Subject:
Title
Employment Sites Program Grant Funding Agreement for a sum of not-to-exceed $2,151,867.00 to 28th Street North Industrial Properties LLC for the construction of a 110,700 square foot industrial building.
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Recommended Action:
Recommended Action
Approval and execution by the County Administrator of a Grant Funding Agreement for a sum of not-to-exceed $2,151,867.00 to 28th Street North Industrial Properties LLC for the construction of a 110,700 square foot industrial building to be located within the City of Pinellas Park.
• Funding for the 110,700 square foot industrial building in the amount of $2,151,867.00 was approved by the Board at its May 9, 2023 meeting, and delegated authority was given to the County Administrator to negotiate and execute all agreements and documentation.
• The industrial building will expand opportunities for Pinellas County target industries to relocate and or establish their facilities in order to provide employment opportunities to the county residents and to bring in new revenue opportunities.
• Total project budget is estimated to be $18,771,884.00.
• The facility is speculative in nature and the developer anticipates that the facility will employ somewhere in the ballpark of 25-150 people.
• The grant will fund the relocation of the existing drainage pond and associated infrastructure, structural fill, and the above market landscaping package required under the Property Owner Association for Gateway Center Business Park
• Funding is available in Penny IV Economic Development Capital Projects Countywide Investment program funding (project 004149A).
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Strategic Plan:
Foster Continual Economic Growth and Vitality
4.1 Proactively attract, expand, and retain businesses with targeted jobs to the county and the region
4.4 Invest in infrastructure to meet current and future needs
Deliver First Class Services to the Public and Our Customers
5.1 Maximize partner relationships and public outreach
5.2 Be responsible stewards of the public’s resources
Summary:
28th Street North Industrial Properties LLC is directly related to Johnson Development Associates, and they have 89 industrial projects completed, under construction or in design at this time in 14 states. In Florida they have eight projects with a total square footage of 1,619,636 square feet. This is the first project for them in Pinellas County. They will construct a new Class A 110,700 square foot industrial building located the Gateway Center Business Park in Pinellas Park.
Background/Explanation:
The fourth application cycle for the County’s Employment Sites Program opened on November 15, 2022, and closed on January 17, 2023. 28th Street North Industrial Properties LLC applied for funding in order to underwrite a gap in funding of their speculative industrial building related to the cost of relocation of the existing drainage pond and associated infrastructure, structural fill, and landscaping costs.
The Agreement has a termination date of twenty (20) years from the Effective Date and has one payment based the developer’s receipt of a Certificate of Completion for the building shell. For a period of the first ten (10) years of the Agreement, the developer will provide an annual report to Pinellas County identifying the total commercial square footage rented and the total number of jobs with their average wages for the structure.
The developer will be responsible for maintaining and operating the industrial building for the term of the Agreement. If the developer defaults on the Agreement, there is a process identified for the repayment of grant funds based on the time of the default.
Fiscal Impact:
Total Maximum Expenditure - $2,151,867.00
Funding is available from the Penny IV allocation for Economic Development Capital projects (project 004149A)
Delegated Authority:
Funding for the 110,700 square foot industrial structure in the amount of $2,151,867.00 was approved by the Board at its May 9,2023 meeting, and delegated authority was given to the County Administrator to negotiate and execute all agreements and documentation.
Staff Member Responsible:
Dr. Cynthia Johnson, Director, Economic Development
Teresa Brydon, Business Development Manager, Economic Development
Partners:
N/A
Attachments:
Interlocal Funding Agreement
Applicant Overview Page