A small Genesee County architectural firm displaced by the sudden closure of its commercial complex is planning to renovate and relocate to a historic 216-year-old house in Batavia that predates the War of 1812. smartDESIGN Architecture PLLC has owned the property at 4 Mix Place since 2020, after purchasing it out of foreclosure when it failed to sell on the market or at public auction.
The historic home, built in 1809 as a private residence, has been vacant for years and suffered significant damage during that period. According to the firm's application to the Genesee County Economic Development Center (GCEDC) for tax incentives, the house was burglarized and vandalized while empty, resulting in tens of thousands of dollars in damage. The property's assessed value dropped dramatically from $285,000 in 2021 to $154,000 in 2022 due to its deteriorated condition.
The architectural firm is now seeking to invest $480,000 to renovate the 5,508-square-foot building into its new headquarters. The project would preserve 12 full-time equivalent positions with an average salary of $75,000 while ensuring the business remains in Batavia. However, smartDESIGN says it needs tax breaks to help offset the higher construction and renovation costs associated with historic preservation.
The company has requested $109,493 in total tax relief from GCEDC, including $25,600 in sales tax exemptions on construction materials costing up to $320,000, a $4,000 mortgage-recording tax break on a loan of up to $400,000, and a 10-year payment-in-lieu-of-taxes (PILOT) agreement that would save $79,893. Under the PILOT program, the firm would continue paying the current property tax of $6,746 per year plus an average PILOT payment of $5,326 over the 10-year term before full taxes resume.
The property is currently assessed at $213,000, but officials estimate the new assessment would reach $633,420 after the improvements, which are valued at $420,420. A public hearing was held on August 5, and GCEDC is expected to approve the project on September 4. The city has already granted approval along with a special-use permit for the conversion.
In its application, smartDESIGN emphasized that the financial assistance is essential for project feasibility and the firm's continued presence in Genesee County. "While we are committed to investing in Genesee County, the reality is that without this financial assistance, the scale of investment required to rehabilitate this particular property would likely render the project economically unfeasible," the firm stated.
The company explained it purchased the house five years ago "not for speculative value but because of our preference to remain in Genesee County and our desire to contribute to its revitalization." The firm noted that the imbalance between high construction costs and lower property values creates a financial gap that the requested incentives would help bridge.
GCEDC acknowledged that while the project is retail in nature and would normally not qualify for benefits, the architectural firm provides a service that "would not be reasonably accessible" to city residents. The project will also preserve local jobs, and the 1.71-acre property is located in an Opportunity Zone where office use is "an identified redevelopment target."
The displacement of smartDESIGN occurred when Ohio-based Amerinac Holding Corp., which purchased the Harvester Center facility in 2021, notified tenants in late May that it needed to empty the building for a full-scale redevelopment. The company told tenants their leases would expire on June 30. The building is part of a larger 29-acre complex with multiple buildings, six of which have received code violation notices from the city.
Amerinac is planning to demolish six severely deteriorated buildings and renovate the remaining structures into a multi-use campus that officials have compared to Buffalo's Larkinville development. The city has even applied for a $1 million Restore NY grant to support the project.
Work on the historic house renovation is expected to begin immediately upon approval, with completion targeted for March 2026 within seven months. The project represents smartDESIGN's commitment to historic preservation while adapting old structures for modern business needs.
In related business, GCEDC is also expected to approve $2.11 million in tax breaks for an $11.1 million project by Brantford, Ontario-based Koolatron Corp. The Canadian company plans to construct a 165,000-square-foot warehouse at the corner of Call Parkway and Old Orchard Road in the Gateway II Corporate Park in the Town of Batavia.
Koolatron, which already operates more than 200,000 square feet of warehouse space in two other Genesee County facilities, is adding the third facility to focus primarily on Kenmore-branded products it now has a license to distribute. These include standing and chest freezers, wine cellars, refrigerators, and small appliances. The project would create 28 full-time jobs within three years, paying an average salary of $50,000, with wages ranging from $40,000 to $100,000.
