Economic Outlook/Energy Sunday, Feb. 1, 2015
Progress Edition I — Section 2
Dave Gossett
The two 100 year old blast furnaces at the former RG Steel South plant began to fall on an August 2013 afternoon after explosives took out the “legs” supporting the structures. The demolition of the blast furnaces was part of a multi-million dollar cleanup of the property to clear space for future businesses.
River rail development expanding business growth By DAVE GOSSETT Staff writer STEUBENVILLE — Four companies have opened operations on the former RG Steel property in the South End of Steubenville, and four additional companies now are in discussions to lease property at the site. Steubenville Urban Projects Director Chris Petrossi said the four companies currently based on the former steel mill property have 71 employees working and the additional companies will bring another approximately 100 jobs to the area. An industrial park was the idea Ken Burns, chief operating officer of Strauss Industries of Wheeling, had in mind when he moved to buy the 119-acre site in 2012. The property had been home to a steel industry for 150 years but has undergone a major facelift since RG Steel filed bankruptcy in 2012. “I have had my eye on this property for probably the past 10 years. Some of these buildings date back to 1904. We are demolishing and removing a number of structures and have saved buildings we can use in the future. We also plan to move our scrap operations from Weirton to this site where it will be under a roof and will be a more equipment-oriented
operation,” said Burns in a 2013 interview. “We have spent more than $5 million, including the $1 million Clean Ohio Assistance grant, to clean up any asbestos on the site as well as demolish and remove the scrap buildings. Add in the pre-work expenditures and we are closer to $6 million,” cited Burns. “We have a very open relationship with the Ohio Environmental Protection Agency. So far we have drilled 233 wells throughout the site to make sure we find anything and everything that needs to be cleaned up. There is nothing taboo for the OEPA to look at. We are doing everything they want us to do and more,” emphasized Burns. “The potential for this property is amazing. We are currently negotiating with companies interested in locating here. We are not looking for short-term tenants but we are interested in companies that want to be here for the next 30 years,” Burns said. Petrossi said Strauss Industries has been “very cooperative with the city and the Ohio Environmental Protection Agency. “An environmental consulting firm inspected the site for potential ground contaminants and the owners are currently conducting surgical excavations to remove any problems. And Strauss has taken the
existing concrete floors and pads, ground them up and used the material for roadways. They are recycling nearly everything in the plant. They also took out an electrical substation that was visible from state Route 7 north coming into the city. They are very good neighbors in our South End,” declared Petrossi. “The city is all eyes and ears as far as the future development and the opportunity to sell you or your tenants water. We welcome you to the community,” Steubenville Mayor Domenick Mucci told the Strauss Industry officials. Burns said he is preparing for what he believes will be a business boom in the Midwest. “We believe there will be a major increase in river traffic in the coming months. We want to be prepared for that event and are looking for potential development of the property along the river. Transportation is key to our business and our plans include changing the rail system into the property. I really believe this general
area is prime for future development. The taxes are more reasonable than other areas and this is a good area for housing development. We are excited to be here and a part of the future,” remarked Burns. “We have a great transportation system in this area with the highways and river. Transportation is key to our business, and our plans include changing the rail system into the property,” he said. Chief Financial Officer John McDonald cited, “the tremendous amount of progress during the past nine months,” during the 2013 interview. “We have received tremendous support on this project from the state of Ohio, JobsOhio and PNC Bank,” McDonald said. “This is a work in progress and we are going to do it the right way. We are planning to redesign the entrance to the property so it looks more appealing for people driving by on state Route 7. I keep thinking about saving and renovating the office building which dates back to the LaBelle Works. It will need major repairs but I think it could be an asset for us,” said Burns, who See RIVER Page 2B ➪