United North, a community development corporation that for years thrived while its peers faced trouble or folded, has an uncertain future as it cedes some of its operations to another group and considers winding down completely.

Based out of neighborhoods north of downtown in the Olde North End, the community development group has built affordable housing for residents, purchased and renovated the Ohio Theatre, and was named Ohio community development corporation of the year in 2013. United North always had to fight for funding, but kept pursuing ambitious projects, such as the renovation of the former St. Hedwig’s School on Lagrange in the Polish Village.

But that ambition may be in large part its undoing. Delays in state tax credit approvals pushed back for years the renovation of the school into housing for low-income senior citizens, and also forced difficult financial decisions, said Tom Jesionowski, president of the board of directors and de facto CEO.

“That tied up most of our capital,” Mr. Jesionowski said.

United North is the result of a 2007 merger between the former Lagrange Development Corp. and NorthRiver Development Corp.

The organization is working on a cooperative agreement with NeighborWorks for much of its operations and is selling properties it manages, according to both Martin Jarret, a former interim CEO, and Mr. Jesionowski.

The group’s retrenchment is illustrated by an expected move by Toledo City Council. On Tuesday council will consider shifting more than $200,000 in community development block grant funds from United North to NeighborWorks because United North is “operating at a limited capacity” and no longer has “the capacity to carry out the two activities funded [through] the CDBG program,” according to the council agenda.

NeighborWorks is already running United North’s Financial Opportunity Center at 2860 Lagrange St. Part of the federal CDBG grant funds were for that center, and the rest was for home rehabilitation.

But that wasn’t the only warning sign. This spring, United North suspended the Lagrange Street Polish Festival, which it had put on for more than 30 years, citing in part the lack of staff and a reorganization effort.

The group has been essentially without a CEO since this summer. Terry Glazer, who headed the organization for more than 25 years, retired in 2015. 

United North hired Steven Seaton in October, 2015 as director. But he was replaced early this year by the board, with Mr. Jarret, a consultant, serving as interim-director until August of that year when funding was secured for the St. Hedwig’s project.

What comes next for United North isn’t clear. The St. Hedwig’s project is underway and will be completed, Mr. Jesionowski said, but no future projects are planned. The board of directors will then decide if United North should essentially be wrapped into the NeighborWorks network, with a decision likely in 2019.

In the meantime, the organization is attempting to help those it serves transition into their futures, such as ensuring that tenants have responsible landlords or apartment managers. The Ohio Theatre, bought by United North in 2009, has undergone renovations and again hosts community and arts events. For now, there’s no decision on its future, but Mr. Jesionowski said the goal is that it will become economically viable on its own. 

Contact Nolan Rosenkrans at nrosenkrans@theblade.com, 419-724-6086, or on Twitter @NolanRosenkrans.

First Published November 26, 2017, 10:38 p.m.