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South Bend Redevelopment Commission <br /> Regular Meeting—April 10, 2012 <br /> 6. NEW BUSINESS (CONT.) <br /> A. Tax Abatement <br /> (2) continued... <br /> shipping space. The real estate investments <br /> will cost between $1 million and $1.6 <br /> million. Lock Joint Tube does not have all of <br /> the information on its contractors at this <br /> point. However, they want to use Mid-States <br /> Construction as the primary contractor and a <br /> prefabricated metal building, which is not <br /> available locally, will be a large purchase. <br /> Based on preliminary information, staff <br /> thinks they will qualify for a four- or five- <br /> year property tax abatement. All of this <br /> information will be firmed up before the date <br /> of obtaining the confirming resolution. <br /> Based on a cost of$1 million with a four or <br /> five year term, the taxes abated will range <br /> from $34,000 to $40,000 and the taxes paid <br /> will range from $223,000 to $281,000. <br /> Based on a cost of$1.6 million with a four or <br /> five year term, the taxes abated would range <br /> from $70,000 to $82,000 and the taxes paid <br /> will range from $258,000 to $329,000. <br /> According to the petitions, it's estimated the <br /> two projects will create seven to eleven new <br /> permanent full-time jobs with a payroll of <br /> $210,000 to $330,000 and the projects will <br /> maintain 56 existing permanent full-time and <br /> no existing part-time jobs representing and <br /> annual payroll of$2,300,000. <br /> Mr. Deahl, tax attorney for Lock Joint Tube, <br /> noted that Lock Joint Tube is a large <br /> manufacturer of mechanical and structural <br /> grade steel tubing. At the facility on Walnut <br /> Street, there is a large portion of the building <br /> that is underutilized because of its low roof <br /> 7 <br />