Tuesday, August 29, 2006
$1.8 Million Tax-Exempt Bonds Generate Job Creation Opportunity
Governor Jennifer M. Granholm and Michigan Economic Development Corporation (MEDC) President and CEO James C. Epolito today announced state assistance to help finance the expansion of Inter-Power Corporation/Kaja Enterprises LLC/Interpower Induction Services Inc. in Almont Township in Lapeer County and Fraser in Macomb County. The facilities will be used to manufacture induction heating tooling and equipment. The MEDC approved $1.8 million in bonds from the Private Activity Bond Program to help the company grow.
The bonds, issued by the Michigan Strategic Fund chaired by Epolito, will be used to finance:
the acquisition of land and an existing manufacturing facility (approximately 54,593 square feet) located at 3578 Van Dyke Avenue, Almont Township;
the acquisition of land and an existing manufacturing facility (approximately 22,800 square feet) located at 34197 Doreka, Fraser;
related land improvements to each of the sites and renovation and rehabilitation of each of the facilities; and
to assist Inter-Power Corporation and Interpower Induction Services Inc., both Michigan corporations, in financing the acquisition of machinery, equipment, furnishings and fixtures for use in each of the facilities.
The Almont facility will be owned by Kaja Enterprises LLC, a Michigan limited liability company, and leased to Inter-Power Corporation for use in the manufacturing of induction heating equipment. The Fraser facility will be owned by Kaja Enterprises LLC and leased to Interpower Induction Services Inc. for use in the manufacture of tooling for induction heating equipment.
Private activity bonds are issued to finance projects for manufacturers and certain nonprofit corporations. The MSF acts as an intermediary between a borrowing company and lending party to lessen the cost of borrowing because the interest paid to the bond buyer is exempt from federal, state and local taxes.
The Michigan Economic Development Corporation, a partnership between the state and local communities, promotes smart economic growth by developing strategies and providing services to create and retain good jobs and a high quality of life. For more information about the MEDC, please visit the Web site at www.michigan.org.
7320 Burgett Drive
Almont, MI 48003
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