Heath prepares to provide homes for Intel's Silicon Heartland employees
HEATH − The city of Heath could be tagged as the place where much of Licking County shops. It could also be labeled the place where central Ohioans work.
Mayor Mark Johns wants to add another label: Where Silicon Heartland employees live.
The city has opened its arms to developers and homebuilders, seeking to respond to the housing shortage as Intel plans to employ thousands of workers manufacturing computer chips in a $20 billion development just south of Johnstown, part of what the company refers to as the Silicon Heartland.
Two Intel factories are expected to begin production in 2025, and other suppliers could flock to the area as well. Ever since the Intel announcement in January 2022, the question has been where workers will live, considering a housing shortage already existed in central Ohio.
“Heath has been nothing but a community in development since it became a city," Johns said. “If Heath can receive the support we need for infrastructure needs — roads, water, wastewater — Heath is poised to be the homes for the Silicon Heartland.
“The demand for increased housing options existed before Intel announcement. It may have put that topic on steroids.”
The city seeks to expand its boundaries to add to its housing stock in undeveloped areas.
A 228-acre annextaion from Union Township to Heath was filed Thursday with the Licking County Commissioners. The properties are on both sides of Canyon Road, between Thornwood Drive and Ohio 37.
Heath annexed 345 acres last year: 250 acres from Union Township and 94 from Licking Township.
The city of Heath and Union Township recently announced an economic development agreement that allows the city future annexations in an area generally north of Beaver Run Road, east of Canyon Road and south of the railroad tracks.
A few properties west of Canyon Road, including part of Thursday's annexation filing, were already in the annexation process and included in the agreement.
Homebuilder D.R. Horton plans a 244-home subdivision called South Fork, south of Irving Wick Drive, adjacent to The Villages at River Oaks and across from the River Oaks housing subdivision. The 94-acre site was annexed into the city from Licking Township. The City Council approved rezoning for the development, and construction could start late this year or early 2024.
Property owner Test Track Partners plans single-family, multifamily, assisted living and senior housing on 143 acres to be annexed from Licking Township at Franklin Avenue and Dorsey Mill Road. It is not yet known how many residential units could be built there.
Jared Lane, the city's zoning chief, said the city has worked with a broker or attorney, but no developer has yet been identified for the Test Track project.
Despite inflation and concern about interest rates, developers are still contacting the city, Lane said.
“The price of land here is still reasonable," Lane said. "North of (Ohio) 161 the cost of land goes through the ceiling because of Intel.”
Expansions of the existing Linnview Crossing and Woodlands subdivisions are also planned. Linnview Crossing's Phase 1 was built in 2006-07 and Phase 2 was engineered, but never built due to the start of The Great Recession.
Heath had a population of 10,412 residents in 2020 but could have 15,000 residents in 2030, Johns said.
The city's daytime population is significantly greater than the census number, as workers drive to Heath to work at manufacturers in the Central Ohio Aerospace and Technology Center and Mid-Ohio Industrial Park.
“Heath has seen over the last 15 years, a healthy growth in our manufacturing employment base, and that brings payroll income tax revenue to the city," Johns said. "If we’re going to continue to see that growth, a key factor in making that happen is to have additional people living in our area. And, to have that, you need more residential units.”
A dozen years ago, there was one new housing start for every 1.7 jobs created, Johns said. Now, it's one new housing start for every four new jobs created.
Rick Platt, executive director of the Heath-Newark-Licking County Port Authority, which oversees the Aerospace and Technology Center, said a survey of its companies two years ago showed 60% of employees came from Licking County. That was a decrease from 70% in a survey 12 years ago, he said.
"That's a pretty sizeable increase," Platt said. "We are seeing people have longer commutes to work here."
The business area on Ohio 79, or Hebron Road in Heath, continues to be an area sought after by retailers. Travelers on the state route may never see the manufacturers, but they certainly see the retail businesses.
"Heath is continuing to see retail commercial growth and I know that those businesses like to count rooftops in a certain drive time of their area," Johns said. "The more rooftops we have in our area, the more attractive we’ll be to retail commercial businesses.”
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This article originally appeared on Newark Advocate: Heath prepares to provide homes for Intel's Silicon Heartland employees
