Menzner to build new facility

By Kevin O’Brien

Menzner Hardwoods plans to build a new millworking facility north of STH 29 as part of a developer’s agreement with the village of Marathon City, which is providing the local company with low-cost land and new infrastructure in its north business park.

The development deal is outlined in a 41-page agreement approved by the village board at its April 3 meeting and later obtained through an open records request.

Because the development site is located within a tax-incremental district (TID 1), the village is able to offer the company incentives upfront in exchange for a new building, estimated to be about 100,000 square feet, that will generate property taxes used to pay off the cost of the land, utilities and road extensions over time.

As part of the developer’s agreement, the village will sell about 32.5 acres of land in its new north business park to Menzner Hardwoods for $1 per acre ($32.50 total) and install “all streets, curbs, gutters, street signage, fire hydrants, storm sewer, sanitary sewer main, water main, power, gas, and telecommunication services” needed for the development. The infrastructure will be completed by Aug. 30 of this year, according to the agreement.

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All of the infrastructure work is part of an existing project that is already underway, with Kruczek Construction building a new road, North Business Parkway, from STH 107 to 152nd Avenue.

In exchange, Menzner Hardwoods pledges to construct a facility with an assessed value of at least $8.1 million, with substantial completion expected by June 30, 2026. Starting in 2026, the company agrees to pay the village at least $153,836 in “guaranteed tax increment revenue” every year. If the annual property tax bill falls below that amount, the company promises to make a supplemental payment to make up the difference.

The facility, which will be built off Cattail Avenue just west of 152nd Avenue, will be used for “milling, painting, packaging, storing, and distributing wood products,” according to the developer’s agreement. PJM Investments, LLC, a subsidiary of Menzner Hardwoods, will own the building and Menzer will be the tenant.

If Menzer does not build the proposed facility by June 30, 2026, the village has the right to buy back the property for $1 per acre plus the “fair market value of any improvements” made to the site by the developer. This buyback provision also applies if construction on the site ceases for 90 or more consecutive days.

Under the terms of the agreement, Menzer is allowed to inspect the development site, and if the company determines that it is unsuitable for its needs, it can terminate the agreement no later than 72 hours before the closing date.

The agreement also includes a copy of the restrictive covenants for buildings in the business park, along with a list of variances granted to Menzer for its facility, including a more lenient setback from the road right-ofway (30 feet instead of 60) and the ability to cover up to 90 percent of the site with impervious surface (compared to 65 percent in the covenants).

To accommodate the new development, the village board voted at its May 1 meeting to vacate a portion of Cattail Avenue that was originally platted to extend west and then north to connect with the new North Business Parkway, which is currently under construction.

A new certified survey map, also approved by the board, indicates that Cattail Avenue will end in a turnaround at its current location, and four adjacent lots will be merged into one for the millwork facility to be built on.

Originally established in 1894, Menzner Hardwoods currently has approximately 500 employees in four states, according to the company’s website.

When contacted for a comment, Katie Menzer Johnson, director of Strategy, Planning and Organizational Development, confirmed the company is “in the final stages of acquiring new land within Marathon City.”

“We are in the design phase of development and are excited about the opportunity to grow our manufacturing footprint here in Marathon,” the statement says. “We want to thank the village administration and board for the strong partnership and support that has led to this development.”