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Investor has his sights on real estate in business district

December 18, 2005|By DANIEL J. SERNOVITZ
(Page 2 of 2)

Laughlin said he does not plan to make significant changes to either the Laber's building or the North Potomac Street building the firm bought this month beyond stronger marketing efforts.

Deborah A. Everhart, director of economic development for the city, has watched Ridgecrest's progress with the Goodwill building and has been impressed with the company's interest in the city's revitalization.

"Of course, we're pleased to have an investor such as Ridgecrest come to this area," Everhart said. "Redevelopment of that (Goodwill) building that could've sat empty for an indefinite time was something we are really interested in seeing. I think they bring a product to the downtown area we are interested in having, and that is a business incubation."

Gaining from each other






When Ridgecrest bought the former armory in June, Laughlin said he planned to renovate the building and turn it into a business incubator with small suites and professional offices. The announcement followed a decision by the Cumberland Valley chapter of Associated Builders and Contractors, which previously had bought the armory from the City of Hagerstown, to renovate the Broadway School instead and use it for its training center.

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P. Chris Marschner, director of the Technical Innovation Center at Hagerstown Community College, took issue at the time with Laughlin's characterization of what Ridgecrest does as business incubation. Marschner said he based his concerns on the amount of autonomy Ridgecrest's businesses have to develop on their own, how much assistance they receive from Ridgecrest and how much equity Ridgecrest asks for in return.

The Technical Innovation Center provides a variety of resources to help businesses become self-sustaining, and has developed a systematic approach to advance that mission with services including business-plan development, consultations and exposure to grant funding opportunities. Marschner said the center does not seek financial equity in those fledgling companies.

Despite those objections, Marschner said he is pleased with both the investment the firm is making in the downtown area and Laughlin's promise of job creation to follow.

"I think John Laughlin's probably doing a fine job," Marschner said. "I think anybody who's doing economic development in the City of Hagerstown is to be commended."

Laughlin, who teaches entrepreneurship courses at Mount St. Mary's University, countered that Ridgecrest is able to offer the firms it works with real-life expertise in the business field, commercial property to operate from at rent below market value and startup capital as either loans or in exchange for equity.

"All of us gain from each other, share resources with each other and can help each other," Laughlin said. "We actually put our money where our mouth is. When I'm invested in a small business, I'm going to do my best to make sure that business succeeds."

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