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Longaberger empties famous Ohio basket building

 

 

NEWARK, Ohio — Nineteen years ago, 225 employees of The Longaberger Co. couldn't wait to enter their new workplace, a $32 million, seven-story replica of the company's Medium Market Basket that eventually housed 500 workers.

Today, the 10 remaining employees inside the deteriorating structure can't wait to leave the world's largest basket building and join their co-workers at the company's manufacturing campus and home office at the Longaberger Homestead, two miles east of Frazeysburg.

The 180,000-square foot building will be vacant by the end of the week, as the last employees move out Thursday or Friday, taking their supplies to the Muskingum County facility. There were 68 employees working at the basket building last year, according to city documents.

Brenton Baker, director of marketing and communications for Longaberger, said the move isn't reluctant for the employees, who have been looking forward to being with the rest of the Longaberger employees and working closer to home.

"It is not a sad thing we are leaving," Baker said last week. "People keep saying they feel sad for the employees. Don't feel sad for us. I cannot wait for next week. For me, next week can't come fast enough. For the people on the outside, it's probably not that way.

"We, the employees, asked if we could move out of the building. We're pretty busy. No one is standing around lamenting much."

 

Newark city officials have discussed what will become of the basket after Longaberger leaves, but no solutions have yet emerged on what to do with the building that was a worldwide news story in 1997.

Longaberger, one of several direct-selling companies owned by JRJR Networks, owes $577,660 in property taxes due by July 20, and, with interest and penalties, will owe $605,219, due by Aug. 1. The company has made no payments since Nov. 24, 2014, when it paid $10,000. It paid $70,000 that year, but nothing since.

Leaving the East Main Street property will not change Longaberger's tax obligations, which will continue to mount, according to Licking County Treasurer Olivia Parkinson.

"Taxes are still due whether it's vacant or not," Parkinson said. "The only way it would change is if they file by March 31 with the Board of Revision to change the taxable value."

Parkinson said the Licking County land bank, of which she is a member has discussed the basket and the city has been in contact with public-private partnerships, searching for an answer.

"We're trying to work with whomever we can to find a solution," Parkinson said. "Foreclosure could happen at any time. It's been eligible for awhile, but we'd rather find a solution."

When the move is complete, about 50 employees will be working in the two-story office building on the front of Building A at the manufacturing campus. Baker estimated 60 percent of the employees making the move live in Muskingum County. He said about 30 percent live in Licking or Coshocton counties, and 10 percent in Franklin County.

The 20-mile separation of Newark employees and those at the manufacturing campus has become a hassle, Baker said.

"Everybody was so spread out and now we'll all be in one big office building together," Baker said. "When we had big meetings, we either had to drive up there or they had to drive down here. And, I drive from Nashport, so it will cut my drive time in half.

"I'm a people person. I'd rather walk over and talk to you then send an email. That was hard to do in the basket. It's a massive space."

The move has occurred gradually over the last month, as the new facility received new carpet, paint and wiring for phone lines.

"We didn't have to be out of the building on a certain date, so we're doing it gradual," Baker said. "There hasn't been any disruption in business. We moved people over in small shifts, so it wasn't a giant strain on any department."

The goal, Baker said, was to have the home office moved before the annual Longaberger Bee, which is July 21-23 in Dresden, and at the Homestead. The 2015 Bee returned to Dresden for the first time in 30 years.

The 9,000-ton building was built with a 30,000-square foot atrium with natural light from the skylight to the lobby floor, two 75-ton heated handles, a large cafeteria area, a 100- to 120-seat theater with a stage, several conference areas for board meetings or training, 84 windows and 31 restrooms.

"The building served us well and was a great testament to the vision of our founder," Baker said. "We have the flexibility to move into a space that will serve us better. I don't think of it as an end of an era, but the start of a new chapter."

Follow Kent Mallett on Twitter: @kmallett1958

 

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