Benchmarks 2018 | Section A | Business & Industry by The Greeneville Sun

The Greeneville Sun, Benchmarks Edition â&#x20AC;&#x201D; March 17, 2018

Business & INDUSTRY SECTION

BENCHMARKS

Page 2

The Greeneville Sun Benchmarks Edition

GreenevilleSun.com

Saturday, March 17, 2018

Lawson Adds Nissan To Gateway Dealerships Gateway Owner Purchased Franchise From Cappo Group BY MICHAEL S. RENEAU EDITOR One by one on March 7, more than 100 Nissan cars, trucks and SUVs made the 3.4-mile drive across Greeneville from their former Bachman Drive dealership to Gateway Ford-Lincoln-Mazda, the spot where owner Lennie Lawson plans to build a new Nissan showroom by the end of the year. Calling the Nissan brand a “powerhouse” in the region, Lawson purchased the Greeneville Nissan franchise, formerly owned by Phil Bachman and Myron Bernard, just before the Nissans were transferred to the Gateway lot. Lawson purchased the Nissan franchise from Cappo Management and its Victory Automotive Group, which acquired the Bachman-Bernard Nissan-ChryslerJeep-Dodge-Ram dealership in early 2016. All Nissan inventory was moved from the 500 Bachman Drive location of the Greeneville Nissan-Chrysler-Jeep-DodgeRam dealership to the Gateway site immediately following the deal’s closing Wednesday morning. Gateway is located at 1055 W. Andrew Johnson Highway. Terms of the deal were not disclosed. Lawson’s purchase is only for the Nissan franchise. Cappo Management and its dealership group will retain ownership of the Chrysler-Jeep-Dodge-Ram franchise. Co-owner Eric Cappo said the day the deal closed that the group has no plans to sell the ChryslerJeep-Dodge-Ram dealership and isn’t planning on any operational changes there. In addition to Nissan vehicles, Lawson’s new Gateway Nissan will also oﬀer full service to Nissan owners who purchased their vehicles at Greeneville Nissan or elsewhere. A separate service line will handle Nissans once the new showroom is complete by the end of 2018, according to Lawson. “We are excited about welcoming all current Nissan owners, regardless of where they purchased their Nissan, to take advantage of all of the services we oﬀer at Gateway,” Lawson said in a news release. “We have worked very hard to build the highest volume service and maintenance center in Greeneville and our growing customer base will attest to that fact.” The purchase will also mean more employees at Lawson’s Gateway store. He said he plans to hire three dedicated Nissan technicians and eight to 10 more salespeople. “Nissan owners will love our

PHOTO SPECIAL TO THE SUN

Members of the Lawson family stand next to a Nissan SUV following the purchase of Greeneville Nissan. From left are owner Lennie Lawson, HR Administrator and Title Clerk Audra Lawson, Fixed Operations Manager Abby Lawson and Gateway Auto Centers General Manager Max W. Lawson III.

SUN FILE PHOTO BY MICHAEL S. RENEAU

Gateway Ford-Lincoln-Mazda Sales Manager Ben Nelson directs a Nissan car onto the lot hours after Gateway owner Lennie Lawson’s purchase of the Greeneville Nissan franchise.

affordable, fast and high-quality menu of services using a choice of genuine Nissan parts or high-quality aftermarket alternatives,” Lawson said in the release. “In addition, we offer free loaner cars, extended guarantees on parts and labor and new Nissan buyers will benefit from our exclusive lifetime powertrain warranty, just like our Ford, Lincoln and Mazda buyers.” Nissan’s popularity made it an attractive brand to add to his offerings, he said. “Nissan is just a powerhouse in upper East Tennessee,” Lawson said in a separate interview.

He has been in talks to purchase the dealership with owner Jeﬀ Cappo for several months. “I want to personally thank the Cappo organization, owners of Greeneville Chrysler-DodgeJeep-Ram, for their courtesy, professionalism and allowing us to have this opportunity,” Lawson said. “Every manager and employee there treated us extremely well and did everything possible for a smooth transition for us and for their customers. We wish them the very best with their store here in Greeneville for years to come.” Lawson hopes keeping Greene

County drivers buying vehicles sold by Greene County dealers will benefit the county as whole. “Anytime a person buys a new or used car in another county, Greeneville and Greene County loses sales tax revenue,” Greene County Mayor David Crum said in the news release. “People buy what they want and where they want to, but local services would be a lot better oﬀ if more money was spent in Greeneville/Greene County, and not in someone else’s county. It makes a big diﬀerence for every county and city service. I don’t think most people realize that fact. For that

reason alone, we are very happy that Nissan is staying right here in Greene County at Gateway.” In addition to a new Nissan showroom at his Gateway facility, Lawson will also be remodeling the Ford showroom. Both brands wanted visibility along the Andrew Johnson Highway, Lawson said. Other than the vehicles themselves, Lawson’s purchase also includes service records from Greeneville Nissan, so owners who chose to service their vehicles at Gateway Nissan should have a smooth transition to a new location and new personnel, Lawson said. “That’s a very high priority for me — service,” Lawson said. Change in the automotive sales sector isn’t anything new for Lawson or Greeneville in general. Lawson’s father, Max Lawson, came to Greeneville and purchased the Chevrolet store in 1971. Lennie Lawson joined the company in 1978. “Claude Hurley opened the first car dealership in Greeneville in the early 1900s,” Lawson said. “He sold Ford cars, Fordson tractors and eventually GMC and Jeep products. Glenn Bewley opened a Chevrolet store in Greeneville and Sam Riley opened one in Mohawk. Greeneville even had a stand-alone Buick dealership and others that sold Desoto, Imperial, Packard, Pontiac, Mitsubishi, Subaru, Honda, Fiat, Simca, Datsun and many more. Now there are just three dealerships in Greeneville oﬀering three domestic brands and two imports, and we don’t need to lose any more.” Greeneville Nissan was formerly part of the Bachman-Bernard Chrysler-Jeep-Dodge-Ram-Nissan dealership until Bachman and Bernard sold it to Cappo’s Victory Automotive Group in early 2016. The group also owns and operates Tri-Cities Nissan in Johnson City, Tri-Cities Chrysler Dodge Jeep Ram in Kingsport and East Tennessee Nissan in Morristown. Phil Bachman opened the dealership in 1972 but has sold oﬀ several dealerships in recent years. Victory Automotive originally announced plans to build a new Nissan showroom in Greeneville following the 2016 purchase, but those plans never materialized. Lawson said in the news release that all Nissan owners could come receive a free gift at the Gateway dealership. The dealership website will be online soon at www.gatewayfordnissan.com, and the phone number is the same as the Ford dealership: 639-5151, Lawson said. “If any owners have questions, they can call or email me at lennie@gatewayfordnissan.com, and I will be happy to assist them,” Lawson said. “If any Nissan owners have immediate service, repair or maintenance needs including warranty and recalls, just call or drop by. New signs are up to direct new customers to our service drive-thru where they will be greeted at their cars.”

SUN FILE PHOTO BY MICHAEL S. RENEAU

Gateway Nissan owner Lennie Lawson plans to build a new Nissan showroom at the Gateway Ford-Lincoln and Mazda dealership at 1055 W. Andrew Johnson Highway.

SUN FILE PHOTO BY MICHAEL S. RENEAU

New Nissan vehicles sit on the lot of Gateway Ford-Lincoln-Mazda after Gateway owner Lennie Lawson purchased them from Greeneville Nissan. The new Nissan dealership will be known as Gateway Nissan.

What’s Inside Lawson Adds Nissan To Gateway Dealerships 2 Tusculum Aldi Market Opening In Spring 3 JC Penney Closes After 89 Years In Greeneville 3 Largest Anchor Store In Greeneville Commons Closing In April 4 Vapor Leak Highlighted Challenging Year For US Nitrogen 5 LMR Plastics Changes Ownership 9 Vacancies Plague Greeneville Commons 10 Several Retail Developments Planned Or Progressing 10 TIF Plan Now In Place As Economic Tool For Revitalization Of Downtown 11 County Banking Options Shift And Shrink 12 Mosheim Exit 23 Development Moves Full Speed Ahead 13 Many Businesspersons Recognized In Past Year 14

Advertising Index American Greetings Apex Bank Bachman-Bernard Chevrolet-Buick-GMC-Cadillac CHASAN Greene County Partnership Greeneville Iron & Metals, Inc. Employment Guide Hix BBQ & Catering Industry Guide Jarden Zinc Products LMR Link Hills Country Club Professional Vending Services Summers-Taylor Inc. Transport Technologies

3 5 16 12 14 14 15 9 6&7 3 13 11 4 8 12

GreenevilleSun.com

Saturday, March 17, 2018

SUN PHOTO BY KEN LITTLE

Work on the exterior of the new Aldi store off East Andrew Johnson Highway in Tusculum was nearing completion in February.

