Ohio City Inc. is set to acquire City Goods and The Hangar bar, located at 1442 W. 28th Street, from founder Sam Friedman. The acquisition, announced in a news release, will see City Goods transition into a non-profit, wholly-owned subsidiary of Ohio City Inc., the community development corporation for the near West Side neighborhood. City Goods currently houses over 30 local retail brands within seven arched metal structures.
Despite the change in ownership, consumers can expect minimal disruption to the operations of the retail collection. The transaction is scheduled to be finalized in March, with all staff, including co-founder Liz Painter, retaining their positions. Painter will continue to serve as brand manager of City Goods while also taking on the role of associate marketing director at Ohio City Inc.
Following the transition, City Goods founder Sam Friedman will depart from his current role but will remain involved in the project through his family business, Chagrin Valley Soap and Salve. Friedman will also pursue other opportunities.
The acquisition provides Ohio City Inc. with control over an incubator space, ensuring the preservation of 20 jobs and the support of 30 small businesses within the community. Interim executive director of Ohio City Inc., Chris Schmitt, expressed gratitude for Friedman’s leadership and vision in establishing City Goods, stating that the addition of Ohio City Inc.’s resources will enable the team to further develop the program.
According to the press release, the City Goods team will maintain its commitment to producing events, including monthly markets and dog-friendly yoga sessions. In addition to the 49 events previously organized by City Goods, Ohio City Inc. aims to expand programming to include family movie nights, educational workshops, and enhanced seating areas to facilitate spontaneous gatherings.
Profits generated by City Goods, which are not reinvested into the retail space, will be directed towards supporting Ohio City Inc.’s mission-critical programs, including affordable housing, Near West Recreation, and community engagement initiatives.
The press release emphasized Ohio City Inc.’s excitement about creating a pipeline of young businesses that can grow into sustainable retail opportunities within the community. This approach aligns with the organization’s retail plan, which identifies gaps in home goods and general merchandise that the shops within City Goods help to address.
While the retail collection will transition to a non-profit entity, vendors will continue to operate independently. The non-profit status enables City Goods to access support from foundations and donors, further enhancing its ability to serve the community.