- A business expansion win for Northeast Ohio 08 20 12
A $13.99M business expansion win for Northeast Ohio
Monday, August 20, 2012
Cleveland, Ohio—The Greater Cleveland Partnership Business Development team, in collaboration with regional and local partners, recently scored a “win” for the region by helping secure an expansion project with Maines Paper & Food Service, Inc., a leading independent food service distributor.
The Northeast Ohio team, comprised of the GCP, Cuyahoga County, Village of Oakwood and Team NEO’s regional JobsOhio office, organized assistance at the state and local levels to assist Maines with identifying business financing and funding programs. The company also was considering the $13,990,000 expansion project for a facility in Maryland to accommodate its continued growth and a recent contract with a new client. The expansion project is expected to create 100 jobs, add 50,000 square feet of real estate and $8,590,000 of fixed assets.
At a July press conference, Maines announced its decision to expand at its Northeast Ohio facility at 100 Oak Leaf Oval in Oakwood Village. Governor Kasich attended and spoke at the groundbreaking ceremony to congratulate the company on this major expansion project.
Collaborative efforts bring success
Over the past five months, the GCP Business Development team worked closely with several partner organizations to negotiate and secure state and local tax credits and incentives for the company, making the project a great success:
Village of Oakwood and Mayor Gary Gottschalk. Oakwood Village, which proposed an economic incentive package to the company with tax exemption status of 90 percent over 15 years on all real property improvements and a Job Creation Tax Credit estimated at $500,000 over eight years with a rebate of 50 percent of the municipal income taxes.
Cuyahoga County Department of Development has proposed $1,000,000 loan at a fixed rate of interest at 2 percent over 15 years.
Ohio Rail Development Commission has conditionally committed to provide $75,000 in grant funds and up to $225,000 in low-interest loan funds for a rail spur.
Ohio Department of Development and JobsOhio have proposed and approved a 166 Direct Loan of up to $1,500,000 at 3 percent interest rate over seven years, and a Job Creation Tax Credit of estimated at $554,178, based on a rebate 50 percent of state income taxes over seven years.
Employment Connection and the GCP Business Development Team continue to work with business services representative at Employment Connection to assist the company in applying for training grants.
The GCP Business Development Team is available to help Northeast Ohio companies with their retention and expansion needs. For more information, please call 216.592.2258.
About the Greater Cleveland Partnership
The GCP mobilizes private sector leadership, expertise and resources to create attractive business conditions that create jobs, grow investment and improve the economic prosperity of the region. www.gcpartnership.com.
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