Tusculum Aldi Market Opening In Spring BY KEN LITTLE STAFF WRITER Confirmation of the opening of an Aldi market in Tusculum was met with enthusiasm by the public and officials in the City of Tusculum. The projected opening date for the store at 3800 E. Andrew Johnson Highway is set for April, according to a company official. Crews working on-site in March were putting finishing touches on the exterior and interior of the store, which is located next to Consumer Credit Union headquarters and across U.S. 11E from Walmart. “We are excited to confirm Greeneville will be home to a new ALDI store in April 2018. We will be in touch as more information becomes available. We look forward to bringing the Greeneville community high-quality groceries at the lowest possible prices,” Shaun O’Keefe, Aldi Jefferson Division vice president, said in a recent email statement.

The discount supermarket chain currently has more than 1,600 stores in 35 states, serving more than 40 million customers every month, O’Keefe said. Regional Aldi stores are already located in Johnson City, Morristown, Kingsport, Bristol, Sevierville and several in the Knoxville area. The Tusculum store will cover about 18,000 square feet with five aisles of sales floor space. It will employ between 10 to 15 people, an Aldi spokesman said recently. The German-based company operates about 9,200 locations worldwide, an Aldi representative recently told Tusculum oﬃcials. Aldi’s U.S. corporate headquarters is located near Chicago. Tusculum city oﬃcials are looking forward to the store opening. The city has no property tax and additional sales tax revenues will help the city with services to residents. Mayor Alan Corley said recently that, based on Aldi’s revenue projections, SEE ALDI ON PAGE 4

SUN FILE PHOTO

A piece of Greeneville retail history came to an unceremonious end in summer 2017 when the letters identifying the now-closed JC Penney store were removed from the building.

JC Penney Closes After 89 Years In Greeneville BY KRISTEN EARLY ASSOCIATE EDITOR Greeneville JC Penney’s doors locked for the final time July 31, 2017, after the company closed that location and 137 others across the nation. Since that time, the location of the former anchor store has remained an empty storefront. Brixmor, the New York-based company that owns and operates the Greeneville Commons where JC Penney was last located, said in February that retailer negotiations are progressing, but not yet at a stage to make any public announcements.

Ross Area Supervisor Leigh Marshall said a Ross store is being located in Greeneville, possibly in the former JC Penney, but Brixmor spokesperson Kristen Moore wrote in an email response to questions about a potential Ross: “We have been working for over a year to add new best-inclass retailers and services that meet the needs of the Greeneville community today. We look forward to announcing these new tenants over the next few months.” JC Penney originally slated the store for closure April 17, 2017, but delayed after the announcement brought a surge in sales. SEE CLOSING ON PAGE 4

The Greeneville Sun Benchmarks Edition Page 3

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The Greeneville Sun Benchmarks Edition

Saturday, March 17, 2018

GreenevilleSun.com

Largest Anchor Store In Greeneville Commons To Close In April BY KRISTEN EARLY ASSOCIATE EDITOR After dodging several rounds of cuts, parent company Sears Holdings named Greeneville’s Kmart store among those slated to close in early April. A Sears Holdings statement posted in early January listed Greeneville, Crossville and Goodlettsville as the Tennessee stores to face closures. “Sears Holdings continues its strategic assessment of the productivity of our Kmart and Sears store base and will continue to right size our store footprint in number and size. In the process, as previously announced we will continue to close some unprofitable stores,” the statement says. The January announcement included 64 Kmart stores and 39 Sears stores, all of which will close by early April. Liquidation sales began in mid January. Sears Holdings was at the top of national lists of retail chains likely to meet their end tin 2018 after the company spent 2017 announcing round after round of store closures and oﬃcials admitted “substantial doubt” the company could remain in business over the long term. The Greeneville store is the largest anchor in the Greeneville Commons, which since the 1990s has been the retail center for the town. Today, however, vacancies plague the shopping center. Already, over one-third of the storefronts sit empty — eight of the 23 shops. Unless a new shop takes up one of the existing vacancies before Kmart closes, that loss will leave the shopping center nearly 40 percent vacant. Because Kmart is by far the largest, and JC Penney, which closed in July 2017, was another anchor that sits empty, the percentage of empty square footage will be far more. Brixmor, the company that owns and leases the Greeneville Commons, provided a statement regarding the recent losses and standing vacancies. “While it is diﬃcult to let go of stores many of us have grown up with, these closures provide an excellent opportunity to bring new retailers and services that meet the needs of the Greeneville community today,” the statement reads. “We have been proactively working with a number of national retailers to fill not only the two anchor boxes at Greeneville Commons, but also the small shop space. These negotiations are at various stages in the leasing cycle and will be announced upon completion, which we expect within the next few months. We are targeting expanding best-inclass retailers in general merchandise,

CLOSING CONTINUED FROM PAGE 3

“Since announcing store closures, affected locations have seen better-than-expected sales and traffic, which is common when store closures are announced,” JC Penney spokesperson Joey Thomas wrote in a 2017 email to The Greeneville Sun. “Traffic typically increases in closing store locations for a variety of reasons, including curiosity, nostalgia and the lure of lower prices. Meanwhile, it’s advantageous for the company to continue selling through spring and summer merchandise at current promotional levels by pushing liquidation back another month.” The closures were part of the company’s previously announced plans to focus on its best-performing stores. About 5,000 jobs were to be cut due to the closures, JC Penney said. The company had about 105,000 full and part-time employees in 2017. The closings left JC Penney with a total of about 900 stores. The department store had been a longtime fixture in Greeneville, appearing first on Depot Street in 1928 before moving to its Greeneville Commons location in the 1990s. Dot Culton was the supervisor of the Greeneville store’s office operations for many years, though she started in layaway and sales audit. When Culton began work at JC Penney, it was located on Depot Street in the building now used for the central office of Greeneville City Schools.

ALDI CONTINUED FROM PAGE 3

the city should receive about $65,000 a year in sales tax revenue from the business. “I am excited that Aldi’s is on track to open in April. Much excitement about the Aldi’s has been expressed to me by residents all over Greene County,” Corley said. Barbara Britton, Tusculum vice-mayor, recently visited the Johnson City Aldi to look over the store. It was full of shoppers, a scene

SUN PHOTO BY KRISTEN EARLY

Signs advertise a “New Year Clearout” sale at Kmart. A January statement by parent company Sears Holdings said the store will close by early April.

apparel and shoes, pets and fitness.” It goes on to say that the center has a draw of “close to 20 miles away,” with an appealing location and accessibility. In September, representatives of Retail Strategies, a company the Greene County Partnership paid to market the county, indicated retailers have stalled in conversations regarding new development. Instead, those retailers may have been in conversation with Brixmor about potential availabilities where Kmart and Belk are currently located, the representatives said. “They didn’t mention the vacancies, but I think that’s what happened,” Retail Strategies Portfolio Director Wesley Vaughn said. “Brixmor just has to pick who they’re going with and then find out when Kmart is closing.” “It’s unfortunate,” Greene County Partnership President and CEO Matt Garland said. “We hate to see a retailer pull out of our community, but it wasn’t unexpected. We have been looking at diﬀerent projects for the Commons. There’s a couple of ideas in place both for the Penney’s building and with Kmart.” When discussing the possibility of Kmart closing, Retail Strategies

spokespeople said they had pitched Greene County to an arts and crafts store with sales of $4 million that would add 40 jobs. During their presentation they also mentioned a farm and home store with sales of $10 million that could add 60 jobs as another potential candidate to locate somewhere in the town. As of this publication, the Partnership had not yet decided whether it will renew its contract with Retail Strategies for the company to continue their marketing work and could decide to go with a diﬀerent firm.

