ELLICOTTVILLE — Two North Union Street buildings in Olean are in line for an investment of up to $1.5 million — including mixed retail, office and housing components.
Totaline Development LLC, a New York City-based developer owned by Bobby Sina, has bought four Olean properties since last year, including buildings at 188 N. Union St., which houses the Brothers Bistro restaurant, and 239 N. Union St., the former Bradner’s Galleries. The combined cost of the properties was between $500,000 and $600,000.
Totaline Development, represented by Nick Goodell of Olean, is seeking inducements from the Cattaraugus County Industrial Development Agency (IDA) including about $45,000 in sales tax exemptions for building materials and furnishings. No decision has been made on whether to seek mortgage tax exemption or a payment in lieu of taxes (P.I.L.O.T.) agreement.
Goodell outlined the plans for Industrial Development Agency members at a meeting Tuesday morning.
The Brothers Bistro property’s second and third floors will be gutted and renovated for apartments. The building housing the former Bradner’s Galleries will have a mixed retail component on the first floor, possible offices on the second floor and housing on the third floor, Goodell said.
The developer is waiting to see the results of a downtown Olean marketing survey and talking with different groups about what niche the buildings could assume in the downtown area’s future, Goodell said.
Talking to the IDA board of directors, Sina said, “The main goal here is job-creating, job-creating, job-creating.”
The workforce on the projects will be local, Sina said. As many as 140 jobs could be created in Olean in his four buildings alone, he added.
The ultimate question will be how to draw people to these places, Goodell explained. The Walkable Olean project of converting North Union Street into a more people-friendly atmosphere will mean people will need places to go.
He passed around photos of townhouses above 186 N. Union St., which Totaline also purchased and has already renovated. The apartments are expected to be marketed to young professionals as well as retired couples, Goodell said.
“They have to eat, shop and be entertained,” he said.
The projects will benefit from the North Union Street reconstruction and Walkable Olean project, Goodell said.
Corey Wiktor, IDA executive director, said his agency needs to focus its attention on the redevelopment of North Union Street. The IDA contributed to the downtown Olean market study that is to be unveiled soon, he noted.
Other developers are looking at other downtown Olean buildings for development opportunities, including Jeff Belt, SolEpoxy president and co-chairman of the Western New York Regional Economic Development Council and the Olean Business Incubator, Wiktor said.
The IDA encourages use of its adaptive reuse policy to help get sales tax abatement, P.I.L.O.T.s and mortgage tax exemption for these types of projects, Wiktor said.
“We’re waiting to see the needs for the building and trends — what the community needs to be done,” Goodell said. “We want to be sure it fits. It will include housing for sure.”
People are always calling about the availability of high-end housing, he said.
“We want to get these buildings done before we do anything else,” Goodell said.
Next up would be the former Eagles building on West Sullivan Street, which Totaline also purchased. The firm is waiting to decide what to do with the property until the market study is released.
“We want to make sure they are done right,” Goodell said. “We’re excited. We’re encouraging others to invest as well.”
The IDA agreed to hold a public hearing on the proposal later this month in Olean. No date was immediately set.
(Contact reporter Rick Miller at rmiller@oleantimesherald. com. Follow him on Twitter, @RMillerOTH)
