STURTEVANT — A developer planning to start building a new business park this year will reap property tax rebates under an incentive agreement the Sturtevant Village Board unanimously approved Tuesday evening.
In a special meeting at the village hall, 2801 89th St., the board approved a previously negotiated deal with the developer of the future Enterprise Business Park, Chicago-based Ashley Capital. In the first phase of a plan to construct as many as four industrial buildings, Ashley will build a 376,000-square-foot speculation building in the park at 2472 West Road/Highway H.
The incentive agreement could refund Ashley up to 75 percent of its property tax payments to the village for the first 10 years after the structure has been built.
Ashley must first erect a building worth at least $10 million, although Village President Steve Jansen said it is expected to cost substantially more.
The agreement is structured to refund Ashley the first 50 percent of its tax payments for 10 years starting:
- When it is at least 50 percent leased and occupied.
- Or 36 months after it has been substantially completed.
Ashley can earn an additional 25 tax percent rebate for the first 10 years if the building’s occupancy in the previous calendar year was at least 50 percent.
Jansen said the total property tax rebate is projected to total $450,000 to $650,000 over the 10-year period.
The 87-acre future business park was created in a deal brokered by Racine County Economic Development Corp. The deal consolidated an area that had straddled both Sturtevant and Mount Pleasant into one property all in Sturtevant.
Ashley’s conceptual plan calls for a total of about 1.2 million square feet of industrial space with the first project starting this year.