Cottrellville weighs industrial district at Starville, 26 Mile for area boat builder

Cottrellville Township officials are weighing establishing an industrial development district around two parcels at Starville Road and Marine City Highway that'd make a local boat builder's future development plans eligible for a tax abatement.
Cottrellville Township officials are weighing establishing an industrial development district around two parcels at Starville Road and Marine City Highway that'd make a local boat builder's future development plans eligible for a tax abatement.

Cottrellville Township officials are laying the groundwork for a future partial tax break for a local boat builder looking to erect a new facility at Starville Road and Marine City Highway.

On Wednesday, the township board briefly discussed setting up an industrial development district around three parcels at the southeast corner of Starville and the highway, also known as 26 Mile Road, that’d allow property owners to seek a tax abatement on future development.

However, no formal action was taken — that, officials said, would come later.

“What we’re looking to do is two different phases,” said Joe Schaldenbrand, owner of Sunsation Powerboats in Clay Township. “Phase one would be to put up a 50,000-square-foot building which would transform everything we have (at an address) in Algonac right now. The glass, research and development, plastics, would all move to that building.

“Then, (if) the economy stays strong, everything’s good, I would put up a second 50,000-square-foot facility. That would be all of our rigging, assembly, and stuff like that would go to that location at that point. Right now, I’m operating out of three buildings, trying to get everything in two different locations, trying to get it all back under one roof.”

Bruce Seymore, vice president of business services at the Economic Development Alliance of St. Clair County, said they’d been helping Sunsation locate a facility to consolidate for roughly a year.

The boat builder purchased two parcels at Starville and 26 Mile for $450,000 in March under Sunsation Starville Road LLC. Cottrellville Assessor Barbara Schutt said it totals around 24 acres.

A third parcel, located just east of Sunsation’s site but under different ownership, was included in the proposed industrial development district as its similarly zoned.

The district itself would make the properties eligible for an industrial tax abatement, which means property owners would still be obligated to pay property taxes but may only have to pay half an assessed value on new development for a set period of time.

Under state law, that’s up to 12 years.

Cottrellville Supervisor Mary Agnes Simons said, “The rest of this information will be presented at the next regular township board meeting,” which is Aug. 9, when they’ll have “the resolution that will describe more” of the parameters surrounding an industrial district.

Then, Schutt said they’re “just waiting on an application after that” for a formal tax abatement proposal.

“That’ll say exactly what they’re going to be doing, cost involved, what they’re requesting, that sort of thing, and it’ll be another public hearing for that application,” the assessor said.

Although officials said they expected to learn more about Schaldenbrand’s plans — namely what the township would get for the abatement, such as in the number of jobs — the boat builder was still met with a few extra questions Wednesday.

Currently, Schaldenbrand said his business employs about 50 people but would employ more once located in Cottrellville. He also added they pay well, referencing an example average of around $28 an hour, for employees who he said they invest in and retain over time.

Officials were asked by one resident if the industrial district discussion would impact properties “further down 26.” They said it does not, though there are other existing industrial-zoned sites, particularly around Marine City Airport.

The discussion itself follows a recent larger focus on 26 Mile Road in general, as St. Clair County officials previously weighed the use of American Rescue Plan dollars to help ready an 11-mile corridor of the highway for future development.

Contact Jackie Smith at (810) 989-6270 or jssmith@gannett.com.

This article originally appeared on Port Huron Times Herald: Cottrellville weighs industrial district at Starville, 26 Mile for area boat builder