Wiscasset OKs tax deal with Molnlycke
In a special town meeting vote on Tuesday, Wiscasset voters approved a tax-increment financing agreement with Swedish health care product manufacturer Mölnlycke Health Care for the expansion of its Rynel plant.
According to The Times Record, Mölnlycke hope to break ground in April and finish building by end of 2014.
The amended TIF will help the town retire a bond it previously took out to rebuild the infrastructure on the 14-acre lot Mölnlycke occupies, and to shelter the increased assessed value of the property under the company’s development, the newspaper reported.
Mölnlycke currently leases the 40,000-square-foot Rynel facility at 11 Twin Rivers Drive, the newspaper reported. In 2010 Mölnlycke purchased Rynel and its amended TIF is contingent on being able to purchase the leased property from Ferry Road Development.
In both the original and amended TIF agreement, the town retains 100% of the increased assessed value of the property developed by Mölnlycke. The newspaper reported the amended TIF adds 10 years to the original 20 year lifespan of the agreement, nine years of which have expired.
Mölnlycke’s planned expansion would add 32,000 square feet to the existing building, at a cost of between $5.5 million and $7 million. It is expected to create an additional 10 to 30 jobs over the first three to five years of the amended TIF agreement.
Most Recent
Most Recent
Comments