Goodyear, which has made no moves to leave Akron, would like to construct a campus of buildings on land adjacent to its technical center. The buildings would house its world headquarters and its North American operations, approximately 3,000 employees.
The new buildings would replace the tiremaker’s existing 80-plus year old headquarters on the east side of the city.
No price tag was placed on the deal, and it would take about two years to complete any new buildings for the tiremaker, according to officials.
The deal would require help from the city, county, state and federal governments, as well as a redevelopment effort for its existing facilities.
Akron Mayor Don Plusquellic and Goodyear officials announced the plan yesterday at a press conference.
According to the city and Goodyear, national developer Stu Lichter of Industrial Real Estate Group (IRG) has presented a proposal that includes the purchase of Goodyear’s existing headquarters buildings in exchange for the construction of two new buildings for Goodyear.
Lichter is well known for his redevelopment efforts in Akron. He led the effort to convert the abandoned BFGoodrich (later Uniroyal-Goodrich Tire Co.) headquarters into Canal Place, which combines office space with small shops and restaurants, and the purchase and redevelopment of the Lockheed Martin Complex.
Under the plan, the existing Goodyear buildings, totaling approximately 800,000 usable square feet, would be converted to a mixed-use complex of office, commercial and retail space by IRG.
“Our outdated facilities are not conducive to effective and efficient business in today’s environment,” said Joe Gingo, Goodyear’s executive vice president and chief technical officer. “Working with Stu’s team, we have initiated a comprehensive study to review the economics, viability and benefit. To fully understand the dynamics and economics of creating a new business environment, and in the interest of fairness to shareholders, the company needed to thoroughly study all options.”
Gingo is leading Goodyear’s review of existing headquarters facilities and future needs.
Plusquellic said, “A project of such magnitude will need the joint cooperation of Goodyear, IRG, the City of Akron, Summit County, the state of Ohio and federal government to work, but we see this as a huge win-win for everyone involved. I’m elated that Goodyear has given all of us in the Akron community an opportunity to keep them here, and I appreciate very much their willingness to re-commit to Akron, if we can do our part.”
The whole deal, though, hinges on the “economics” being worked out, said the mayor.
