ANDERSON — The Anderson Redevelopment Commission is hoping that sometime next year a new manufacturing facility will be constructed on the former Guide Lamp property on the city’s southwest side.
The Anderson Redevelopment Commission and Anderson Plan Commission on Tuesday approved a resolution for the construction of a speculative, or spec, building on the north end of the property.
The site is near the intersection of West 29th Street along Dr. Martin Luther King Jr. Boulevard to West 25th Street.
The Anderson City Council will be asked to approve the resolution at the Nov. 13 meeting. Final approval is required from the Redevelopment Commission.
Greg Winkler, director of the Anderson Economic Development Department, said the city is working with a developer interested in purchasing the 26.8 acres from RACER Trust and to construct a 100,000 square-foot building, which could be expandable to 300,000 square feet.
RACER (Revitalizing Auto Communities Environmental Response) Trust was created as part of the General Motors bankruptcy proceedings, to dispose of the company’s abandoned real estate.
“We’re trying to entice a developer to construct the building,” he said. “We hope to have a new manufacturing company operating by the end of next summer.”
Winkler said because Anderson doesn’t have a building ready for immediate occupancy, it has not been provided the opportunity to attempt to attract more than 50 companies to the city.
“Without an existing building, we’re not in a position to bring companies to Anderson,” he said.
A key component of the development is to have an active rail spur to the property, he said. The city is in discussions with CSX Railroad to make the existing spur an active line.
The entire site is a part of a Tax Increment Financing (TIF) District. TIF districts are created so that property taxes from new commercial, industrial and manufacturing businesses are collected and spent on infrastructure improvements within the district or to benefit the district. Those improvements are then used as an economic development tool to lure more businesses to the city.
The cost of a building was estimated at between $4 million and $5 million.
Winkler said the developer will purchase the property and construct the building. He said as an incentive the city will agree to pay the first three years of interest payments on financing for the project if the building is not leased.
Plan Commission members were told that there was a good chance a company will be in the building in 2015.
“I can’t tell you what they will be manufacturing, but it’s appropriate for the site,” he said.
Winkler said the portion of the Guide Lamp property south of the 29th Street entrance is believed to have some environmental issues that the Racer Trust will be responsible for the cleanup costs.
“We believe the north end of the property has no environmental concerns,” he said. “We have hired an outside consulting firm to do an environmental study.”
Winkler said the city is looking for the best way to cut through red tape and move the project forward.