THE JOURNAL & TOPICS NEWSPAPERS | WEDNESDAY, MAY 14, 2008
EG Ready To OK Tax Breaks For Businesses Moving In
By TOM ROBB
Journal Reporter
Elk Grove Village Board last night (Tuesday) expected to approve four more "6B" tax incentive projects to companies looking to expand or move into the community.
A 6B tax incentive lowers the property tax rate from 35% to 16% for businesses that put significant money into rehabilitating property that has stood abandon for one year and that create jobs.
"These four (6Bs) alone will create over 200 new full-time jobs, 30 part-time jobs and will see over $17 million invested back into the community," said Elk Grove Village Mayor Craig Johnson.
Johnson said the community's business park is expanding at a time when many businesses are cutting back. Johnson said in 2007 the village saw a net growth of 100 businesses come into Elk Grove Village. He said the growth is largely due to the village's investment of $40 million into its Business Park, one of the largest in the country, over the last 10 years.
"This is when we see the benefits of this investment, during the tough times. Everyone sees the benefits during the good times," said Johnson.
The current 10-year plan is nearing an end this year and village planners are taking proposals for a new 10-year plan for investment that will be considered by a commission of village and business leaders and the village board later this year.
The following businesses were expected to be granted the 6B tax status at Tuesday's meeting.
* Station Mechanical is set to purchase a business at 176 Gaylord Street. It plans on investing about $1 million into the property and will create 12 full-time positions.
* Gemstone Real Estate Partners plan to purchase and refurbish the property at 1225 - 1331 Greanleaf Avenue. They want to invest $4.5 million in the property and create an expected 80 new jobs at a high tech assembly and distribution facility.
* Airgas North Central plans to build a new 30,000 sq. ft. building on property at 1601 Nicholas Blvd. It plans to invest $6 million and generate 40 jobs.
* Realty Associates recently purchased property at 951 Fargo Avenue that will serve as a new Federal Express distribution center.