NUCOR Related Housing, Business Boom Underway

Mason County leaders said the business growth coming with the massive steel mill on the way will be life-changing

Mason County leaders said the business growth coming with the massive steel mill on the way will be life-changing. NUCOR corporate leaders say their $3 billion steel mill will need 2,000 construction workers to build and 800 teammates to operate. 

John Musgrave, executive director of the Mason County Development Authority, said the demand for land increases by the day. He said one out-of-state housing construction company has purchased 200 acres for an upscale subdivision. 

“This is a gentleman that ‘s been building out in San Francisco,” Musgrave said. “He’s a West Virginia native, and he was moving back here when he heard what was going on. He’s putting in a subdivision of some upper price range of homes, and then they’re going to do some moderate homes.” 

Musgrave said state and local contractors are already working on several middle income housing projects.

“We’ve talked to a firm that’s located in Bluefield that makes a house that can be erected in about three days,” he said. 

Development is also underway by private investors for upward of 1,500 housing units for plant construction workers. 

These homes being built on converted farm and forest land will need infrastructure. Musgave said Mason County has a history of some of the best water line access in the state and he said the state government is helping with sewer line infrastructure. 

Musgrave said his office is having conversations with numerous retail businesses considering coming to Mason County. He said the highlighted plan for retail business development includes revamping the declining small town of Henderson, just across the Kanawha River from Point Pleasant, into a hub of commerce.   

“We’ll bring in box stores, restaurants, hotels. It will be an ideal location for any major given company that we’d want to deal with,” Musgrave said. “Henderson has been identified as one of the best sites for commercial development between Charleston and Columbus, and is very well situated on the four lanes of Route 35. It also has the cloverleaf there that makes it really easy to get on and be right there.”

NUCOR is located on two-lane Route 2 that runs along the Ohio River from Point Pleasant to Huntington. Musgrave said the plant will put a third lane in for a few miles either side of their site, and the hope is the state will improve more of what’s expected to be a busy thoroughfare. 

“We’ve met with Transportation Secretary Jimmy Wriston and they are working on it,” Musgrave said. “It’s in bad shape, there’s no question about that, and we’ve pointed that out.”

Musgrave said there are another “couple of industries” that have taken options on property that haven’t been announced yet. He said he expects Mason County’s overall growth to be remarkable. 

“I think in the next 10 years, Mason County has the opportunity to triple in population,” Musgrave said.

W.Va. Home Builders Desperate For BUILD WV Act Incentives

The BUILD WV Act was created in 2022 to grow communities across the state and attract new, workforce ready housing developments.

David Reitz is CEO of Marion County based Stella Construction. The veteran home builder has followed the state-incentive-laden BUILD WV Act.

Since it was passed into law last year. Reitz said he’s working to persuade Commerce Secretary James Bailey to create a BUILD WV certified district in his home county.

“We’re seeing a lot of growth from people that are working in Morgantown or working in Bridgeport, we’re kind of smack dab in the middle,” Reitz said. “There’s a convenience and a desperate need for middle income housing, here and everywhere.” 

The BUILD WV Act was created in 2022 to grow communities across the state and attract new, workforce ready housing developments. BUILD WV offers up to three types of tax credits as incentives for housing developers, including a sales tax exemption for building materials, a 10-year property value adjustment refundable tax credit, and a potential municipal B&O exemption.

Secretary Bailey joined Gov. Jim Justice and others in Fayetteville Thursday to sign House Bill 3036 into law. The legislation increases the number of certified districts under the one-year-old BUILD WV Act and raises the limit on approved costs. 

There was a limit of three undesignated certified districts within the act. The new legislation raises that limit without a number, including those who qualify under a set of economic development criteria within an annual $150 million overall threshold. The secretaries of Commerce, Tourism and Economic Development will make the district designations.   

Bailey said the state has plenty of low income housing projects and there’s no limit to building expensive homes for those who can afford them. He said it’s the affordable, middle class homes that are in demand.

“There was not a program to help with affordable housing to meet workforce needs in many areas,” Bailey said. “This innovative idea from the governor really hit a sweet spot and the reception has been tremendous. We now have developers all across the state interested in it.”

Reitz said there are several constants for homebuilders across the state. He said land costs aren’t high, but excavation is costly, materials are very costly right now and it’s difficult for any developer to build that up at a lower price point, and just make the type of margin that you need to justify the effort. He said the tax credits this act makes available on building materials and property values could help turn a housing shortage into a boom. 

“All those costs, municipal fees, B&O tax, all contribute to what the buyer is paying on the back end,” Reitz said. “Those costs just get passed on. The beauty of this bill is that it’s able to slate some of those expenses and make it more affordable and make it more appealing to do houses in that median price point.”

Reitz said as major corporations like Nucor and Berkshire Hathaway Energy build facilities that need hundreds of workers, housing challenges will increase – without some sort of change.

“It’s going to be a situation where, builders and developers are going to have to scramble to keep up because we just have such an older housing stock, at least up in our area,” he said.

Justice said the BUILD WV Act designates $150 million in certified district tax incentives for years to come, offering room for ultimate expansion.

“How in the world can we expect people to move here if we don’t have housing and affordable housing,” Justice said. “I mean, this isn’t rocket science. We’re going to expand this statewide.” 

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