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0CITY OF SOUTH BEND OFFICE OF THE CLERK
<br /> Bill No. 19-61- Designating Vacant Building Tax Abatement for 3602 Sample, LLC
<br /> Dan Buckenmeyer, Director of Business Development for the City of South Bend Community
<br /> Investment Department, with offices on the 14th floor of the County-City building stated, This is
<br /> not a greenfield, but a vacant building. A building down on Sample Street that's been vacant for
<br /> quite some time. Some of you may know it as the former Jupiter Aluminum building. It's 3602
<br /> Sample Street. So just a few blocks west of Olive and Sample. Huge building. One hundred-eleven
<br /> thousand (111,000) square feet. Their initial investment, So, this is their opportunity to create a
<br /> foot print in South Bend. We're real excited about it.Where they are operating out of and surveying
<br /> Indiana companies, in the RV industry and others is in Illinois. So, this gets them a lot closer to
<br /> their customer base. We're thrilled that they've chosen South Bend over other options. These
<br /> investments and jobs, we think are really just initial estimates as they ramp up and kind of
<br /> cautiously look at our current economy and where the RV industry is going in the near term. Three
<br /> hundred-fifty thousand ($350,000) dollar private investment. Twelve (12) new jobs to do
<br /> warehousing and distribution. I'll let Chris talk about what they think the future might bring in
<br /> terms of new potential manufacturing on that site or in that building. The five (5) year vacant
<br /> building tax abatement will give them a discount of about $71,000 to $72,000 dollars in order to
<br /> reinvest. There's a lot to be done in any building that's been vacant for as long as that has been.
<br /> Retool and so on,but they'll still pay nearly ten-thousand($10,000) in taxes over the five(5) year
<br /> period before they are at the full amount. So, I'll turn it over to Chris.
<br /> Christopher Capsaskis, 808 North Central Avenue, Wood Dale, Illinois stated, I represent 3602
<br /> Sample LLC. A little bit about our company. I sent you all an email primer just because I know
<br /> that we're on a tight time schedule. So, we're a RV and Marine parts manufacturer. So, currently
<br /> we do our manufacturing in China, and our distribution headquarters and facility is in Wood Dale,
<br /> Illinois currently. We're looking to move that operation here in our first phase,and then the second
<br /> phase is actually to bring some manufacturing production line within a few years. As Dan had
<br /> mentioned,our next building located there is over one hundred-ten thousand(110,000)square feet.
<br /> It's been vacant for some time. It's going to require a lot of work and a lot of investment. The
<br /> initial private investment there is just to get it semi-operational. The true figures over the lifetime
<br /> of the building are going to be significantly higher. So, in order to move, we're going to need this
<br /> investment just because currently our headquarters in Wood Dale, Illinois, we're going to be
<br /> moving our whole operation, and as you know, a major part of our product line is RV products.
<br /> From last year,the RV industry was down by twenty(20)percent unfortunately. So,as the industry
<br /> is contracting,we're trying to expand. So,that causes some financial hardships, especially if we're
<br /> going to be rebuilding a building of this size and this scope. Essentially, we're looking forward to
<br /> pursuing this building,but we would need your help in order to make a significant investment like
<br /> this. I'm not sure if you're exactly familiar with the Jupiter Aluminum building on Sample Street,
<br /> but that general road there is an older industrial area. I believe it was built in the twenties (20's),
<br /> most of the buildings there. This one's been vacant for quite some time, and time's really taken a
<br /> toll on it. So, really, the truth of the matter is, if nothing is done somewhat soon to correct the
<br /> condition that it's in, the building is just going to become unusable in a couple of years. So, if you
<br /> have any questions for me, please feel free to ask.
<br /> EXCELLENCE ACCOUNTABILITY I INNOVATION I INCLUSION I EMPOWERMENT
<br /> 455 County-City Building 1227 W.Jefferson Bvld South Bend,Indiana 46601 p 574.235.9221 f 574.235.9173 TTD 574.235.5567 www.southbendin.gov
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