Mr. Albrecht, Where's Our Grocery Store - The Big Picture

While Albrecht's contract with the City of Akron provides the basis for action which can be taken by the City to remove Albrecht from the corner lot, there are many other factors which contribute to our frustrations as taxpayers and citizens of the Highland Square neighborhood.

Buying the Land

The corner plot of land that was to be home for our new grocery, as well as the currently empty smaller building beside First Merit, was originally two separate lots. The first was aquired by the City in 1999 for $432,994 after Highland Square's citizens successfully prevented Taco Bell from opening a fast food joint. The second plot was purchased in 2005 for the sole purpose creating a composite site for Albrecht to build the grocery store and the smaller building next to First Merit. The City paid $350,000 for the second lot, for a grand total of $782,994 for both lots. The contract allows Albrecht to purchase this land from the City for a mere $250,000, and at a loss of $532,994 to Akron's taxpayers.

Reducing the Property Taxes

Just before Albrecht took control of the lot, the City reduced the appraised tax rate on the first lot from $341,180 ($119,410 taxable value) in 2002 to $95,900 ($33,575 taxable value) in 2003. Once they aquired the second lot for Albrecht, they reduced the tax appraisial value on it from $223,940 ($78,380 taxable value) in 2005 to $72,020 ($25,210 taxable value) in 2006. The average tax appraisal for both lots together was reduced by nearly 80%. That seems like quite a nice deal, and one that any property owner would love to get from the City. The real victims here are the children at the local schools that lose out on their funding so that one of the richest men in Akron can have a big fat tax break.

The Theater

When a permit was taken out to demolish the Highland Theater to put in 25 parking spaces, the citizens of this neighborhood went into action and made it clear that they wanted the Theater to stay as a centerpiece of our community. As a result of the feedback from the citizens of Highland Square, the school board voted to not spend the estimated additional $900,000 on the part of the expansion which would destroy the Theater.

Curiously, during the weeks of debate over the destruction of the Theater, there was one person that came forward with his desire to have the Theater demolished: Steve Albrecht, owner of Acme and Albrecht, Inc. Steve Albrecht went so far as to write to both the Beacon Journal and the West Side Leader to express this desire. Interestingly, the downloadable info sheet from CBRE, the leasing agent for Abrecht's properties on the north side of Market, has no mention of the Theater and has a space where the Theater's marquee should be. The sheet mentions every other major business in the Square, but somehow the Theater, which stands directly across the street, was forgotten. Strange...

Dodies & The South Side Businesses

With the closing of Dodies after 71 years, Highland Square has lost one of it's landmarks. The owners of Two Amigos, with their dreams of greatness, closed Lily's to make room for expansion of their own restaurant, while at the same time reducing the quality of their food and paying their employees with bad checks. Lily's, however, was not enough for them. They wanted Dodies as well. After many months of legal battle, they got their wish. Dodies is now closed, and after many poor financial decisions by the owner's of Two Amigos, the entire building will likely soon go into forclosure.

Over the past years, on more than one occasion, Steve Albrecht has expressed his desire to control the entire south side of Market Street in Highland Square. The failures of the owners of Two Amigos provides an opportunity for Albrecht to get a foothold on the southside as their building goes up for sale or auction. Had it succeeded, the destruction of the Highland Theater would have also provided opportunties for Albrecht's development goals.

Lease Rates on the New Plazas

Albrecht's properties on the north side of Market are currently posted on the CBRE website at rates of around $25 per square foot per year. These rates are well beyond what normally would be charged for business property in the Square and are more comparable to those found in Montrose. It is unlikely that many locally owned businesses could afford such high lease rates. This is no doubt one big reason why all but one of the units are still empty. So why charge so much? Is it as simple as a landlord being greedy? Or is there more to it...

The argument could be raised that Albrecht is following his more long-term goal to control both the north and south sides of Market Street in Highland Square. A few months of empty units on the north side doesn't compare to the profits that he could gain if he owned everything on both sides of Market. Keeping the units on the north side empty may mean less foot traffic for businesses on the south side, putting even more of a stranglehold on them. Once landmarks like Dodies and the Theater fall, it is much more difficult to launch a good argument for defending the Bucket Shop and Platinum Dragon. In the end, Highland Square could become formed in Albrecht's image, like Walhaven a few blocks up Market Street.

Profits at Acme #1

During his negotiations with one potential grocery operator, Albrecht, Inc's Joe Albrecht revealed that the profits at Albrecht owned Acme #1 increased by $35,000 PER WEEK when Highland Square's Star Market closed. Obviously there is a conflict of interest when it comes to Albrecht bringing a new grocery store to the Square. The people that really suffer from this are those that can't simply hop in their cars and run down to Acme #1: the poor, elderly, and children of Highland Square.

As an interesting side note, Acme #1 recently announced a significant expansion.