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Penguin City gets tax deal

Abatement finalized to help with expansion

YOUNGSTOWN — The city’s board of control finalized a 75%, 10-year tax abatement for Penguin City Brewing Co. to help offset costs for a $700,000 expansion.

The board voted 3-0 Thursday on the abatement.

Council authorized the board to approve the abatement Dec. 18.

The brewery and taproom at 460 E. Federal St. plans to pave the remaining portion of its parking lot, provide additional handicapped accessibility, install roof panels, add outdoor electrical outlets to support food trucks and construct restrooms for its banquet center as well as sanitary repairs, window replacements and insulation improvements.

The project received $700,000 from the state capital budget in June.

Since it opened in 2021 at the former Republic warehouse downtown, Penguin City has invested about $4.5 million into the business, creating a multiuse facility – taproom, manufacturing space and event center – that brings in more than 1,000 people weekly.

The business created 20 jobs – six full-time workers and 14 part-timers – and plans to add three full-time and three part-time workers over the next three years with the expansion.

The location originally opened in 1884 as a stable, saloon, wagon shop and lumberyard. It’s been a hotel, restaurant, billiards parlor, blacksmith shop, candy shop, steel and iron fabrication business and steel warehouse over the years.

Penguin City will save $134,137 in property taxes and pay $44,712 over the 10 years of the abatement.

The board of control also Thursday approved a three-year contract with the city’s street department union.

Council approved the contract Feb. 5, but it didn’t have enough votes to approve it by emergency measure so it will take 30 days to take effect.

The 29 union members will receive a 2.5% pay increase this year, retroactive to Jan. 1, as well as 4% in 2026 and 2.5% in 2027.

The union members also will receive $600 safety bonuses every six months for the lifetime of the contract, a $50 annual increase in their uniform allowance and an increase in exposure pay from $805 annually to $1,000 per year.

Starting at $2.99/week.

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