“One thing I’ve got to say about the JC Penney store was that those of us who worked there were family,” she said in an August 2017 interview. “We watched out for each other. We took care of each other.” She also cited a point of pride: a JC Penney president got his start in the company working for the Greeneville store. That man was Cecil L. Wright, a Greeneville native who, at the time of his death in Florida in 1983, was a former president and chief administrative oﬃcer of the JC Penney Company. He was 74 years old when he died. Wright was president of JC Penney from 1968 to 1972 and a director until 1979. He began working for JC Penney at the age of 19 in Greeneville. Before being named executive vice president in 1967, he was vice president, general sales manager and merchandise manager for the chain. Following the company’s store closure announcement, Greene County Partnership President and CEO Matt Garland said, “We’re sad to see JC Penney go, but we understand that [the corporate oﬃce] had a decision to make.” Garland later said that the Partnership is actively at work trying to find a replacement for JC Penney. “We hopped on it really quick,” he said. “We were immediately in contact with our retail folks. They were very quick to say they’ll be digging around to look to fill that with a comparable retailer.” According to Retail Strategies

Portfolio Director Wesley Vaughn, the delay in getting another retailer, or two, in that spot is due to JC Penney having the lease for two more years, he said. Retail Strategies is a firm hired by the Partnership to market Greene County to retail and restaurant owners. JC Penney has tried to sublease the space, while Brixmor is also trying to move forward with leasing it. “There are a lot of prospects for the JC Penney,” Vaughn told members of the Greene County Partnership in September 2017. Brixmor is going to approach the entity interested in subleasing the space in an attempt to develop a deal that way, he said. According to a news release from the store’s corporate oﬃce, the closure is part of “continuing eﬀort to advance sustainable growth and long-term profitability” for the company as a whole. “JC Penney Company Inc. will be closing 138 stores, one supply chain facility in Lakeland, Florida, and relocating one supply chain facility in Buena Park, California, to align the company’s physical store footprint and omnichannel network,” the release notes. “Additionally, JC Penney will provide outplacement support services for those eligible associates who will be leaving the company.” In addition to the Greeneville location, other Tennessee stores closed include store at the Knoxville Centre Mall, in Knoxville, and one at the County Market Place, in Union, Tennessee.

Britton hopes to see repeated in Tusculum. “I’ve heard so many positive comments about Aldi. I’m looking forward to seeing it opening here,” Britton said. City oﬃcials are hopeful the new Aldi will encourage other retailers to locate along the U.S. 11E commercial corridor that runs through the city. In 2016, the Tusculum Planning Commission approved a replat request for four acres of a 28-acre William Russell property in the city just south of College Hills Drive near the Zoomerz service station on East

SUN PHOTO BY KRISTEN EARLY

Kmart, the Greeneville Commons’ largest anchor store, will close by early April.

Andrew Johnson Highway. There is ample room for the development of more businesses at the site bordering Greeneville, Tusculum oﬃcials have said. Britton and Corley have both mentioned the possibility of a hotel being built on Morgan Road near the Tusculum boundary that could have a positive eﬀect on business in the city. Revenue will also be derived from the Chik-Fil-A restaurant opening soon on the Tusculum College campus. “I certainly hope so. Maybe if this (hotel) goes it will spur some development for Tusculum,” Britton said.

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The Greeneville Sun Benchmarks Edition Page 5

Vapor Leak Highlighted Challenging Year For US Nitrogen which could constitute a threat to human health or the environment.” TDEC issued a response, affirming its position, and giving US Nitrogen longer to produce action plans to deal with the deficiencies it noted.

BY MICHAEL S. RENEAU EDITOR Despite an announcement that it had achieved full production capability in early 2017, US Nitrogen faced pressure from local citizens and regulators after a nitric acid vapor release in April and other issues. In response, the company is taking part in an alert system with other Midway-area manufacturing facilities and added an audible siren system meant to warn residents within a 2-mile radius of the plant should there be another emergency. US Nitrogen produces liquid ammonium nitrate, a component for blasting agents produced by parent company Austin Powder.

PRODUCTION ISSUES, COMPANY RESPONSE

NITRIC ACID RELEASE

SUN FILE PHOTO

A little after 6 p.m. on April 19, 2017, a broken gasket at US Nitrogen’s Pottertown Road facility released about 424 pounds of nitric acid vapors into the air, according to an October Tennessee Department of Environment and Conservation report. The release elicited a response from several local and state emergency agencies, including sheriff’s deputies who went knocking on doors of nearby residents to warn them to shelter in place and turn off air conditioner units in their homes. The gas eventually dissipated, and TDEC and US Nitrogen officials said they found no evidence of any injuries from the incident, though at least one person has said she has suffered eye problems after the release. TDEC issued a report in October saying TDEC would not be penalized for the release due to technicalities in federal law but also because not enough nitric acid was emitted to warrant a penalty. TDEC regulators don’t believe the environment or human safety were affected by the release, they wrote. Still, the incident triggered talks that eventually led to Greene County beginning its own countywide alert system for emergency notification, to which US Nitrogen contributed funds. Midway-area industries pooled resources to begin an alert system to alert each other of similar incidents in the future. And US Nitrogen eventually paid for and

The Greeneville-Greene County Hazardous Materials Unit was one of many ﬁrst responder agencies that went to the scene of a nitric oxide vapors release April 19, 2017, at US Nitrogen on Pottertown Road.

erected two sirens on its property to warn the public within a 2-mile radius of such an event. Those sirens were deemed operational in early 2018.

tive difference in how analytical results are averaged for monthly reporting,” he said. Helton said the administrative discrepancies, such as the proper way to mark out incorrect entries in logbooks, were already being addressed. The report also cited an “operational mishap” in early 2017 that resulted in the mixing of steam and condensate with ammonium nitrate solution. The affected water was contained on site in a lined pond system and US Nitrogen flushed and refilled the system and worked to eliminate the ammonia and nitrate solution. It was contained on-site until it could meet the permitted discharge parameters, Helton said. The TDEC report noted that TDEC should be notified when such mishaps happen. There were also some water and sanitary sewage releases to unpaved areas on the site. TDEC said in the report that releases to unpaved areas meet the definition of releases to the environment. The report said regardless of quantity, a spill to the environment is required to be reported. TDEC officials say the chemical plant should report those types of situations to the state. But Helton contended the plant did not violate their permits. Other noted items included a water flow meter not being

TDEC REPORT A state inspection report released in November 2017 highlighted a number of deficiencies at US Nitrogen, many of them involving record keeping matters, and oﬃcials at the chemical plant have vowed to submit a plan of action to the state next year on how they plan to correct the issues. The Tennessee Department of Environment and Conservation compiled a 17-page compliance inspection report and notice of violation. The inspection, a routine one checking for compliance with current permits, was done on-site by TDEC and the Environmental Protection Agency between Oct. 17 and Nov. 15 of this year. Many of the items had to do with reports and record keeping. US Nitrogen had incorrect calculations for monthly water discharge reports. Robbie Helton, US Nitrogen Safety and Administrative Services manager, said in late 2017 the deficiency was not related to the plant’s discharge performance or incorrect analytical results. “It is simply an administra-

verified, laboratory logbooks not being reviewed often enough, some incorrect documents, improper documentation or a lack of documentation. Maintenance of barriers preventing pollution was needed as well as the stabilization of a pile of soil. “US Nitrogen documents and reports all routine and non-routine plant activities per our requirements under our permits, and state and federal regulations,” Helton said. “We have, in fact, gone well above and beyond the communication requirements in our interactions with our regulatory agencies.” US Nitrogen responded to the report in early 2018, with oﬃcials saying they didn’t consider many of the issues cited in the report as permit violations. “US Nitrogen does not believe that most of the ‘deficiencies’ mentioned in the report constitute violations of any statues, regulations or permits,” Plant Manager Andy Velo said in the response. “Additionally, the report consistently fails to identify the specific applicable statutory, regulatory or permit requirements that were allegedly violated. “Finally, US Nitrogen notes that the report does not identify any noncompliance which could cause a threat to public drinking supplies, or any other discharge

During back-and-forth communications with TDEC, Velo also communicated in March 2017 that “market conditions, equipment limitations and safety considerations” led to production slow-downs in early 2017. Velo said in the letter that “the market for our product has changed such that we are able to produce more nitric acid and more ammonium nitrate than we can sell. “These market conditions are certainly beyond our control, and we certainly did not anticipate them.” According to a company statement issued in March, in calendar year 2017 US Nitrogen shipped a total of 68,642 tons of finished liquid ammonium nitrate for parent company Austin Powder. “US Nitrogen has taken every opportunity to grow and improve its operations during the startup phases of the facility both internally and in concert with our community,” the company statement said. “Our internal philosophy requires that we take the proper steps in identifying improvement opportunities and apply those to our processes and procedures. It is our goal to operate our plants in a safe and compliant manner that meets all regulatory requirements.” US Nitrogen oﬃcials also pointed out what they said were signs of their partnership with the Greene County community, including: • contributing a majority of the funding and building materials for a fire training center to be located in Greeneville, which is scheduled to be completed in mid-2018; • a “significant” financial contribution to the countywide Greene County 911 emergency alert system; and • the development of the industrial alert system as well as the audible siren warning system.

