Hyland Software pays $11M for Clemens Road property
By Kevin Kelley
The rumors turned out to be true, and on March 27 Hyland Software and Five Seasons Family Sports Club finally acknowledged them.
Hyland, the fast-growing developer of document management software, paid $11.14 million for the sports club property located across the street on Clemens Road. Five Seasons will close May 31.
“Hyland’s purchase of the property and building at 28105 Clemens Road presented us with a unique opportunity to grow our Westlake campus and keep our buildings close together,” Hyland spokeswoman Megan Klingshirn told West Life. “It also fit well with our overall long-term plans for employee growth and expansion. Because we’re in the early stages of developing plans for the property, we do not have additional information we can share publicly at this time.”
Klingshirn did confirm that Hyland’s plans for the Five Seasons property replace a previously publicized plan to build a new $17.6 million, three-story building on Clemens Road on property purchased four years ago from Nordson Corp. Westlake City Council gave final approval to that proposed project in October. The next month, Council granted a 75-percent tax abatement for 10 years on the planned new building. According to statements in agreement, Hyland promised to create 714 new full-time jobs by the end of 2017, resulting in more than $70 million in additional payroll. The company, which is headquartered in Westlake, currently employs 1,140 persons.
It’s unclear how much of those incentive agreements will need to be renegotiated.
Thomas Deere, chief operating officer of Five Seasons, confirmed the closing in a March 27 letter to members posted on the club’s website.
“The economic environment has made operating the club very ,” Deere’s letter stated. “We have been presented with a significant opportunity to sell to an adjacent property owner that we simply cannot ignore.”
Members’ club charging privileges will cease April 1, and prepaid dues will be refunded 45 days after the club’s closure, Deere said.
Rumors of Five Seasons’ sale or closure circulated for months. Many members complained that management ignored their requests for answers about the club’s future. Deere finally addressed those complaints in his letter.
“We understand your disappointment and would have preferred to share the news earlier,” Deere said, “however due to the nature of a confidentiality agreement with the buyer, we were not able to disclose our intentions earlier.”
In December, Five Seasons filed a request with Westlake to add office use to the zoning category for most of its Clemens Road property.A$100 fee accompanied the request for a change in the definition of the recreational business zoning category. At the time, Deere did not respond to e-mail and phone requests for comment from West Life.
At a Feb. 21 City Council meeting at which the zoning change was approved, a resident asked Council members for information on the future of Five Seasons, a subject on which she had been seeking answers for months.
“You would have to ask the owner of the property,” Council President Mike Killeen replied. “They’re the property owner. They have the rights to do with it what they want.”
Hyland’s statement and the Five Seasons letter to members both strangely fail to mention the other party by name and the sales price, which journalists obtained through real estate transaction records.
Based in Covington, Ky., Five Seasons operates six other sports clubs across the Midwest.