Havana Castle Cigars switches to new site to allow Lystek room to expand

·2 min read

A sales agreement extension in Dundalk's Eco Park was up again at council – but with a twist.

In this case, the purchaser, Havana Castle Cigars, was asked to switch to a new location.

Its original site was 5.75 acres next to the Lystek plant at the current end of the Eco Parkway, which is being extended through to Hwy. 10.

That deal was at $20,000 per acre or a total of $115k for the site – lower than the going rate because the lot needed a lot of fill.

Council approved a new deal with Havana with a closing date of Sept. 24, 2021 or sooner.

The company will be seeking a site plan agreement and building permit shortly, said the staff report received Jun. 16.

Similar to the last Eco-Park offer extension, a clause was added to require construction to begin in one year, not three.

The original deal with Havana Castle Cigars was made in December 2018, and renewed a year later.

Then in 2020, township staff was approached by Lystek to expand its operations. Havana then met with Southgate staff to consider another location which would need less fill and have better visibility for its planned 10,000 sq. ft. warehouse. It will be used to supply its retail locations in southern Ontario cities.

The new site is almost seven acres, which Havana will buy at the full price of $30,000. Lystek will compensate Havana for the difference in price, staff said.

Havana may expand into other uses on the property in the future, such as office space.

The Havana deal will bring $208,500 for the land sale, about $120,000 in Development Charges, as well as site and building permit fees, future taxes and four jobs.

No information was presented about Lystek’s plans for expansion. There is no new application for amendment on the Environmental Registry.

Lystek is an organic materials recovery centre tht uses thermal hydrolysis to process biosolids such as municipal sewage and organic materials – a CFIA-approved fertilizer is the result of the process.

M.T. Fernandes, Local Journalism Initiative Reporter, Dundalk Herald

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