Visit Any of Our Greene County Locations ANDREW JOHNSON

WEST MAIN

3095 East Andrew Johnson Highway, Greeneville, TN 37745

1118 West Main Street, Greeneville, TN 37743

636-1555

278-9527

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INDUSTRY Guide 54 years in shipping steel from the west coast to the east.

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"Proudly located in a Historic Building built 154 years ago."

Our employees are our #1 asset. Midway, Tennessee

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Built on a Heritage of Excellence

C&C Millwright Maintenance Co. Offers cost-effective turnkey solutions to your engineering, construction, rigging and maintenance needs. We command a global presence, but it’s our small-town work ethic and commitment to excellence that sets us apart.

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311 Old Knoxville Hwy, Greeneville, TN • 1-800-851-8494 • 423-639-0131 www.ccmillwright.com

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Mosheim Welcomes

Business & Industry

More and more people and businesses are choosing to locate in Mosheim. In Mosheim we’re ready to assist, develop and grow with Greeneville, Greene County and our industrial prospects and their projects. Infrastructure is readily available and includes water, sewer, gas, and electrical.

Mosheim is a progressive community that is growing and a desirable location for families and new industries to locate. Come out! Look us over! Join us in our future growth and progress.

Stop in and visit the Town of

Thomas L. Gregg, Jr., MAYOR

Audrey Fincher Dave Long, ALDERMAN ALDERMAN

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395 T. Elmer Cox Drive Greeneville, TN 37743 www.huf-group.com 450 employees Huf develops and manufactures complete solutions for Car Access Security and Immobilization (CASIM) for the automotive industry and has grown from the tradition of a family business to become a leading partner in the industry with locations worldwide. Our aim is to be the market leader and ensure that we always keep to our corporate vision…the intelligent touch to cars.

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Saturday, March 17, 2018

The Greeneville Sun Benchmarks Edition Page 7

INDUSTRY Guide 1230 Pottertown Road Midway, TN 37809

175 Holder Rd. Afton, TN 37616

C.N.C. Production Specialists

Phone 423-638-9000 • Fax 423-638-9033 www.precisionmw.com BOB CUTSHALL Cell: (423) 620-5377 TIM CUTSHALL Cell: (423) 620-5378 ROBYN CUTSHALL MURRAY Cell: (423) 620-5379

790 W. Andrew Johnson Highway Greeneville, TN 37745 (423) 823-9641

President timpmw@embarqmail.com robynpmw@embarqmail.com

Proud member of the Greeneville/Greene County business community for over 40 years. P.O. Box 1890, Greeneville, TN 37744 ~ www.jardenzinc.com ~ 423-639-8111

SumiRiko Tennessee, Inc. Formerly

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US Nitrogen is a proud member of the Greene County business community.

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At Worthington Industries, we operate by a people-first philosophy rooted in the Golden Rule. That same philosophy extends to the machine operators who use our products. Their safety and comfort is our top priority. As industry leaders in the design and manufacture of operator cabs for mobile equipment, our expertise spans from small turf-care equipment to the largest mining trucks in the world.

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423-636-3300 www.tiautomotive.com # of Greeneville employees = 167

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Saturday, March 17, 2018

The Greeneville Sun Benchmarks Edition Page 9

LMR Plastics Changes Ownership BY KRISTEN EARLY ASSOCIATE EDITOR FLORENCE, Ky. — Parkway Products LLC announced in November 2017 that it acquired LMR Plastics from Greeneville’s Leonard Industries Manufacturing LLC. LMR Plastics is located at 1609 Industrial Road. “The Greeneville team is really excited about being a part of a larger organization,” LMR Plastics President Bob Leonard said in a November interview. He said he will not retain the title of president with LMR, but will remain throughout the transition for a couple years as a consultant. “The rest of the management team is going to stay the same,” Leonard said. “The current plan just right now is to operate the facility as we have been,” without changes to employee numbers or the client base,” he added. “We’ll look for opportunities. We are looking for things on down the road, but we’re not ready to announce those right now.” Parkway Products is “very much committed to having the LMR plant in Greeneville,” Leonard said. “We have several key customers in Greeneville. The plant here performs well. They signed several longterm leases. They are very much looking forward to making a longterm commitment in Greeneville.” He described Parkway as a good fit for LMR, with the same focus on employee welfare and customer service. The expansion provides for additional capabilities with Parkway’s multiple processes and locations, he added. Parkway CEO Al Ridilla said in November that he first began conversations with Leonard in March 2017. “We’ve done a lot of acquisitions over our years as a company,” Ridilla said. “We’re always very, very

careful, and we take a lot of time. I think Bob and his family wanted to do the same thing.” The Greeneville-based LMR adds large tonnage injection molding capability — up to 1,750 tons, something Ridilla said was a key factor in Parkway’s interest — and in-mold decorating technology to Parkway’s product manufacturing offering. The location becomes the company’s eighth North American production operation and fifth operation in the southeast, according to a news release. LMR Plastics manufactures and supplies custom plastic injection molded products to various size companies in a variety of industries. The company has established customers in power lawn care products, filtration products, industrial controls, automotive, dental devices and telecommunications. In addition to injection molding, LMR Plastics offers value-add operations including assembly, plastic welding, hot stamping, pad printing and heat staking. “LMR Plastics’ service-driven culture and operational excellence approach aligns with Parkway,” Ridilla said in the release. “This combination offers LMR and Parkway customers more manufacturing options and improved solutions to maintain and grow their market-leading positions.” According to the news release, both businesses aimed to give clients, customers and employees a seamless transition experience. Parkway has continued operation of the Greeneville facility as LMR, a Parkway Company, in cooperation with the ongoing management team. “We’ve always put a big Parkway sign on the plant as soon as we buy it,” Ridilla said of Parkway’s six previous acquisitions. LMR will maintain its signage and name “just because they do what they do so

SUN FILE PHOTO BY KRISTEN EARLY

In this 2015 ﬁle photo, then-LMR Plastics President Bob Leonard speaks with employees.

SUN FILE PHOTO

Parkway Products has acquired Greeneville-based LMR Plastics, located at 1609 Industrial Road.

well, and we think that’s an important thing.” Ridilla said he spent nearly 20 nights in Greeneville over the course of the acquisition. “Our plan is to maintain the buildings as they sit,” he said. “In all likelihood, we’ll do an expansion to the building and continue with the business.” In September, the Greeneville Regional Planning Commission approved the preliminary and final civil site plans for an expansion of the LMR Quad Building

located at 1611 Industrial Road. The approximately 40,000-square foot addition was to nearly double the company’s 50,000-square-foot space. Ridilla said Parkway runs as a hub-and-spoke structure, with the hub in Kentucky and each spoke acting with a strong local plant manager and team carrying out a certain set of activities. Leonard joined the Parkway Board with private equity sponsor Capital Partners.

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“Bob brings tremendous competencies and skills as a financial person and as a businessman,” Ridilla said. “He has joined us as an investor and we are excited to have him on our board.” “We are excited about LMR joining together with Parkway and Capital Partners,” Leonard said in the release. “Our collective depth, capabilities and dedication to improvement make for a strong future for our clients and employees.” LMR Plastics was founded in 1973, and operated under the Leonard family’s ownership from September 1996 until the recent acquisition. The Leonard family has now invested in Parkway Products. The family will maintain ownership of BTL Industries, Leonard Associates Manufacturing and One Team without any changes to those companies, Bob Leonard said.

