured commissioner who is known to have his finger on the pulse of on nearly all county business decisions, his influence over other county office holders and staff members, including Commissioner Old has been quite evident.  For his part, Commissioner Old cast the dissenting vote against the abatement application.  In a prepared statement, Old referred to a “need to improve our abatement process from start to finish” in alluding to the fact that Cafaro, Perkins Township, and Perkins Local Schools amongst others spent years crafting a plan which Old, individually, rejected.  Old cited amongst his reasons for the rejection was the fact that The Villas at Sandy Creek’s request did not “fit neatly into the guidelines” for enterprise zones, presumably because the Ohio legislature has not yet devised economic incentive programs to assist enclosed shopping malls which are now facing a similar fate once experienced by downtown retail and business districts of the 1970’s and 1980’s.  Old’s narrow view of a county’s role in participating in programs used statewide to spur private investment, jobs, and population gain is fortunately not shared by Commissioner Stephen Shoffner who cast the sole vote in favor of the abatement application.  In justifying his affirmative vote, Shoffner indicated that his support of this privately funded multimillion dollar project would provide much needed housing in the community and serve as a catalyst to reverse the nationwide negative trends impacting brick and mortar retail establishments.  He also noted that the Sandusky Mall is amongst the largest tax generators in Erie County perennially.  The Villas at Sandy Creek project would likely solidify these tax revenues which the local community depends upon.

Today, after nearly six months since preliminary site work was halted, construction activities resumed despite the fact that Cafaro’s plan for The Villas at Sandy Creek is now financially a much different proposition.  Cafaro Co-President and grandson of the company’s founder who initially developed Sandusky Mall in the 1970’s expressed his dismay regarding the experience he encountered dealing with two of Erie County’s commissioners.  “It is unfortunate that Commissioner Old and Commissioner Shenigo chose to jeopardize the future of the region’s only shopping mall,” echoed Anthony Cafaro, Jr.  “Nearly 50 years ago, Sandusky Mall was the catalyst for the commercial growth that now lines miles along Route 250 and provides thousands of jobs and tax revenues for the region.  Mr. Shenigo opposed a project that would compete against his personal business venture next door to the mall and Mr. Old obediently followed Mr. Shenigo’s lead as he has for the past five years – rarely, if ever, voting in opposition of Mr. Shenigo.  Despite these actions, my family has chosen to forge ahead with The Villas at Sandy Creek development – even if that means the possibility of profit for the foreseeable future is unlikely.  We have been invested in the Sandusky region for over a half century and we plan on being a valued business citizen for decades to come.  Erie County citizens deserve top quality retail, restaurant, and living options.  Citizens are also entitled to be represented by elected officials who look out for the community’s interests above their individual and political self-interests.  Hopefully Erie County voters choose wisely and vote for pro-business and pro-community officeholders in future years so that no other business seeking to invest here in the future is ever again faced with this sort of debacle.”

Today’s announcement marks the creation of hundreds of new construction jobs at the 15 acre apartment development in short walking distance from the Sandusky Mall’s shops and restaurants.  The Villas at Sandy Creek will begin accepting rental applications later this year for the initial phase of apartment units that are scheduled for completion by the end of this year.  Check Sandusky Mall’s website for updates and future announcements at www.sandusky-mall.com.