Elgin OKs incentive plan for Japanese company’s building
Pancor Construction and Development was back before the Elgin City Council Wednesday for a second set of economic development incentives in less than a year.
The real estate developer, investor, contractor and management company has developed more than $150 million worth of office and industrial facilities in Elgin since the 1990s and last received discounted permit fees to build an industrial building at 1385 Madeline Lane, near the intersection of Big Timber and Randall roads.
The current round of incentives is for a new $9 million building to house Amano Enzyme, a Japanese company that currently runs its United States headquarters from a 25,000-square-foot space at 2150 Point Blvd., Elgin.
The new building — planned next door to the existing facility — will almost double the work area and add manufacturing capabilities to the warehouse space, research application lab and office space already available.
Rick Kozal, Elgin’s assistant city manager, said there is no guarantee Amano will move manufacturing jobs from Japan to Elgin but the new space could prompt the creation of 12 full-time jobs.
“Because of the favorable exchange rate, it may actually be beneficial to them to ship some of their manufacturing over here,” Kozal said. “So that’s the hope.”
Amano’s current Elgin operations support 18 full-time employees.
The incentive agreement for Pancor includes a waiver of about $36,500 in building permit fees as well as a commitment to fast-track the permitting process.
Pancor was also the developer of Amano’s current building and leases the space.
The city expects to get back its incentive investment through direct tax revenues from Amano in just more than one year.
Amano is a leading producer of specialty enzymes for the dietary supplement, nutraceutical, food, diagnostic and pharmaceutical industries across North and South America, according to its website.
Council members voted unanimously for preliminary approval of the incentives during the committee of the whole meeting Wednesday. They will formally approve the agreement during the Aug. 8 council meeting.