photo by: Eric Ayres

Wheeling officials are expected to approve a private developer’s proposed $1.5 million project for the downtown building at 1107 Main St., which is currently owned by the city.

WHEELING — The city of Wheeling is expected to approve a proposal to transform a historic downtown building into high-end residential lofts.

A proposal spearheaded by Austin McKenzie was recently supported by members of the Development Committee of Wheeling City Council for 1107 Main St. — a sprawling structure situated between Main and Water streets in the heart of downtown. Members of Wheeling City Council this Tuesday are expected to vote to approve a resolution authorizing the transfer of this property from the city to the Ohio Valley ADC Inc. for development purposes related to this proposal.

This is the second high-end residential project to move forward with city support along this stretch of Main Street. This year, construction began on a new condominium by local businesswoman Toni DiCarlo just a few doors down on Main Street. This project also promises to offer new downtown residential units overlooking the Ohio River.

The McKenzie project looks to bring a handful of lots to an existing building in a block of historic structures that the city acquired as part of the incentive package that brought The Health Plan headquarters to downtown Wheeling several years ago. McKenzie is working on the project as a family venture along with his parents. His father, former Wheeling Mayor Andy McKenzie, joined him when they pitched the project to city officials during an executive session meeting earlier this fall.

Wheeling City Manager Robert Herron explained the recent history of the historic buildings in the 1100 block of Main Street. He said that when The Health Plan was looking for a site in Wheeling, there were concerns at that time about the condition of the old buildings in that block.

“They were looking at two sites,” Herron said, noting that one site being considered was the Robrecht property off of Main Street just south of Wheeling Creek, which had “way too many challenges.” The other site was in the 1100 block where The Health Plan headquarters is situated today.

Herron noted that the CEO of The Health Plan at that time had concerns about the condition of the three buildings directly across the street from the site at 1107, 1109 and 1111 Main street, which were either vacant or occupied and dilapidated.

“Part of the package to attract The Health Plan was for the city to acquire those three buildings,” Herron explained. “So the city did that, and subsequently they have been put into use with the exception of one, which is 1107 Main St. It’s the one on the end next to the elephant and the park that we have there.”

Other buildings in the block have been rehabilitated and are in use by local businesses, including Mugshots cafe and Laura Bissett-Mull State Farm Insurance agency. The city transferred those properties to developers, and the same was planned for 1107 Main St. in the past.

“A couple of years ago, there was a pizza company from St. Clairsville that made a presentation, and council accepted that presentation and transferred the building to that entity,” Herron said. “They went through some issues both personally and business-wise, and determined not to do the project. I don’t think it had anything at the time to do with the building, it was just some issues that they had.”

Herron said because the redevelopment did not move forward, the property reverted back to the city.

“As is the case with almost all property that the city has and transfers for economic development purposes, there’s a reversionary clause,” he said. “So the city was able to get that property back from that particular entity. We have from time to time requested proposals on developing 1107 Main St. We recently received two proposals to do that, which city council considered in executive session about a month ago. I know there has been thought and careful consideration given to those proposals by council members.”

City leaders noted that there were two solid proposals presented for the building. One was from the McKenzie family and another was from Dr. Lisa Hrurtkay.

Wheeling Mayor Denny Magruder, chairman of the Development Committee of Council, said he looked at several factors when reviewing the two proposals.

“I looked at some criteria, like how much money are they going to invest,” Magruder said. “In the case of the McKenzie proposal, they’re going to invest $1.5 million into this property. Hrutkay’s investment was $750,000. The timeline to complete the development in the case of the McKenzie proposal, the timelines was one-and-a-half to two years. The Hrutkay proposal was three years. I looked at city assistance required – what’s going to be expected afterwards. There are very little requirements in the McKenzie proposal, but relatively more in the Hrutkay proposal. They both want to maintain the historical façade. So I think, without question, I would recommend the McKenzie proposal.”

Several city council members on hand during the Development Committee meeting agreed.

“One thing to consider is the use of historic tax credits and how difficult it is to navigate that process,” Councilman Ty Thorngate added. “One entity has experience, and the other has not had to try to do that before.”

While officials agreed to forward the recommendation to support the McKenzie project to the full city council for consideration, they noted that the city should continue to work with the Hrutkay team on finding another potential location in the city for their proposed development. Hrutkay, a retired local physician, and her husband, retired Wheeling firefighter Tom Fledderus, this year also purchased the property in historic North Wheeling at 753 Main St. that formerly housed Carlito’s Soul Kitchen and Uncle Pete’s.

“We’re very grateful to both,” Magruder said of the two families that submitted proposals for 1107 Main St. “These are both good proposals. The Hrutkays have done a great job. They’re already working on a project as we know in North Wheeling.”

Thorngate noted that as part of Wheeling’s acquisition of the historic Main Street buildings, preservation has been a key part of the effort.

“The money that we would have used to tear down the buildings was put into repairing the roofs of all three buildings in the block,” he said.

Herron added that the city also invested in the fire escape system in the rear of the buildings. A fire escape has not yet been constructed behind the 1107 Main St. building because the city was waiting on a development to be accepted.

“It is set up to do that,” he said. “That’s part of the package the city paid for, as well.”

The two-tiered building itself is oddly configured along the hillside, with an upper part of the structure positioned on Main Street and a lower part on Water Street. The first floor on the Main Street section of the building is actually level with the third floor on Water Street, and likewise, the basement floor on Main Street is in line with the second floor of the Water Street section of the building.

The McKenzies indicated that there have been a number of recent investments in Wheeling to help meet the needs for more residential options in the city – some with income restrictions, but there have not been a lot of higher-end options available. This project targets that market, they noted. With a new hotel eyed for downtown and the new WVU Medicine cancer center on the way for Center Wheeling, the need for such housing options is only expected to increase in the future.

“I want to thank the city of Wheeling, Mayor McGruder and City Council for believing in our project and the opportunity to renovate a historic building in downtown Wheeling,” Austin McKenzie said. “Our current vision is to create five to seven executive apartments that would face both Main and Water streets. We feel it’s in the perfect location near The Health Plan, WesBanco and Williams Lea. We are excited to be a part of the redevelopment of our downtown community near the riverfront and the new Cancer Center for WVU Hospitals.”

The property that houses the small city park with the elephant sculpture is also expected to be part of the transfer. According to the McKenzies, there are no immediate plans to alter the park in any way, and initial plans involve maintaining the park along with restoring the building in a way that stays true to its historic character.

“While we are currently in the developmental and design phase, we look forward to starting the project in the spring of 2025,” McKenzie said.