PARKWAY PRODUCTS Parkway Products, founded in 1946, is a diversified manufactur-

er oﬀering five custom molded technologies that include thermoplastic molding, high performance polymers, magnesium thixomolding, thermoset composites, and paint and laser etch from eight production facilities in the United States and Mexico. With over 500 employees, Parkway serves the energy and infrastructure, industrial, aerospace and defense, technology, automotive, lawn and garden, and health care markets.

CAPITAL PARTNERS Capital Partners is a private investment firm founded in 1982. The principals have invested in more than 75 platform and add-on acquisitions across a variety of industries, according to the release. Based on the combination of solid investment discipline and a low leverage approach, the firm has successfully partnered with management teams through multiple economic cycles, it adds.

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Page 10

The Greeneville Sun Benchmarks Edition

GreenevilleSun.com

Saturday, March 17, 2018

Vacancies Plague Greeneville Commons BY KRISTEN EARLY ASSOCIATE EDITOR Within a matter of days, the largest anchor in the Greeneville Commons will sit empty. Since the 1990s, the Commons has been the retail center for the town. However, vacancies that plagued the shopping center in the past several years sharply increased in 2017. Already, over one-third of the storefronts sit empty — eight of the 23 shops. Unless a new shop takes up one of the existing vacancies before Kmart closes in April, that loss will leave the shopping center nearly 40 percent vacant. Because Kmart is by far the largest, and JC Penney, which closed in July 2017, was another anchor that sits empty, the percentage of empty square footage will be far more. Other closures in 2017 included Carolyn’s Hallmark, which had operated in the center since its opening, and Rue 21, which closed because it was reportedly unprofitable. Legacy Fine Jewelers moved out of the Commons and to a new development in October 2017. The jewelers were unable to negotiate a deal with Commons owner Brixmor for more space at a reduced cost, owner Rick Barnes said. Now located beside Publix in Fairgrounds Plaza, Legacy has 50 percent more space for the same rent as they paid at the Commons, increased foot traﬃc and increased sales, according to Barnes. “We love it over here,” he said in a recent interview. “We’re thrilled.” The Greeneville Commons’ other anchors are Burke’s Outlet, which recently signed a five-year lease and renovated, and Belk — another company that has been closing many

SUN FILE PHOTO BY KRISTEN EARLY

After 27 years operating in the Greeneville Commons, Carolyn’s Hallmark closed in spring 2017.

of its storefronts nationwide. Brixmor provided a statement in January regarding the recent losses and standing vacancies. “While it is diﬃcult to let go of stores many of us have grown up with, these closures provide an excellent opportunity to bring new retailers and services that meet the needs of the Greeneville community today,” the statement reads. “We have been proactively working with a number of national retailers to fill not only the two anchor boxes at Greeneville Commons, but also the small shop space. These negotiations are at various stages in the leasing cycle and will be announced upon completion, which we expect within the next few months. We are targeting expanding best-

in-class retailers in general merchandise, apparel and shoes, pets and fitness.” It goes on to say that the center has a draw of “close to 20 miles away,” with an appealing location and accessibility. In September, representatives of Retail Strategies, a company the Greene County Partnership paid to market the county, indicated retailers have stalled in conversations regarding new development. Instead, those retailers may have been in conversation with Brixmor about potential availabilities where Kmart and Belk are currently located, the representatives said. “They didn’t mention the vacancies, but I think that’s what happened,” Retail Strategies Portfolio Director Wesley Vaughn said.

“Brixmor just has to pick who they’re going with and then find out when Kmart is closing.” “Belk we haven’t heard any (local) closings yet, but that’s something that Brixmor is monitoring,” he added. A possibility for the space previously occupied by Carolyn’s Hallmark, Vaughn said, is a gym. He said Brixmor likes to place gyms such as Planet Fitness or Gold’s, as well as medical and dental services, into retail locations as traﬃc drivers. But several previous vacancies at the center were years long, and tenants have complained of high rent coupled with little help with the center’s maintenance. Service-oriented companies (such as an insurance agent and physical

therapy clinic) are among the newest occupants, as opposed to retailers. Radioshack independent franchise owner Jeﬀ Pederson does not share those concerns, however. He said Radioshack will soon be making its second move within the Commons sometime between April and June. He said the new space will be slightly smaller, but a better fit. Pederson said he’s been pleased with the rent and the traﬃc within the Commons. “I know the Commons has been struggling to stay occupied. I’m glad that Brixmor is on top of that to getting that space revitalized and getting some national in there,” he said. Greene County Partnership President and CEO Matt Garland said in January that he has been

in conversation with the State of Tennessee about a possible project for the Commons. At the time, he emphasized that plans are still in the earliest stages and said he has not yet contacted Brixmor about the possibility. The project would fit one of the larger vacancies, but would be more service-related than retail, he said. In February, he said there are indications that Brixmor is actively working to fill their vacancies, so he and the state instead chose to focus on the space near Publix where the former Family Dollar was located. As for the loss of Kmart, “It’s unfortunate,” he said. “We hate to see a retailer pull out of our community, but it wasn’t unexpected. We have been looking at diﬀerent projects for the Commons. There’s a couple of ideas in place both for the Penney’s building and with Kmart.” He said the latest he heard concerning the JC Penney space was that attorneys were working out a deal between JC Penney and Brixmor, because JC Penney still held a two-year lease. When discussing the possibility of Kmart closing, Retail Strategies spokespeople said they had pitched Greene County to an arts and crafts store with sales of $4 million that would add 40 jobs. During their presentation they also mentioned a farm and home store with sales of $10 million that could add 60 jobs as another potential candidate to locate somewhere in the town. The Partnership has not yet decided whether it will renew its contract with Retail Strategies for the company to continue their marketing work and could decide to go with a diﬀerent firm.

Several Retail Developments Planned Or Progressing BY KRISTEN EARLY ASSOCIATE EDITOR Three retail development centers within the town of Greeneville made progress in the past year. The Crockett Crossing development, located at 2755 E. Andrew Johnson Highway, closed out 2017 with a full house. MyPhone Repair was the last tenant, joining in December a five-unit shopping strip that first housed PetSense in January 2017, followed by Great Clips, Cricket and Casa Guerrero. It was the fastest a new retail development has filled all units in recent memory. The former Walmart building is also part of Crockett Crossing. After a long lull following the renovation and placement of Food City into half the building in 2013, Ollie’s Bargain Outlet took over the remainder of the space in August 2017. Ollie’s brought 60 new jobs to Greeneville, according to a company news release at the time of its opening. The store offers discount goods, including home and grocery items. Ollie’s retails closeouts, excess inventory and salvage merchandise “from housewares to sporting goods to flooring and to food,” according to the company website. Retail tenant spaces just next door in the Ingles shopping center still remain empty, however. The tenant spaces are connected to the Ingles store, a space of nearly 6,200 square feet. “The separate shop will be tenant space for someone that would like to operate a complimentary business in a project that will have lots of traffic heading to our store,” Ingles Chief Financial Officer Ron Freeman told The Greeneville Sun in a previous interview. Ingles demolished its East Andrew Johnson Highway store in May 2015 and opened the new store,

in the same location and twice as large, in February 2016. The new Ingles features a Starbucks, the first in Greeneville, a Gas Express, pharmacy, bakery and ready-to-eat deli that also includes an Asian bar.

TOWNE CROSSING Bewley Properties Inc. President and CEO Kent Bewley’s decision to parcel land surrounding the AMC Towne Crossing 8 movie theater for sale prompted approval of tax increment financing for a restaurant that plans to locate on the lot immediately adjacent to the theater. Chasan is financing the restaurant, Aubrey’s, which Vice President of Operations Marlin White described as “upscale American dining.” Aubrey’s represents a type of restaurant long in demand in Greene County, featuring steaks, seafood, pasta dishes, chicken entrees, burgers and sandwiches. The TIF is a 10-year, $200,000 plan that would allow developers to use money that would otherwise have gone to pay the increased property taxes on the development to fund projects of public interest at the location. At the close of the 10 years, the property owners would begin to pay the full property taxes on the site, including those for the increased value due to the development. Meanwhile, the plan projects that the restaurant development would bring in annual local sales tax revenues of nearly $70,000 and support 70 indirect and direct jobs. The total wage impact is projected at $1.1 million annually. The plan projects the one-time project construction positive impact on Greene County’s economy at $2.5 million. Bewley said in June that the project has sparked interest in his other Towne

SUN PHOTO BY KRISTEN EARLY

Crockett Crossing, located at 2755 E. Andrew Johnson Highway, has tenants in each shop after MyPhone Repair took up residence in December.

