SHELBY, Ohio – UPDATED – Demolition of the former Napoli’s Pizza building at 12 W. Main Street in Shelby began Saturday. According to Mayor Steve Schag, the Ohio EPA determined that the city should continue to treat the situation as an emergency and recommended immediate action.
Demolition began at approximately 11:45 a.m. Saturday.
The demolition was initially to begin Monday after agreements were signed between Shelby City Council, the Richland County Land Reutilization Corporation and building owner Greg Beard.
During a special meeting of city council on Thursday evening, continuing into Friday afternoon, Shelby City Council passed Resolution 44-2015 authorizing Mayor Steve Schag to enter into a demolition contract in conjunction with the Land Reutilization Corporation and Page Excavating, Inc. for a total of $95,000. The cost will be split down the middle between the city and the Land Reutilization Corporation, with each contributing $47,500.
Council also authorized Schag to sign a demolition agreement between the city of Shelby, the Land Reutilization Corporation and Beard to allow the demolition to begin posthaste.
According to Schag, Page Excavating moved on site in Shelby on Friday afternoon, and demolition began Saturday instead of Monday as planned.
On Thursday evening, council was informed by Law Director Gordon Eyster that Beard had initially refused to sign the demolition agreement.
“The issues as we see it are: Does Mr. Beard have any immediate funds and if so how much; if he does not have sufficient funds what is his method of repaying the city and the land bank; and what does he wish to ultimately happen with the property, Eyster explained on Thursday.
“My first inclination was he is not willing to pay back the full amount – only about half.”
After absorbing this news Thursday evening, council went into executive session to discuss with the law director matters of pending or imminent legal action. After coming out of executive session, council then recessed and reconvened on Friday afternoon, joined by Amy Hamrick, Bart Hamilton and Mansfield Mayor Tim Theaker representing the Land Reutilization Corporation.
Mayor Schag confirmed that after the adjournment of the meeting on Friday afternoon, Beard agreed to sign the demolition agreement written as-is.
The agreement states that Beard will provide an unsecured promissory note for $47,500 to the Land Reutilization Corporation, upon the terms of zero percent interest, a one-year deferment of the first payment from the date of signing, and monthly payments of $391.
The agreement also states that if the city of Shelby chooses to do so, Beard agrees to transfer the deed to the property to the city for a credit of $7,500 and shall provide a promissory note payable to the city for $40,000. If the city does not choose to accept ownership of the property, Beard will then provide a promissory note payable to the city for the full $47,500.
Schag stated after Friday’s meeting that details of Beard’s repayment to the city will be worked out later, as the most immediate need is to move forward with demolition.
“We need to get this building down in an emergency fashion for the city of Shelby, but we’re also doing our very best to try and help Mr. Beard get back on his feet and be able to be responsible for this building which he owns,” said Schag during Friday’s meeting. “Countywide and citywide we’re trying to help Mr. Beard get on his feet for his own benefit and down the road to find a way to settle his debts.”
The progression of demolition comes as a relief to tenants of downtown Shelby. Schag noted on Friday the Shelby Fire Department is currently operating at a disadvantage and downtown community businesses are feeling the effects of the road closure on Main Street.
Judy Nutter, owner of the Shelby Thrift Store, said her business has been significantly affected by the closure on Main Street – she has cut the hours of her employees and delayed hiring two people for seasonal hours.
“We’re still getting some business but it’s down significantly from where it should be,” said Nutter. “I think people are avoiding the downtown area and you just lose business when you don’t get the drive-by traffic.
“Everybody is focused on his building, but they haven’t thought what it’s done to everybody else down here.”
Chief Mike Thompson with the Shelby Fire Department stated fire department vehicles are now forced to travel two to three blocks out of the way when responding to calls due to the Main Street closure. The fire department also shut down the alley between the station and the Napoli’s building as a safety precaution in case the building fails further.
“With the road being closed it’s difficult for us to get anywhere, and it’s a time factor,” said Thompson. “But we’re making do; the bridge has been shut before so we just adjust.”
According to Project Manager Joe Gies, the first objective of Page Excavating was to demolish the Napoli’s building enough to make it safe to reopen Main Street.
“It’s our desire to get this down and get the bridge inspected and open up Main Street as soon as possible,” said Schag.
“We need to get this building down in an emergency fashion for the city of Shelby, but we’re also doing our very best to try and help Mr. Beard get back on his feet and be able to be responsible for this building which he owns,” said Mayor Steve Schag.
