Cleveland Clinic Advances $140 Million Operations Hub at Former Ford Plant
City Council — Walton Hills
Walton Hills approved a Community Reinvestment Area abatement for a $140 million, 650,000 square foot Cleveland Clinic operations hub at Innovation Center East.
Walton Hills Village Council voted unanimously on July 31 to approve a Community Reinvestment Area tax abatement clearing the way for a new Cleveland Clinic operations hub. The facility will rise at Innovation Center East, the ongoing redevelopment of the former Ford Motor Co. stamping plant on Northfield Road. Project Scope The proposed building will be just under 650,000 square feet, making it the largest of three buildings planned for the campus. Tom Jordan, the village's economic development consultant, told council the total investment tied to the project is about 140 million dollars. He added that Cleveland Clinic's own investment in equipping the facility, beyond the base construction cost, is expected to reach nearly 80 million dollars. The Clinic is calling the facility a Unified Operations Center. A representative for the development team said it will bring together several back office hospital functions under one roof, including maintenance, cleaning, sterilization of medical equipment, engineering services, and regional distribution. Direct clinical services, including a pharmacy, are also expected on site, with dedicated parking and entrances for patients. Officials were clear that the project is not a data center. Employment Numbers According to the CRA agreement, the facility will initially house a minimum of 373 full time permanent positions with an aggregate annual payroll near 29 million dollars. Jordan said those roles are believed to be existing Cleveland Clinic jobs currently based at facilities throughout Northeast Ohio that will relocate to Walton Hills. The agreement lays out additional hiring through the life of the exemption. By the end of year two, the Clinic is projected to add 27 full time and six part time jobs, adding about 2.4 million dollars in payroll. By years six through ten, four more full time and one more part time position are expected, adding roughly 422,000 dollars. Building Design and Next Steps The new facility is expected to mirror the design of the existing Cardinal Health building already on the property's northeast corner. Plans call for truck docks on the north and south sides of the building and two employee entrances, one facing the rail line to the east and one facing north. A traffic study will be required when the project reaches the planning commission for site plan review. Third Agreement at the Site Legal counsel for the village confirmed this is the third Community Reinvestment Area agreement tied to the former Ford plant redevelopment, following earlier abatements for Cardinal Health and Great Day Improvements. Unlike the prior two agreements, this one includes a commitment from the developer and Cleveland Clinic to promote high school internship opportunities in coordination with the local school district.
Frequently Asked Questions
What was approved at the July 31 meeting?
Walton Hills Village Council unanimously approved a Community Reinvestment Area tax abatement for a new Cleveland Clinic operations hub.
Where is the facility being built?
At Innovation Center East, the redevelopment of the former Ford Motor Co. stamping plant on Northfield Road.
How large is the building?
Just under 650,000 square feet, the largest of three buildings planned for the site.
What functions will the facility serve?
It will centralize hospital back office operations, including sterilization, maintenance, engineering, distribution, and some direct pharmacy services.
How many jobs are expected?
A minimum of 373 full time positions at the start, with additional phased hiring planned over the next decade.