By Jonathan Babalola, Noblesville Daily Times
jbabalola@noblesvilledailytimes.com
The Noblesville City Council cleared the final hurdle Tuesday in allowing a producer of batteries for hybrid-type vehicles to expand its operation to the southeast side and bring 60 jobs to the area.
The council unanimously passed more than $360,000 in tax abatements to permit EnerDeln to renovate the former Helmer location at 15425 Herriman Blvd.
Officials from EnerDel, a developer of lithium-ion batteries for hybrid, plug-in electric and electric vehicles, announced Aug. 21 that Noblesville would be one of three Indiana cities which would be included as part a $100 million operation expansion.
"We're very excited to be selected and look forward to a long and prosperous relationship," said Mayor John Ditslear.
The Noblesville location, which will encompass more than 31,000 square-feet, would specialize in battery pack assembly. Kevin Kelly, the city's economic development director, said the building will need almost $400,000 in renovation costs and has an assessed valuation of nearly $6 million.
The expected value of the 10-year tax abatement is slightly more than $362,000, with the city set to gain more than $88,400 during that period.
A portion of that tax break covers the $2.6 million in equipment which will be inserted at the renovated structure.
Katie Culp, senior vice president with Colliers Turley Martin Tucker, a commercial real estate firm and representative for EnerDel, said it was a competitive process for the battery pack assembly plant as several local and regional cities were considered, including Detroit.
In addition to the new Noblesville jobs, EnerDel officials plan on adding more than 200 positions at the company's Indianapolis headquarters near 87th Street and Hague Road.
A manufacturing site is also in the works as part of a $100 million expansion at a site to be determined.
That facility, which is expected to be a full scale manufacturing plant, would provide nearly 500 jobs.
Culp said the site selection process for the future plant will begin in several months. But Ditslear has made no secret that Noblesville should be a candidate on any short list considered for that site.
Councilor Brian Ayer said the practice of allowing the performance-based tax abatements to prospective businesses may not be widely embraced, but it is a necessary function of today's cutthroat drive by neighboring cities to welcome new business.
"We've had to look at these more closely in the last few years," Ayer said. "It's not just the abatement but what happens with the residual effects as far as the employment aspect, the jobs it creates ... the council and administration just feel we need to stay competitive in that aspect."