Photo courtesy of UFP Industries
Today, the Commonwealth’s Economic Assistance Coordinating Council (EACC) approved three projects for participation in the Economic Development Incentive Program (EDIP), a program that seeks to create new jobs and help businesses grow by offering credits to lower taxes in exchange for job creation. These projects are expected to create 230 net new jobs and retain 487 jobs throughout Massachusetts while leveraging approximately $115 million in private investment. Of the applicants this quarter, three are manufacturers and one is located in a Gateway City.
Additionally, the EACC approved one new Vacant Storefront Project in a Gateway City that will receive refundable tax credits of $10,000. The Vacant Storefront Program helps municipalities of the Commonwealth in their efforts to revitalize their downtowns and commercial areas.
Additional details on the projects are below.
UFP Site Built, LLC (Chicopee) – UFP Site Built’s primary products include the manufacturing of roof trusses, floor joists and wall panels that are sold to the construction industry. Since the company’s Belchertown location is inadequate to handle manufacturing products for two of UFP’s business lines, the company plans to relocate the site-built manufacturing process to Chicopee. They are looking to lease a 152,000 square foot facility, invest $1.3 million in the property and develop three to five acres of land for exterior storage for lumber. Additionally, they will relocate $5 million of machinery and equipment to Chicopee and invest another $3.5 million in new equipment. This project will result in the creation of 60 full-time permanent jobs, the retention of 60 jobs and a total private investment of $4.9 million. The Commonwealth awarded $975,000 of EDIP tax credits and the City of Chicopee awarded a five-year TIF valued at $32,423.
Electric Hydrogen Company (Devens) – Electric Hydrogen is on the leading edge of the green hydrogen industry and is focused on bringing to market new electrolyzer technology that provides zero-carbon generation of hydrogen for industrial applications. Founded in December 2020, the company has headquarters in Massachusetts and California and is backed by the most prolific capital and strategic partners in the field of clean technology. The proposed manufacturing process facility would include a fit-out of 187,000 square feet of space, including tenant improvements totaling $48.2 million and equipment for manufacturing totaling about $50.3 million. This project will create 70 new permanent full-time jobs and retain 15 employees. It represents a private investment of $90 million. Devens awarded the project a five-year TIF valued at $1,920,949.
SMC Ltd./Mack Devens Development LLC (Devens) – Founded in 1988 and headquartered in Wisconsin, SMC is a privately held, global manufacturer and leader in medical device development and automated assembly technology solutions. The company currently occupies 220,000 square feet of manufacturing space in a 300,000 square foot building in Devens. Due to customer demand, SMC needs additional space and now plans to expand their manufacturing footprint to include medical device manufacturing at their existing location. This project will result in the creation of 100 new permanent full-time jobs, the retention of 412 employees and a private investment of $20 million. Devens has awarded the project a 10-year TIF valued at approximately $619,080.
VACANT STOREFRONT PROJECT
Rise & Grind Café (Fitchburg) – Located in the heart of Fitchburg a short distance from Fitchburg State University, this will be Rise and Grind’s second location. They plan to provide coffee, protein smoothies, and healthy options for local students, commuters, and surrounding businesses. The location will also offer unique clothing designs and hopes to attract the local art community due to its proximity to Fitchburg’s art museum and theater. The City of Fitchburg has offered a zero percent interest, five-year loan with final six months forgiveness valued at approximately $13,158, and a $25,000 store improvement grant from the Reimagine North of Main partnership. The Commonwealth has approved $10,000 in refundable tax credits to support this project.
About the Economic Assistance Coordinating Council
The Massachusetts Economic Assistance Coordinating Council (EACC) is a state board comprised of public and private sector officials that review and approve Economic Development Incentive Program projects and tax credit incentives. The EACC also approves all local Tax Increment Financing and Special Tax Assessment agreements for municipal property tax relief. The EACC’s is part of the Massachusetts Office of Business Development (MOBD), which assists businesses expanding in and relocating to Massachusetts, with specific attention paid to projects that create and retain jobs and invest capital. The MOBD team provides a highly responsive, central point of contact that facilitates access to resources, expertise, and incentive programs for businesses.