CCIDA Board Approves Financial Incentives for Purchase of Dunkirk Property

Action will assist with renovating former bank building at 401-403 Central Avenue

JAMESTOWN, NY -- At its August 27, 2024 meeting, the County of Chautauqua Industrial Development Agency (CCIDA) Board of Directors approved incentives for 401 Central, LLC. The board action will support the purchase and renovation of property located at 401-403 Central Avenue in Dunkirk, known as the former Lake Shore National Bank building, as well as an adjacent parking lot on Lark Street. The incentives include real property, sales tax, and mortgage recording tax abatements.

401 Central, LLC was formed by Gary Crewson of Peak Development Partners, the Managing Member. Acting together with Lee Crewson (Agent) and Craig Marlatt (Preconstruction Manager), the plan is to purchase the building from its current owner, the Dunkirk Local Development Corporation (DLDC), and convert the 10,855 square-foot structure into five market rate apartments and approximately 1800-2800 square feet of commercial space. The building is prominently located at the intersection of Central Avenue and 4th Street, diagonal from City Hall and three blocks from the waterfront.

The total cost of the project is estimated at $2.4 million. The financial assistance provided by the CCIDA will include sales tax, mortgage recording tax, and property tax abatements over 15 years, with $243,864 in new total PILOT (payment in lieu of taxes) payments paid to the affected tax jurisdictions during that same time period as a result of the new capital investment. The project will also receive state funding from the recent Downtown Revitalization Initiative (DRI) grant awarded to the city in 2023, plus an additional grant from the state’s Regional Economic Development Council.

Built in 1938, the building was the longtime home of Lake Shore National Bank. It was later used by Marine Midland, HSBC, and then First Niagara Bank, which closed operations at the location in 2016 after First Niagara was bought by KeyBank. It has sat vacant ever since.

The project will provide an estimated 24 construction jobs during the renovation period and, once complete, up to seven permanent full time jobs. Work is expected to begin immediately, with a tentative completion date of September 2025.

“Our plan is to provide market rate apartments for working professionals who want to live in the downtown area, close to where they work. We also look forward to providing commercial space in a key corridor of Dunkirk to help enhance the business district,” said Gary Crewson. “We’re grateful to New York State, the City of Dunkirk, and the CCIDA for helping us move this project forward and can’t wait to see it completed and ready for use.”

“The CCIDA is happy to offer financial incentives for this project at the request of the City of Dunkirk, and we’re excited to see it move forward,” said Mark Geise, Chautauqua County Deputy County Executive for Economic Development and CEO of the CCIDA. “Communities across the country are challenged with legacy bank buildings that served a key purpose in the 20^th century, but have become outdated with the advent of digital and online banking in the 21^st century. It’s exactly the type of project our adaptive reuse PILOT program is intended to be used for, and it’s precisely the type of project that the City of Dunkirk’s downtown needs and will support.”

“Adaptive Re-Use Projects” are qualified projects that involve adapting old sites or structures for new purposes, including potentially a mix of business and commercial uses, or market-rate housing. Adaptive Re-Use Projects are those that will benefit Chautauqua County by redeveloping a blighted site or structure, promoting development using existing infrastructure, and creating new economic activity at troubled sites or structures to assist in eliminating neighborhood blight.

“It's great to see this project come to fruition in Dunkirk. If we want to grow our communities here in Chautauqua County and reverse the decades-long trend of population decline, we need to have modern, market-rate apartments available for working residents, especially those who want to live close to where they work," said County Executive Paul “PJ” Wendel.

“We’re thrilled to see Gary Crewson and his team breathe new life into this vacant and deteriorating building in our central business district,” said Dunkirk Mayor Kate Wdowiasz. "This project will be the first Downtown Revitalization Initiative project to have been started during this award process and the mixed-use project is going to be transformational for Central Avenue and I believe it’s just the beginning. So providing this type of assistance is in line with the IDA and the city’s vision and goals for revitalizing downtown Dunkirk. Our city is definitely on the move and we can’t wait to see it continue in the months and years that lie ahead.”

About CCIDA - The CCIDA is an economic development organization authorized and empowered by the State of New York to make Chautauqua County a better place to work, live, and visit. It facilitates development by attracting new businesses, while promoting the retention and expansion of existing businesses. Assistance in the form of incentives – tax abatements, low interest loans, and bond financing – enhances the opportunities for job creation and retention by our businesses. For more information visit ChooseCHQ.com.