Crossing properties. “This will rekindle interest in it,” he said. “We’ve had conversations with some other developers out of the Knoxville area and a couple other businesses. The level of interest has increased significantly.” Bewley said that his discussions with site developers so far include possible fast food restaurants, a convenience store and a strip mall. However, none of these conversations show definite intent for those prospects to locate at the site as of yet, he said. He said in February that there have still not been any signed deals on any of his Greeneville properties, but indicated that interest has spiked. The restaurant is projected to open later this year.

MORGAN ROAD The news along Morgan Road hasn’t been quite as promising, at least for the development first

discussed across the road from Walmart. The area was planned as a large development already approved for tax-increment financing. Developers said they planned to bring a big box, soft goods supplier and a number of other retailers to the site. However, the land involved is no longer even under contract after retailers began demanding better rental rates, Retail Strategies Portfolio Director Wesley Vaughn said in September. Vaughn told Partnership representatives that he believes retailers began pushing for lower rental rates because they were also in conversation with Brixmor, the company that owns and leases the Greeneville Commons, about potential availabilities where Kmart and Belk are currently located. “They didn’t mention the vacancies, but I think that’s what happened,” Vaughn said. “Brixmor just

has to pick who they’re going with and then find out when Kmart is closing.” Morgan Road developers seem to have “a great relationship” with the property owners in the area, and should be able to get the property back under contract should developers find other retailers to sign on, he said. Greene County Partnership President & CEO Matt Garland said in February that he’s heard shifting stories about the current status of the project and whether or not the land is currently under contract again. But he has said several times over the past months that developers are at work in the background, trying to bring retailers on board so that the proposal can become reality. Meanwhile, other land along Morgan Road, behind Walmart, was cleared for development. The Greeneville Regional Planning Commission in January approved the

combination of lots on Morgan Road in preparation for future development, including a new hotel. Approved by the commission was the combination of six lots of the Morgan Farm property, which lies between the Walmart store and the Animal Center of Greeneville, into two lots. The largest lot is 2.5 acres in size, Greeneville Planning Director Logan Engle said, and is proposed for development as a hotel with site plans expected to be submitted in the coming months. The property is owned by Maganial Patel and Greeneville Hotel LLC, and adjoins the Morgan Farm residential development. The second lot created is 1.29 acres in size and is zoned B-4, which could include a variety of commercial or residential uses. Engle said that a use for that lot has not yet been proposed.

GreenevilleSun.com

Saturday, March 17, 2018

The Greeneville Sun Benchmarks Edition Page 11

TIF Plan Now In Place As Economic Tool For Revitalization Of Downtown BY EUGENIA ESTES STAFF WRITER An economic development tool that Greeneville oﬃcials hope will attract new investment and spark a revitalization of downtown was put into place in the closing months of 2017. A tax increment financing plan for downtown made it through all the hurdles for approval and is now available to businesses and others desiring to invest in property downtown. Up to $8 million in tax increment financing will be available through the program. In the TIF program, the property tax rate is frozen for qualifying properties for the purpose of tax collection only. During the duration of the TIF for a property, the owner will pay property taxes at the rate they are assessed. Any tax collected above the rate at which the tax rate was frozen for the TIF goes into a fund that can be used to fund improvements to public assets such as sidewalks, serving as an enticement to draw businesses into the downtown area. When the improvements are completed then the TIF ends for a property. Under a TIF agreement, a developer makes a commitment to improve the value of the property a certain amount that will generate the property tax necessary to pay the debt. There is no liability on the part of the city or county government to cover an unpaid TIF bill, because there will be a legally binding commitment with the developer. The downtown area for which the TIF is available coincides with the Main Street area, 18 blocks bordered on the north by Willis, Spender and Palmer streets; on the east by Loretta and Railroad streets; on the south by West Irish, South Cutler and McKee streets, and on

the west by College and Academy streets. Properties on both sides of College and Academy streets are in the district. The Greeneville Housing Authority will be the governing body through which the program is implemented. State law gives housing authorities and industrial development boards the authority to establish TIFs. The Housing Authority is able to offer up to $8 million in TIF agreements in order to redevelop downtown. Interested parties will have to spend a minimum of $500,000 to qualify for the TIF. The TIF would not exceed the lesser of $3 million or 15 percent of total projected cost. A private developer who wants to use the TIF program applies to the housing authority and the project is then reviewed by a board that includes representation from both the town and county for approval. The county has representation on the board because the TIF program will apply to both the property taxes collected by Greeneville and Greene County. Those serving on the TIF Board will include Greeneville City Administrator Todd Smith, certified public accountant Mickey Ellis, Property Assessor Chuck Jeffers, Trustee Nathan Holt and Greeneville Town Recorder Carol Susong. Greeneville officials have worked on establishing the TIF for a couple of years, but the program became a subject of community discussion in September with a public hearing held by the Greeneville Housing Authority Board of Commissioners on behalf of the Town of Greeneville. The public hearing drew a packed house in the G. Thomas Love Board Room where it was held and gave an opportunity for residents to ask questions and give feedback about the plan.

GRAPHIC COURTESY TOWN OF GREENEVILLE

Properties inside the shaded area are eligible for the TIF program designed to promote growth and economic development in the downtown area.

Smith answered questions about the TIF program after giving a brief explanation about how the plan would work. “We’ve got a great downtown. We’ve got great bones,” Smith said, referring to the historical architecture of the downtown area. He told the crowd that a TIF is “a strong tool” to draw more business downtown and explained what the TIF is and is not. “Tax increment financing is not a new tax,” Smith explained. “It’s not a tax increase. It’s not an additional tax on any businesses downtown. It’s not a tax break either. Businesses do not get any type of property tax breaks downtown. It has no impact on city or county fund budgets. The same amount of property tax collected today will be collected during the tax increment financing period. There’s no cost to city or

county government.” However, Smith noted the property tax collections above the frozen rate benefit the town by providing a funding mechanism to do public and some private incentive opportunities. “That gives the housing authority the ability to oﬀer some upfront incentives and then pay that debt service back through the incremental values, through the TIF dollars collected in the future years.” He also cautioned that the TIF “is not going to be the miracle that changes downtown overnight” and there are many tools that can be used to revitalize the downtown area. Reactions to the plan were mixed from those attending. A resident of the downtown area, Teresa Hammer, said she has a vested interest in not driving by empty streets. Of the TIF she said,

“It’s about time — 30 years too late, but better late than never.”’ “It doesn’t seem like it has a huge benefit to actual people,” said Peter Higgins, who describes himself as an interested citizen and said the downtown is slowly being built up without the TIF. “It’s obviously good for the people that we would potentially lure, but it’s not good for anybody but them.” Commissioner Mary Hall, of the Greeneville Housing Authority, said the hearing was informative and thinks the TIF will be helpful to the downtown area. “It’s too bad they didn’t have this 40 years ago,” Hall said. Greeneville Mayor W.T. Daniels shared those sentiments. “This is something that should have happened a long time ago,” Daniels said. He added, “I’m looking

forward to a better day for Greeneville and the downtown area. We’ve got a chance to really make our downtown come back to life. And if you’re commercial, you’re talking not only improvement of the properties but also job creation, which I think is very important.” The first procedural step toward making the TIF a reality took place in October as the Greeneville Housing Authority Board of Commissioners gave its approval to the TIF and the Historic Downtown Greeneville Redevelopment and Urban Renewal Plan and its associated policies and procedures. That plan was given approval by the Greeneville Board of Mayor and Aldermen in early November. Late in November, the TIF was given approval by the Greene County Commission.

