Montgomery’s Building Boom

A complete guide to the Town of Montgomery’s largest building projects

By Laura Fitzgerald
Posted 2/6/19

The Town of Montgomery might teem with construction in the coming years as numerous large projects sit before town and village boards.

Many of the proposed projects are warehouses, except City …

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Montgomery’s Building Boom

A complete guide to the Town of Montgomery’s largest building projects

Posted

The Town of Montgomery might teem with construction in the coming years as numerous large projects sit before town and village boards.

Many of the proposed projects are warehouses, except City Winery and the Chandler Lane project in the Village of Montgomery and the Galaxy project in the Village of Maybrook.

New projects promise new jobs. The majority of jobs from the two largest projects—Project Sailfish and Medline Industries—will offer jobs around the U.S. Census Bureau’s estimate of Orange County’s average per capita income of $32,600.

All three of the largest proposed projects—Project Sailfish, Medline and the Galaxy Project—requested or received tax exemptions or grants. City Winery, a proposed winery and event space in the Village of Montgomery, also received state grants.

Medline

Medline Industries, Inc. has proposed a 1.3-million-square-foot warehouse with offices, shipping and receiving, warehouse storage and areas for employees. It also includes 700 parking spaces for cars and 200 for trucks, according to planning board documents.

The project is located on the east side of NYS Route 416 and north of Interstate I-84, just outside village limits in the Town of Montgomery. The site has two proposed accesses on NYS Route 416.

The project will generate approximately 360 truck and tractor trailer trips per day. Stacy Rubenstein, Medline public relations manager, said these trucks will be routed through Neelytown Road onto I-84.

The project will cause a physical disturbance of approximately 85 acres of land in a 103-acre parcel.

The new facility will serve a region including New York, New Jersey, Connecticut and portions of Massachusetts and Pennsylvania.

Medline is a privately held manufacturer and distributor of medical supplies with more than 150 locations 18,000 employees worldwide.

Medline purchased the tax parcel from Aden Brook Agri Sales, USA, Inc., in September for $17.8 million, according to Orange County property tax records.

Medline plans to relocate 340 workers from its outgrown 500,000-square-foot facility in Wawayanda to the proposed facility and hire between 150 and 200 more. Approximately 25 percent of new hires would be Town of Montgomery residents, according to Town of Montgomery IDA documents.

Medline’s application for assistance with the Orange County IDA states 31 current and future jobs in the management sector pay on average $69,000 per year and 100 drivers are paid an average of $49,000 per year. Approximately 74 percent, or 369 current and future jobs of the facility’s approximately 500 workers will make $33,000 per year.

Medline requested approximately $17.6 million from the Town of Montgomery Industrial Development Agency (IDA) for real property tax exemptions and $8 million in New York State sales and compensating use tax.

The IDA will not be able to act on requests for PILOTs until after the planning board completes its review of both Medline and Project Sailfish.

Medline also negotiated a payment-in-lieu-of-taxes (PILOT) with the Orange County IDA for its facilities in Wawayanda in 2008, which are expected to end next year for town, county and school taxes.

The company has made $10.2 billion in overall sales, according to Medline’s website.

Project Sailfish

Bluewater Industrial Partners is planning to build an approximately 1-million-square-foot warehouse for an undisclosed tenant.

The project is located near I-84 and the intersections of NYS Route 17K and 747, with a primary access from Route 747 and a secondary access on Route 17K. A proposed traffic light would be installed on NYS Route 747 to provide a northbound left turn lane and southbound left turn lane into the site. Route 747 will also be widened.

Bluewater Industrial Partners representative Don Chase said the building will exist for the fulfillment of consumer goods and there will be no hazardous materials or industrial processing.

The $75 million project will include 1,000 car and 225 truck parking spaces.

It will also include the construction of a wastewater treatment plant, which will be deeded to the town after construction. The proposed maximum average wastewater generation for the project is 20,000 gallons per day.

The project will include 80 acres of disturbance and 50 acres of impervious surfaces on an approximately 188-acre parcel.

