Massillon will look to profit by sale of four downtown properties for future development

• Massillon is planning to use U.S. American Rescue Plan Act money to demo two downtown buildings acquired in March via a federal lawsuit settlement.
• Overall, the city was awarded four properties from the federal settlement, which involved downtown building owner Grant "Fuzzy" Kowell.
• Massillon officials are hoping to put the properties up for sale by late summer after demolition.

MASSILLON – The city is the new owner of four prime downtown properties worth well into six figures. So what's next after the keys change hands in a matter of weeks?

In mid-March, Massillon officials and Towne Plaza Ltd., operated by Grant "Fuzzy" Kowell, owner of more than 30 properties in the city, came to an agreement regarding a federal lawsuit that transfers ownership of two demolished properties at 14 and 20 Lincoln Way E to the city.

Real-estate moves:Massillon settles federal lawsuit, takes ownership of 4 downtown buildings

The city is also receiving the old Cornell Building that more recently housed Bonnie's Engravers Gallery, 10 Lincoln Way E, and the building at 28 Erie St. N, which housed the former Oriole's Nest bar and the first Tremont Coffee Co. shop.

Mayor Jamie Slutz said he wants to dedicate federal American Rescue Plan Act money to help fund the demolition of the two buildings, possibly starting the effort by the end of summer.

Slutz and his administration are hoping for a development company to buy the properties and rebuild down the road. Estimated value of the four properties combined is about $450,000.

"We want something (to come in) that fits business-wise and with the aesthetics of our downtown," said Slutz.

In late 2023, Kowell filed a federal lawsuit against Massillon, alleging that the city illegally tore down his two crumbling buildings at 14 and 20 Lincoln Way, which were tucked between the former Bonnie's Engravers Gallery store and now closed Duncan Jewelers.

City officials called for the demolitions in January 2023 due to a partial collapse of the two structures, calling the incident a public safety hazard.

Massillon waives approximately $450,000 lien on properties via settlement

Overall, Kowell was seeking monetary damages totaling $300,000 — the cost he valued for the torn down structures. But he agreed to transfer four of his properties to Massillon rather than repaying the demolition cost to the city — around $450,000 — or what was deemed the lien amount the city was charging him.

The settlement canceled the lien on the two properties, which the city now owns.

Moving forward, the city aims to sell the four properties in a single, real-estate sale once all structures are torn down.

"These properties should be a lot more attractive to a developer as a blank slate," said Development Director Ted Herncane.

The mayor's office is likely to engage discussions with real-estate professionals and potential developers when the properties are ready to sell, Herncane said.

"This is definitely an important, visible block in the city for commercial development," he said. "Hopefully, someone can come in to help boost the downtown."

Reach Steven at steven.grazier@indeonline.com. On Twitter: @sgrazierINDE