Carol Johnson, Southern Indiana Business Report
MITCHELL – A 50,000 square foot shell building that can be expanded to twice that size will be constructed in the Mitchell Industrial Park.
The Lawrence County Redevelopment Commission approved construction of a shell building earlier this month after the Mitchell City Council approved a memorandum of understanding giving the commission permission to build in the Mitchell Industrial Park.
Estimated to cost slightly over $4 million, the building will be paid for with revenue generated by the nearby Lehigh TIF district.
Shance Sizemore, CEO of the Lawrence County Economic Growth Council, said a shell building positions Mitchell and Lawrence County to compete for new development.
“This allows us to be competitive for those projects that are looking for a space that’s ready to go. If they need to be up and going in six months we can say, we have a spot,” Sizemore said.
In the six years Sizemore has been at the LCEGC, the county has had a low inventory of commercial and industrial space. While it’s good not to have an abundance of empty buildings, Sizemore said having little to no space means when a business reaches out and the only option is to find land and build, the business usually moves on.
Indiana is an active state for development, but the vast majority of companies are looking for an existing building much larger than anything in the county. Sizemore said his office received more than 50 project inquiries from the state in 2022, but Lawrence County had nothing to offer.
“With a shell building, we have a tool that at least allows us to raise our hand and say, ‘Come look at the city of Mitchell and Lawrence County,’” he said.
Shance Sizemore, CEO of Lawrence County Economic Growth Council
Mitchell Mayor Nathan Jenkins said the shell building has his support.
“In Lawrence County there are no ready buildings available,” Jenkins said. “If someone wants to put a business in Lawrence County, they will have to build from the ground up. This will give them the opportunity to get into a building that is three-fourths complete and they could get in a lot sooner than if they built from the ground up.”
The shell building will be constructed on a 14-acre site on Doc Hamilton Boulevard. The industrial park is close to Ind. 37 and Lehigh Cement, which is in the final stretch of a $600 modernization that will double its production capacity.
“The fact this will be the biggest cement plant in America, I think the shell building will attract some interest from vendors who do business with Lehigh,” Jenkins said.
According to the MOU, the commission has to have a contract with a builder by June. Once it’s completed, the building will be maintained by the Redevelopment Commission until it is sold.
“I’m tickled to death that it’s happening, it’s a great thing for Mitchell,” Jenkins said. “Our council has been kicking this around for nine months. I told them in January it’s time to make a decision for or against.”
Even if it takes time to find the right business for the shell building, just having a building to market is an asset. Sizemore pointed to a shell building in Washington that sparked new development. A Japanese company looked at the shell building, but it didn’t meet the needs. But they liked the city and ended up building and establishing their business across the street.
“A shell building creates an opportunity for a developer to see the space in the community and that can help land a company,” he said.
Jeff Quyle, president of the Lawrence County Redevelopment Commission, said the shell building “is a prudent use of TIF funds, and also demonstrates that the County RDC and the City of Mitchell are willing and able to collaborate for economic development. We’re all team players when it comes to this project.”
Construction of the building is tentatively expected to reach completion in 2024.