The Draft Environmental Impact Statement (DEIS) estimates the site will generate between 617 and 641 car and truck trips for morning and evening peak hours for all months of the year except December. During the peak season of December, the project will generate between 975 and 1,032 trips during peak hours.

The project will create at least 800 jobs, 775 of which will be unskilled hourly positions starting at $31,200 plus benefits, representing about 97 percent of jobs created, according to Town of Montgomery IDA documents. Approximately 3 percent, or 25, new jobs will be managerial positions starting at $60,000 plus benefits.

Project Sailfish requested approximately $21.5 million in real property tax exemptions from the Town of Montgomery IDA, $3.2 million in New York State sales and compensating use tax and $600,000 in mortgage recording taxes.

Galaxy Project

Galaxy Limited, LLC has proposed an industrial park in the Village of Maybrook on 80 acres of rail-side property that could support up to 850,000 square feet of industrial and commercial space.

The project includes light industrial pad-ready sites, an extension of Main Street over the railroad tracks, a two-mile road parallel to the tracks that connects Henry Hanning Drive in the Town of Montgomery with a Main Street extension in Maybrook, a pedestrian tunnel connecting downtown Maybrook and the new complex, and a two-mile hike/bike path with access to Stewart State Forest.

Galaxy received a $600,000 Empire State Development grant to complete phase one of the multi-phase project, which includes preparation of several site pads and the access road.

City Winery

City Winery will turn the old Montgomery Worsted Mills property into a fully operational vineyard and event space, including a restaurant, a distillery, tasting rooms, 14 guest rooms, outdoor ceremony and performance areas and parking for approximately 300 cars.

The outdoor stage will only be used from 1 to 4 p.m. on weekends, which the applicant may stipulate as part of the planned development district.

The property will be the first non-urban winery for the metropolitan chain with locations in New York City, Chicago, Atlanta, Nashville, Washington, D.C., and Boston.

It will also be the first to aid in the production of other City Winery sites along with offering experiential elements of wine and wine making to the public.

Michael Dorf, founder and CEO, said the winemaker’s support team and tasting room and café staff will be hired locally, generating between 15 and 20 jobs.

City Winery received a $805,500 New York State Energy Research and Development Authority grant that will allow developers to install solar panels on existing buildings and a hydroelectric turbine on the Wallkill River, providing net zero energy performance.

City Winery also received two ESD grants totaling $1.07 million that will aid in the development of the historic property.

Chandler Lane

Chandler Lane is a mixed-use development in the Village of Montgomery.

It includes 165 condos, 43 of which are detached and 122 are semi-detached. It also includes commercial space, natural space and several storm water management facilities.

The total area of disturbance will be 25 acres on the approximately 36-acre parcel.

All street and parking areas will include sidewalks, trees, landscaping, decorative and functional lighting, interspersed benches and other public amenities to create a traditional neighborhood design that encourages pedestrian use.

The project was first discussed with the Village of Montgomery board of trustees in 2005 and the board declared lead agency in Sept. 2006. The first public hearings for the project were held in April 2008.

KSH

Kings Service Holding, Inc. (KSH) proposed two warehouse facilities and two senior housing complexes in the Village of Montgomery, on Route 211.

The project includes a 200,000-square-foot warehouse, a 90,000-square-foot warehouse and two affordable senior housing buildings with about 80 one-bedroom units.

The applicant plans to sell the site plan to developers rather than build it himself, attorney for the village board of trustees Kevin Dowd said. The smaller warehouse would be used for an expansion of the applicant’s business in Cornwall, while the large warehouse would be sold. The larger warehouse would house between 30 and 35 employees.

However, a local law introduced by the village board may change the applicant’s plans. Local law number three of 2018 would erase the senior district overlay fronting Route 211, the overlay where the applicant would like to build senior housing.

ARCO/Leonard Drive

ARCO Design/Build, a national design-build contractor with a focus in the industrial market, recently received site plan approval for 100,300-square-foot warehouse with 70 car parking spaces, 37 truck spaces and 20 loading bays on a 22.5 acre-parcel.

Located in the Town of Montgomery at Leonard’s Drive off Bracken Road, the employee parking will be in front while truck parking and loading will be in the back of the building.

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