Proposed Property Tax Incentives Support Industrial and Commercial Growth
A trio of property tax incentives presented to City Council today by Mayor Rahm Emanuel would help four companies expand in Chicago.
“By supporting tax measures that reduce business operating costs, we provide the certainty and encouragement that employers need to make new investments and help grow our economy,” Mayor Emanuel said.
4330 S. Racine LLC
A Cook County Class 6(b) incentive would finalize the rehabilitation of a vacant industrial building at 4330 S. Racine Ave. for two new tenants.
The $257,000 rehabilitation of the 169,000-square-foot structure would be completed on behalf of Sunshine Supply Co., a distributor of plastic containers, and New Premier Metal Recycling, which specializes in scrap metal recycling.
The project would result in 40 full-time and three part-time jobs in the building.
The Cook County Class 6(b) classification encourages industrial development by offering a reduced property tax assessment rate for 12 years.
Total tax savings for the property owner, 4330 S. Racine LLC, is estimated at $177,000.
Modern Processing Equipment
Another Class 6(b) incentive would help Modern Processing Equipment, a family-owned manufacturer of food processing tools, to build a 15,000-square-foot addition to its facility at 3125 S. Kolin Ave.
The $1.3 milllion expansion would be used as light assembly and storage space and enable the 49-person company to add seven jobs.
Total tax savings is estimated at $293,000.
Class C for the Shops a Kingbury Square, LLC
A Class C property tax incentive would support the already completed cleanup of a contaminated industrial site at 1550 N. Kingsbury St.
The $2.8 million cleanup project by the Shops of Kingsbury Square, LLC resulted in the 2009 development of an 85,000-square-foot Whole Foods Market that employs 526 people.
The Class C incentive encourages the cleanup of contaminated industrial, commercial or vacant sites by lowering the assessment rate for 12 years.
Total tax savings is estimated at $2.9 million.