Empire State Development Announces Official Transfer of Former 201-Acre Butler Correctional Facility

Recipient Wayne County Will Turn Property Over to Westbury Lumber of Red Creek

Conversion of Property is Part of Broader Statewide Initiative to Repurpose Underutilized or Vacant State-Owned Properties

Empire State Development (ESD) today announced the official transfer of the former Butler Correctional Facility to the Wayne County Industrial Development Agency. The agency in turn transferred the property to Westbury Lumber, which successfully was awarded the land through a competitive RFP process.  

“New York remains committed to the redevelopment and adaptive reuse of underutilized sites throughout the state,” said Empire State Development President, CEO and Commissioner Hope Knight.  “By transferring the former Butler Correctional Facility to Wayne County and Westbury Lumber, the property will provide new opportunities for investments that create jobs and generate local and regional economic growth.”

The wholesale hardwood sawmill company, which has had operations adjacent to the Butler facility for more than 20 years, plans to repurpose much of the 201-acre facility, focusing on expansion and storage. Company officials say the acquisition will allow them to expand operations from current high-end markets in the Northeast into worldwide markets.

Wayne County Industrial Development Agency Executive Director Brian Pincelli said, “Reuse of the former correction facility in Butler will have a significant impact for the community.  The IDA and County greatly appreciate all of the work and support from ESD staff in working through this process. We are particularly grateful to Jason and his team at Westbury Lumber. Their cooperation has been a big part of getting this transaction completed.”   

Westbury Lumber Owner Jason Smith said, “This acquisition represents a significant investment in Red Creek and Wayne County that will create new opportunities and support long-term economic vitality in the Central NY Region. We are grateful to the ESD, Wayne County IDA, attorney Douglas Jablonski, and all local and state partners who helped make this possible.”

In May of 2022, Governor Hochul announced the formation of Prison Redevelopment Commission to analyze prison redevelopment opportunities that serve the state’s economic needs and recommend a clear and credible plan of action. The closures provided opportunities to transform these facilities in more creative and productive ways​, paving the way for opportunities to spur investment. The commission included leadership from State agencies as well as foundations, regional leaders and stakeholders, and economic development experts who focused on developing an action plan to turn these properties opportunities for communities to thrive.

ESD previously facilitated the transfer of Livingston Correctional Facility to Livingston County for use as a business park.  Additionally, ESD has conditionally designated Conifer Realty LLC to transform the former Downstate Correctional Facility into a vibrant housing development, including market rate and affordable rental units and homes available for ownership.  That project continues to move forward, with ESD, Conifer and the Town of Fishkill working toward a final site plan. Furthermore, ESD continues to work with local stakeholders and our partner agencies to identify redevelopment opportunities on other sites in the Prison Redevelopment Commission portfolio.

New York State Department of Corrections and Community Supervision Commissioner Daniel F. Martuscello III said, “It is encouraging to see that, under the leadership of Governor Hochul, another former New York State correctional facility will transform into a space that supports economic growth and creates new opportunities for the local community. This redevelopment demonstrates how strategic partnerships can breathe new life into state-owned properties while generating jobs and investment. I commend Empire State Development, Wayne County, and Westbury Lumber for their vision and collaboration in fostering this project.”

State Senator Pamela Helming said, “After years of work by many dedicated local and state partners, I am thrilled to see the former Butler Correctional Facility officially transferred for redevelopment. This is tremendous news for Wayne County, the Town of Butler, and our local economy. Congratulations to Jason Smith and the entire Westbury Lumber team on this significant investment in our community. Their expansion will create new opportunities, support local jobs, and return this long-vacant property to productive use. I appreciate the leadership of the Wayne County Board of Supervisors, Chairwoman Kim Leonard, Town of Butler Supervisor Tom Mettler, the Wayne County Industrial Development Agency, Empire State Development, and everyone whose persistence and collaboration helped make this project a reality.”

Assemblyman Brian Manktelow said, “I am glad to see the efforts of the county and Westbury Lumber come to fruition for the transfer of the Butler Correctional Facility. Developments for our community in this capacity have the potential to create new opportunities for jobs and regional economic growth. The County and IDA have done an incredible job in working with the Empire State Development staff to bring this transfer forward. We are hoping for the best for Westbury Lumber as they take on ownership.”

Accelerating Economic Development in the Finger Lakes 
Today’s announcement complements “Finger Lakes Forward,” the region’s comprehensive strategy to generate robust economic growth and community development. The regionally designed plan focuses on investing in key industries including photonics, agriculture‎ and food production, and advanced manufacturing. More information is available here. ​

About Empire State Development 
Empire State Development is New York’s chief economic development agency, and promotes business growth, job creation, and greater economic opportunity throughout the state. With offices in each of the state's 10 regions, ESD oversees the Regional Economic Development Councils, supports broadband equity through the ConnectALL office, and is growing the workforce of tomorrow through the Office of Strategic Workforce Development. The agency engages with emerging and next generation industries like clean energy and semiconductor manufacturing looking to grow in New York State, operates a network of assistance centers to help small businesses grow and succeed, and promotes the state's world class tourism destinations through I LOVE NY. For more information, please visit esd.ny.gov, and connect with ESD on LinkedIn, Facebook, and X.

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