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Page 12

The Greeneville Sun Benchmarks Edition

GreenevilleSun.com

Saturday, March 17, 2018

County Banking Options Shift And Shrink BY KRISTEN EARLY ASSOCIATE EDITOR Over the past year, changes to Greene County’s banking landscape continued with the shifting and shrinking of options due to mergers. In November, Capital Bank oﬃcially merged into First Horizon, the parent company of First Tennessee Bank. With the merger, Capital Bank will maintain its brand in every location outside of Tennessee. Within the state, Capital Bank locations will now be First Tennessee. But within Greene County alone, potentially onethird of the Capital Bank customers will instead be oﬄoaded to Apex Bank in an attempt to limit the impact of the merger on the county’s banking market. Had the companies not taken action, First Horizon would have controlled approximately 48.6 percent of Greene County’s market deposits, according to a Federal Reserve System Board of Governors’ order approving the merger. Capital Bank is currently the county’s largest depository organization, and First Horizon is the third largest.As a result, First Horizon will sell two of Capital’s six Greene County branches — located at 255 W. Summer St. and 560 Van Hill Road — to Apex Bank.The sales should take place by early summer.The two branches together have approximately $34 million in deposits and $2.5 million in loans, according to a news release. Apex Bank came to Greene County in February 2017 after merging with the former Greeneville-based American Patriot Bank. Stock in American Patriot Bank lost all value with the merger, according to a stockholder. A letter sent to share-

SUN FILE PHOTO

Capital Bank and First Tennessee Bank parent company First Horizon Corp. have completed their merger. Both banks have several branches in Greene County, including this Capital Bank branch at 100 N. Main St. in downtown Greeneville.

holders on Jan. 18 details the bank’s struggle since 2009 to find a purchaser and a failed attempt in 2014 with Complete Financial Solutions Inc. Complete Financial acquired some of American Patriot’s debt, making it a nearly 24 percent owner of the bank, but failed to gain regulatory approval to acquire 100 percent. “A decision had to be made that would not bring financial hardship to the Greeneville and surrounding communities and ultimately overcome the inevitable fact of FDIC receivership of the bank,” the letter states. The letter to shareholders details how Apex purchased American Patriot stock and debt owned by Complete Financial in September 2016, followed by Apex’s request to state and federal authorities later that month to acquire

all outstanding shares of the stock and merge the banks.

FIRST TENNESSEE LAYOFFS Moreover, First Horizon National Corp., the holding company for First Tennessee Bank, confirmed that upcoming layoff notices went out to some employees as a result of its merger with Capital Bank. Those layoffs won’t be effective until the middle of 2018, when the merging of First Tennessee Bank and Capital Bank’s systems is finally complete, according to James Dowd, First Tennessee’s media relations manager. While the merger closed in November, the conversion process won’t be complete until the middle of 2018, at which time the company should have a finalized number of layoffs, Dowd said

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Capital Bank shareholders received about $40.57 per share of common stock, or about 2.2 shares of First Horizon common stock, according to a news release. Approximately 10.1 million shares of Capital Bank’s stock were paid out in cash, according to the release. Approximately 42 percent of shareholders elected to receive cash. The remainder chose First Horizon stock or made no election, it adds.} Therefore, those Capital Bank shareholders who elected to receive cash will receive about 46 percent of the merger consideration in cash and the remainder in First Horizon stock, the release says.

ANDREW JOHNSON CEO In other banking news, Andrew Johnson Bank

began 2018 with a new president and chief executive oﬃcer. According to a news release, Paige Hull, chair of the bank’s board of directors since 2007, is now the bank’s president and CEO. Hull joined the bank’s board of directors in 1991, and worked closely with former President and CEO Bill Hickerson over the past year to ensure a smooth transition, the release says. “I have big shoes to fill as I step into this role, and I’m thankful that Bill will continue on as an advisor during this transition,” Hull said upon the announcement of her new role. Hired in 1979 as CEO and president of City and County Bank, Hickerson led the bank through its

name change to Andrew Johnson Bank in 1980. Under his guidance, the bank grew from $10 million in deposits in one oﬃce in Greeneville to $350 million in assets in seven locations spanning five cities, according to the release. His retirement will not signal an end to Hickerson’s involvement in Andrew Johnson Bank, the release says. “The good news is that Bill will continue to represent the bank and work alongside us on a part-time basis,” Hull said. “He will remain as a board member, and will continue to serve in a key leadership position as chairman of our bank holding company. His experience and presence are invaluable during this time.” According to the release, Hull grew up in North Carolina and attended the University of Tennessee. Upon graduation, she worked in Nashville as a CPA with KPMG Peat Marwick for several years doing independent financial audits, specializing in banking and health care. Since joining the board in 1991, she has served as chairman of its audit, compensation and executive committees in addition to serving as a member on its governance and finance committees, the release adds. A resident of Greeneville since 1989, Hull is married to Brandon Hull, and the couple have three children and one grandson. Brandon Hull is the president and CEO of Greeneville Federal Bank. “Paige’s background and her many years of hands-on involvement with Andrew Johnson Bank will ensure this transition is an easy one,” Hickerson said. “I’m leaving our employees, customers and shareholders in the absolute best hands to grow our bank.”

GreenevilleSun.com

Saturday, March 17, 2018

The Greeneville Sun Benchmarks Edition Page 13

Mosheim Exit 23 Development Moves Full Speed Ahead BY LISA WARREN STAFF WRITER A major land development project at Exit 23 off Interstate 81 in Mosheim got off and running during the past year. The 32-acre site, which has been named Mosheim Crossroads, is expected to bring a major boost in business and sales tax revenue to the Town of Mosheim. Among the anticipated new businesses are a largescale, tractor-trailer refueling center, two hotels, a sit-down restaurant, a new fast-food restaurant and several other businesses, officials have noted. The Mosheim Planning Commission gave preliminary approval in early February to a site plan for the initial phase of Mosheim Crossroads. This preliminary approval was granted subject to approval by the Tennessee Department of Transportation. A traffic study was completed by TDOT in early March. A final site plan was expected to be brought before consideration within 60 days of that initial approval. Because the Town of Mosheim relies on sales tax revenue — and not property taxes — this new development is expected to be a major financial boost to the municipality, according to Mayor Tommy Gregg, who has been a longtime advocate for additional business development along Exit 23. Because of this potential financial gain, Gregg said the town can now consider several long-term planning goals for the municipality, including the possible establishment of a police department for Mosheim. At the February Mosheim board meeting, the aldermen gave approval for the mayor to conduct a feasibility study toward establishment of a police department. The hotels will likely be a Hampton Inn and a Holiday Inn Express, according to developer Randy Corlew, of the Morristown-based Welroc Enterprises LLC, who is

ILLUSTRATION SPECIAL TO THE SUN

An initial plat shows the possible layout of development planned for the Exit 23 area of Mosheim.

heading up the project. Corlew told the Mosheim planners in February that another new business prospect expressing interest in locating to the site is an urgent care medical clinic. The first phase of the project involves five lots and new road construction into the site off U.S. 11E, Corlew said. At the present time, Corlew said preparations are underway to get sewer and water to the site. In addition, work is being done to prepare for a traffic access point to the property off Highway 11-E. TDOT has not yet given approval on the driveway entrances, pending the completion of the traffic study, which was expected to be complete by March 9, he noted.

“We’re talking about having a traffic light there to stop westbound traffic (off 11E) so you can come into the development,” Corlew said. A final site plan is expected to be complete by early spring and presented to Mosheim town officials. Once that is approved then work can kick into high gear at the site. At least two of the businesses wanting to locate there have said that they would like to be in operation this year, officials have said. The sit-down restaurant is expected to be a $2 million investment, and the auto and truck center close to a $3.5 million investment, Corlew said. Officials with both want to be open for business by this summer, he added.

A third parcel of land at the initial development site is expected to house a major hotel chain with a $10 million planned investment, he said. Those first three businesses combined are expected to bring at least 90 jobs to the area, Corlew said. The Exit 23 development project is being financed through tax increment financing, which is a public financing method using property tax revenue for development, infrastructure and other community-improvement projects. The Greene County Industrial Development Board approved the TIF in July, followed by the Greene County Commission in August. State law gives certain boards the power to establish

TIF districts where routinely collected property taxes are frozen at their existing rate for a set period of time to encourage improvements and new developments. Tax-increment financing delays for a set period any increase to the property tax that is due to increased value from the project. That funding instead assists developers in aspects the state deems as having public interest. In successive years, the amount of tax paid on those properties increases incrementally, with the additional revenue generated by higher property values going into a separate fund for projects of public interest. “If that TIF is supposed to generate $16,000 of new property taxes and it only produces $10,000, then the

developer has to pick up that $6,000 diﬀerence,” Corlew explained. “Basically, the developer takes a risk and says, ‘I’m going to bet on improving the property, at my expense, if the county and city governments agree to do this,’” he added. The Town of Mosheim does not receive any property tax revenue. However, the town does share in sales tax revenue generated from businesses located within its corporate boundaries. Early estimates by the developer put a $3.8 million price tag to develop infrastructure on the site, which lies on the east side of the interstate, adjacent to a Mobile Oil convenience center and Wendy’s restaurant.

