Ohio Property Tax Abatement for Manufacturing Expansion

Ohio Property Tax Abatement for Manufacturing Expansion

Client Profile
An Indiana-based fire protection company planned to expand its existing operations in Fairfield, Ohio, through the construction of a new 30,000-square-foot facility. The company acquired a 5.9-acre parcel for the project and planned to invest $6.2 million in real property while creating 30 new jobs in addition to its existing Ohio workforce.

The company’s CPA referred the project to McGuire Sponsel to evaluate and procure available incentives associated with the expansion.

Process
McGuire Sponsel’s Location Advisory team evaluated available incentive opportunities and worked with local officials to communicate the economic impact of the company’s planned investment and job creation.

Over the four-month engagement, our team supported negotiations with the local community, demonstrating how the new facility, $6.2 million real property investment, and expanded workforce would contribute to the area.

Results
The company received a six-year, 65% real property tax abatement on the assessed value of improvements made to the project site, excluding the value of the land.

The abatement is estimated to provide approximately $122,000 in property tax savings over the six-year incentive period.