Judge Wayne Marik accepted a Racine company's last-minute bid on Monday to purchase a trucking depot at 2301 S. Memorial Drive that was caught up in the SC Johnson bribery scandal.
Marik's ruling paves the way for Leonard Investments to buy the building and continue to lure an out-of-town tire recycling company to Racine.
American Tire & Recycling is planning to open a production facility at the Memorial Drive trucking depot. Leonard Investments expressed an interest in buying the building and leasing it out to American Tire & Recycling, but those plans were complicated when a third buyer entered the picture.
Elite Systems LLC, which is housed in the building, submitted a bid to the court to buy the depot for $460,000 on Jan. 6. American Tire & Recycling balked at working with Elite Systems, according to a city official. The company threatened to bail on the Racine deal and open its recycling business in Burlington, the official said.
That left the city scrambling to support Leonard Investments' bid to, hopefully, bring in American Tire and Recycling's 88 jobs, the official said. The jobs were particularly appealing to Racine leaders because the company offered low-skill jobs that will reduce the city's soaring unemployment rate.
The city got some help from SC Johnson, which stands to profit from the sale of 2301 S. Memorial Drive. The building was awarded to the company as part of $147 million in damages awarded to SC Johnson in the Milt Morris corruption trial.
SC Johnson supported Leonard Investments' $470,000 bid for the building, according to court records. The company will make about $200,000 on the sale, minus a $215,000 mortgage on the property and additional transaction costs.
Leonard Investments, owned by Rick Leonard, who also owns Floyd's Trucking in Racine, will take over the property, which currently holds leases for three businesses. Siam Transportation, ABF Freight Systems and Elite Systems are all located in the building, according to court records.
Leonard didn't return a message left at Floyd's Trucking on Monday. An employee at Elite Systems said they were unaware of any sale involving the building.
An employee at Elite Systems said Monday they didn't know anything about the sale of the building.
When asked if the city was happy with Marik's ruling, a city official simply gave a thumbs up.
Thank you Judge Marik!!!!!!!!!!!
ReplyDeleteThank you for what? Allowing another venture to be brought into the city, by Dickert, that will not live up to its billing? My god this is a joke! I am personally going door to door and starting a negative campaign against "Johnnie Boy"!! This city in a nut shell is "F'ed"!!
ReplyDeleteI have to agree with 6:32, our Mayor has done nothing for Racine other than to make promises.
ReplyDeleteHe given some great jobs to his friends.
ReplyDeleteI think it is time for some of you readers to get out of your nests and get a job.
ReplyDelete88 or 8 jobs, every little bit helps.
It's jobs, stupid.
Mayor! Please bring in a mercury recovery plant, think of those jobs.
ReplyDeleteWhat's happening to the jobs that are in the building now? My ex brother in law works there and he make a lot more than minimum wage. I think around $22-$25 per hour. What is going on at city hall?
ReplyDeleteWait, so the city is kicking out a company to bring in less jobs at a lower pay rate? Who is running the shop in city hall?
ReplyDeleteThe building is only partially occupied. This deal fills the unused portion of the building. Good grief people, engage your brain before your mouth.
ReplyDeleteDitto 9:17!
ReplyDeleteRecycled tires are being used in many products now including commercial carpet. I would rather see a company that is likely to grow come in to this vacant space than letting it sit vacant.
ReplyDeleteLast I heard, the number one reason for voter anger is jobs. These are jobs, how can this be a bad thing?
Go Min wage jobs go. We can pay our taxes and fees and more fees on $8.00 Hr!
ReplyDeleteActually, one of the businesses there was told they have to leave to make room for this tire company. It employed more people at a higher wage.
ReplyDeleteAnd this company would be....?
ReplyDeleteSpacely Sprockets.
ReplyDeleteAnd where does the material they can't use go ?? to the landfill ?? recycle cart ??
ReplyDeleteI am surprised that we haven't had more talk and progress with green businesses/projects here. I thought this was one of the mayors strong points.
ReplyDeleteI was all for this company because I had heard that they were a recycling company. When I researched what they did there is nothing green about it, Biomass is a polutant not a "Green" product.
ReplyDeleteReminder:
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This comment is still valid, however, as it refers to no subject other than this reminder.