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GreenevilleSun.com

Saturday, March 17, 2018

Many Businesspersons Recognized In Past Year ASSOCIATE EDITOR Since March 2017, many individuals in business have been recognized by numerous agencies for their dedication and success. In February, Century 21 Real Estate LLC announced several awards for Greeneville affiliates. Sales associates receiving the President’s Producer Award in recognition of outstanding sales production and commitment to quality service were Brian McAmis and Mark Williams, both of whom were recognized by Jamie Skeen, broker and owner of Century 21 Legacy. Century 21 System sales affiliates that earn the Century 21 Centurion award and the Century 21 Quality Service Pinnacle Producer award in the same calendar year receive this annual recognition. The Centurion Producer award honors Century 21 System sales affiliates that earn $263,000 in sales production or 70 closed transaction sides within the calendar year, according to the announcement. To earn the Century 21 Quality Service Pinnacle Producer Award, a C21 sales affiliate must receive completed customer surveys for at least 80 percent of their transactions Jan. 1-Dec. 31, with an average survey score of at least 95 percentage or better for two consecutive years, it adds. Other sales affiliates with Century 21 Legacy who received the Quality Service Pinnacle Producer Award included: Regie Jones, Lauren Harrison, Barry Carter, Susan Miller, Gwen Lilley, Sammy Atlasy and Jessica Lutz.

Matt Garland

land was among three new members named in 2018 to the board of directors for the Tennessee Economic Partnership. The statewide public-private partnership markets the state of Tennessee as a premiere place for business, according to a news release.

STATE HOSPITAL BOARD Also in January, then-Mountain States Health Alliance’s executive vice president and chief operating oﬃcer, Marvin Eichorn, was elected as the 2018 board chair of the Tennessee Hospital Association, according to a news release. Eichorn was responsible for oversight of all 14 Mountain States hospitals and the retail and ambulatory divisions. He was also named the chief operating oﬃcer for the merged system Ballad Health, the release says.

DISTINGUISHED ALUMNI In November 2017, an executive with the Rural Health Services Consortium Inc., which includes the Camp Creek Medical Center, was named as a Distinguished Alumni of East Tennessee State University’s College of Clinical and Rehabilitative Health

ECONOMIC PARTNERSHIP In January, Greene County Partnership President and CEO Matt Gar-

SMALL BUSINESS CHAMPION

re-appointed to the board of directors of Areawide Development Corporation. Based in Alcoa, the corporation markets and processes U.S. Small Business Administration Section 504 loans to small businesses in partnership with banks to help finance capital projects. Board members set ADC policy and approve loan applications, according to the news release.

BY KRISTEN EARLY

Kent Bewley

Sciences. Linda Buck is president and CEO of Rural Health Services, which has medical centers in all of the eight counties of Northeast Tennessee. Camp Creek Medical Center is within the consortium. Buck was one of two alumni to receive the award, the release says.

HOSPITAL ASSOCIATION HONORS In October, Takoma Regional Hospital director and an interventional cardiologist with the Wellmont CVA Heart Institute earned recognition from the Tennessee Hospital Association. The statewide organization gave a meritorious service award for a board member to Sharon Folk and a meritorious service award for a medical staﬀ member to Dr. Thomas Bulle, M.D. The two were honored during the THA’s annual meeting at the Music City Center, according to a news release. “Dr. Bulle and Ms. Folk have repeatedly demonstrated a commitment to quality health care and have played significant roles in providing an optimal experience for patients and their families,” said Bart Hove, president and CEO of the then-Wellmont Health System. “We have benefited considerably from their

In June, Heating, Air-Conditioning & Refrigeration Distributors International recognized U.S. Sen. Bob Corker, R-Tenn., with the HARDI Small Business Champion Award, according to a news release. The Small Business Champion Award is given to elected oﬃcials who promote and protect the interests of small businesses, which represent more than 80 percent of HARDI wholesalers, it says.

U.S. Sen. Bob Corker

expertise and counsel and thank them for strengthening our reputation for delivering superior care. Their selection for these awards is well-deserved.”

COMMUNITY SUPPORT AWARD Also in October, the Tennessee Primary Care Association honored Robert Cutshaw, of Greeneville, with the presentation of the Caryl E. Carpenter Excellence in Community Support Award for being a valuable community advocate of primary health care services, according to a news release. Cutshaw has served on the Rural Health Services Consortium Inc. Governing Board of Directors since November 2001. He began in 2014 with assistance from fellow Ruritan Club members pursuing health care services for Camp Creek. In April 2015, RHSC began providing medical services to the community with a mobile unit. A new permanent facility has been completed where the group will serve some of the medical needs of the Camp Creek community.

DEVELOPMENT CORP BOARD In September, Kent Bewley, president and CEO of Bewley Properties Inc., of Greeneville, was

INFECTION PREVENTION Also in September, the Association for Professionals in Infection Control and Epidemiology named Jamie Swift a 2017 Hero of Infection Prevention. She is one of only seven infection preventionists in the nation to earn the award this year, according to a news release. As corporate director of infection prevention for then-Mountain States Health Alliance, Swift is responsible not only for implementing strategies to prevent infection inside hospitals, but also for making sure the entire health system is prepared to respond to potential infectious disease outbreaks in the community, the release says.

CRYSTAL DOVE AWARD In May, Takoma Regional Hospital awarded Ginger Johnson the Crystal Dove Award for embodying the then-Wellmont Health System’s mission, vision and values, according to a news release. Johnson, Takoma Medical Associates’ executive director of physician support services, was nominated by her peers for her dedication, kindness, compassion, innovation and hard work, the release says.

INSURANCE AWARDS In April, Nationwide Insurance recognized agent Jonathan Yates with three awards for his sales in 2016, according to a news release. Yates is the principal agent of The Yates Agency Inc. He has eight oﬃces in the East Tennessee area, including in Greeneville. According to the release, Yates’ sales awards included the Presidents Award, the company’s highest award, for attaining excellence in sales; the Champion Award for outstanding achievement in sales of multiple products; and the All Star Award, recognizing the top 12 agents for any given calendar year who have attained excellence in sales.

CLIENT SATISFACTION In July, the American Institute of Criminal Law Attorneys recognized the performance of Greeneville criminal law attorney Joseph McAfee as 2017 10 Best Criminal Law Attorneys for Client Satisfaction, according to a news release. McAfee & McAfee PLLC is located at 128 S. Main St., Suite 100. The AIOCLA is a third-party attorney rating organization that publishes an annual list of the top 10 criminal law attorneys in each state.

Greeneville Iron & Metals, Inc. “Recycling....Key to the Environment” \HDUV LQ WKH UHF\FOLQJ ¿HOG

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The Greene County Partnership exists to provide community leadership, consensus-building and problemsolving through the cooperative efforts of business and government and to serve as a catalyst for positive improvement and change. We are committed to serving the needs of our members, industry, government, business and citizens by: • Providing a forum to identify common problems and develop solutions • Expanding and diversifying the Greene County economy • Providing and supporting initiatives that will enhance Greene County’s overall quality of life • Serving as a common denominator for governmental and community programs • Cooperating with regional programs of mutual interest

115 Academy Street, Greeneville, TN 37745 Phone: 423-638-4111 • FAX (423) 638-5345 www.GreeneCountyPartnership.com

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Saturday, March 17, 2018

The Greeneville Sun Benchmarks Edition Page 15

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What do you get when you combine the following? ඵ Staffing Consultants who average 15 years’ experience ඵ A management team that has been together for over 13 years ඵ Local owners who have national franchise experience ඵ Over 20 years of applicant information from the local market ඵ 100 years of staffing and recruiting experience

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Employment opportunities at Staff Pro? At Staff Pro, we are able to offer a wide range of positions from entry level to senior executive level. We offer jobs in the following fields: x Office / Clerical x Accounting and Finance x Manufacturing/Supervision x Information Technology

Page 16

The Greeneville Sun Benchmarks Edition

Saturday, March 17, 2018

GreenevilleSun.com

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