ANDERSON — The economic development agreement and a proposed bond for a new company locating in Anderson has been approved.
The Anderson Redevelopment Commission Tuesday approved the agreement with SAICA Pack USA for the construction of a $120 million facility on Park Road.
The Commission also approved $10 million in tax increment financing through a 10-year bond for the project.
The Spanish based company plans to construct a 350,000 square foot facility for the manufacturing and distribution of corrugated cardboard and will initially employ 56 people with total future employment expected to reach 118 workers.
Brent Wright with Indianapolis law firm Boze & McKinney said the hope is to break ground in April and be in operation in 2026 after 18 months of construction.
“The Anderson site is ideal with the available rail spur,” he said.
Wright said SAICA has 107 facilities worldwide and employs approximately 10,000 people.
The company will pay between $39 and $41.50 per hour.
He said the company’s biggest expansion took place several years ago for a similar facility in Hamilton, Ohio.
Greg Winkler, executive director of the Anderson Economic Development Department, said $4.7 million will be spent on the widening of Park Road between 53rd and 67th street, relocation of power lines and a portion of the cost for a rail spur.
He said the Indiana Economic Development Corp. is providing $300,000 for the rebuilding of Park Road.
Winkler said the company is to receive $5.3 million toward construction and the funds will be released once significant work is done on the facility.
The bonds will be repaid through the increased property taxes and the company is expected to pay $20 million in property taxes over the life of the bond.
The Commission has approximately $60 million in tax increment revenues available.
The company is not being offered any property tax abatement on the project.
“We visited the Ohio plant last year,” Winkler said. “We have been working with the company for more than a year. This is a solid company that does what it says it will do.”
The Anderson City Council will have to approve the bond issue at the Thursday meeting.
The Plan Commission last month approved the replat request of four property owners in the 5600 to
6400 block of Park Road.
The property was converted into four lots on the 120-acre parcel. The property is a part of a larger rezoning of 252 acres last year.