Thursday, March 29, 2007
$24.8 Million in Tax Exempt Bonds Approved for Company Expansions
Governor Jennifer M. Granholm and Michigan Economic Development Corporation President and CEO James C. Epolito announced today that $24.8 million has been approved to help finance five business expansions in Holland Twp., Kentwood, Saginaw and Zeeland through the Private Activity Bond Program.
"Providing Michigan manufacturers with the tools and resources they need to expand and grow their business is an important part of our economic plan to create and retain jobs in the 21st century," Epolito said.
The bonds, issued by the Michigan Strategic Fund (MSF) chaired by Epolito, will support the following expansion projects:
- Metal Flow Corporation will use a $5.5 million allocation to help finance a 46,000-square-foot addition, land improvements and the acquisition and installation of equipment, furnishings and fixtures at the company's manufacturing facility located at 11694 James Street, Holland Twp. The project will be owned by M.S.C.M. Inc. and leased to Metal Flow for the manufacture of deep drawn metal components and assemblies.
- Surefil LLC will use a $5.4 million allocation to help finance a 52,000-square-foot addition to the company's manufacturing facility and the installation of new machinery and equipment to be located at 4560 and 4518 Danvers Drive SE, Kentwood. The project will be owned by Surefil Properties LLC and leased to Surefil for the manufacture of pharmaceuticals and personal care products.
- A $4.4 million allocation has been approved to help finance the expansion of PureFlex Inc., a manufacturer of high-purity hose, fittings and advanced composite valves for the pharmaceutical and chemical industries. The bonds will be used to finance the acquisition and rehabilitation of an existing 152,000-square-foot manufacturing facility including the land and the installation of machinery and equipment to be located at 4855 Broadmoor Avenue SE, Kentwood. The real property portion of the project will be owned by 4855 LLC and leased to Pureflex.
- A $4.7 million allocation has been approved to help finance expansion of the Hausbeck Pickle Company, a supplier of packaged pickles and peppers. The bonds will be used to finance the acquisition of land and acquisition and rehabilitation of a 40,000-square-foot manufacturing facility at 1626 Hess Street, Saginaw. The bonds will also support a 42,000-square-foot addition to the facility.
- Plascore Inc. will use a $4.8 million allocation to help finance, construct and equip a new, 53,000-square-foot manufacturing facility at 500 East Roosevelt Avenue, Zeeland and acquire and install new machinery and equipment at an existing facility at 615 N. Fairview, Zeeland. The real property portion of the project will be owned by Core Ventures LLC and leased to Plascore for the manufacture of thermoplastic cores, panels and panel systems.
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. For further information, click here.
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's initiatives and programs, please visit the Web site at www.michigan.org.