Middletown council approves tax break for micro-distillery

Liberty Spirits LLC, the startup micro-distillery that plans to open in June at 1357 Central Ave., was granted a 10-year, 100-percent abatement for that building, Middletown City Council decided with a 4-1 vote Tuesday.

Micro-distilling “is a growing business, we welcome you downtown, and you’re in the DORA (designated outdoor refreshment area), so we’ll be expanding, and I think it’s a great thing,” Vice Mayor Dora Bronston told company owner Mike Robinette after he gave a brief explanation of his plans.

Bronston and council members Talbott Moon and Steve Bohannon had expressed concerns at the March 1 meeting about the $1 sale by the city of a dilapidated building at 1316 Vail Ave. and the proposed abatement on the other building. But council unanimously approved the $1 sale then, and after hearing from Robinette, only Moon opposed the sale Tuesday.

Robinette told council he acquired the 4,000-square-foot Central Avenue building in mid-2015 and gutted it, repaired the roof, replaced the heating and cooling, and installed electricity and plumbing. The tax abatement only will eliminate taxes on that building’s added value that was created by the renovation. Liberty Spirits is expected to save $650 per year, or $6,500 over the decade. The company still will pay about $908 yearly in property taxes, based on its earlier value, City Manager Doug Adkins has said.

Robinette plans to operate a modest-sized tasting room and retail space at 1357 Central until the 4,000-square-foot structure at 1316 Vail also is renovated. At that point he plans to continue operating out of 1357 Central, while opening a larger tasting and retail space at the Vail address, which will be reconfigured to also face Central Avenue, with an outdoor entertainment area in front.

If Ohio Lawmakers this year allow craft distillers to operate bars the way craft wineries and microbreweries can, Robinette also plans a full bar at the Vail building.

Buildings like the two being reclaimed by Liberty Spirits are what city officials had in mind in 2010 when they created the downtown’s Community Reinvestment Area, Adkins said, noting many downtown structures have sat vacant so long, they’re in great disrepair.

“It’s one thing to open your business,” Adkins said. “It’s another when you have to put another $50,000 in it, just to be able to get it to where you can use it, before you can even get to your business plan.”

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