Monday, June 25, 2007
$5.4 Million in Tax Exempt Bonds Approved for Two Business Expansions
Governor Jennifer M. Granholm and Michigan Economic Development Corporation President and CEO James C. Epolito today announced a total of $5.4 million in bond financing has been approved to support plant expansions in Warren and Wixom through the Private Activity Bond Program.
The bonds, issued by the Michigan Strategic Fund chaired by Epolito, will support the following expansion projects:
- Kaspari Investments LLC and Warren Screw Products Inc.will use a $3 million allocation to acquire land and a 140,825-square-foot manufacturing facility. Kaspari Investments will renovate the facility located at 13201 Stephens Road. The land and facility will be owned by Kaspari Investments and leased to Warren Screw Products, a manufacturer of tight tolerance screw machined and broached products.
- Frank Street LLC and Motor City Wash Works Inc. will use a $2.4 million allocation to help finance the acquisition and rehabilitation of a 65,000-square-foot industrial facility located at 48285 Frank Street in Wixom. The facility will be owned by Frank Street and operated by Motor City Wash Works. Motor City Wash Works manufactures automatic car wash 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.
Warren Screw Products contact:Motor CityWashWorks contact:
Christopher Kaspari Lionel Belanger
(586) 447-2750 (248) 735-8900
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