MMI Display Group (parent company: W&C Timpe) is requesting Village approval for a Cook County Class 6b Property Tax Classification relative to 206 W. Campus Drive, consisting of one parcel of property. The site has been 100% vacant since August 2011. The Village's guidelines for Class 6b applicants are based upon employing at least 25 workers, showing financial benefit to the Village, and commitment to providing 10% of their property tax savings over the first five years towards the Zero Interest Loan program. This property was previously approved for a Class 6b in July, 2015 for Suburban Trim & Glass. However, the company was unable to relocate to this site and the designation has remained inactive.
MMI Display is an established and growing company looking to set up long-term stability in Arlington Heights. The Class 6b incentive would allow for re-occupancy of a 20,475 square foot industrial facility that has sat vacant for over five years, while reducing industrial vacancy and allowing a new business to locate to the Village and create additional employment opportunities. A detailed summary of the request by MMI Display Group, Inc. for a Cook County Class 6b incentive is attached.
At their current location in Woodstock, MMI Display employs six full-time workers, with plans to grow to as many as 29 employees, with 19 to be located primarily in Arlington Heights, during the life of the incentive. The applicant does anticipate having a positive financial impact on the Village. Both existing and future staff will provide direct and indirect spending to Village businesses. The amount of property tax revenue gained from attracting the business with a Class 6b designation, as opposed to allowing the site to become vacant, is estimated at $217,000 over the 12-year life of the abatement. The business will generate approximately $14,000 in sales taxes to the Village on an annual basis as well. Furthermore, the site has been vacant for over five years.
The applicant has signed an agreement to provide the Village with 10% of their property tax savings over the first five years of the abatement, in order to help fund the Zero Interest Loan program. Additionally, the current property owner has provided a letter stating that if the site and applicant do not receive Class 6b approval from the Village Board by November 23rd, the pending contract will expire and he will withdraw from the sale of the property.
RECOMMENDATION
It is recommended that the Village Board approve the attached Resolution Approving Certain Property to Participate in the Cook County Class 6b Assessment Incentive Program for MMI Display Group, Inc. for the property located at 206 W. Campus Drive.