CASE STUDY: JAPANESE MANUFACTURER
RECEIVES $10M INCENTIVE PACKAGE
THROUGH SCHNITZLER INC.
Client: U.S. subsidiary of Japanese manufacturer of medical equipment
Business situation: Client outgrew existing 85,000 square foot facility sooner than expected and needed a newer building or build-to-suit headquarters that would be accessible to the educated labor pool between Chicago and Milwaukee.
Cost of project: $49 million for building lease, improvements and equipment
Total Incentive Award Obtained: $10,114,087
Schnitzler’s Customized Result: Schnitzler professionals worked to acquire the above award for this manufacture through the use of Illinois EDGE Program, which provides tax credits to qualifying companies considering locating in another state. This company also qualified for $500 training cost reimbursement (up to $72,250) for each existing and new employee via ETIP (Employer Training Incentive Program). In addition, with every job created over the target 58 new full-time jobs created, there will be additional incentives payments.
The company entertained sites and buildings in Lake County, IL., and Kenosha County, WI. before selecting a new 160,000 square foot single tenant building in central Lake county. The move facilitated the hiring of 58 new full-time employees in addition to the 259 already employed by the company. The average estimated salary was $80,000.
Bottom Line: Illinois was able to retain a growing international company in a flourishing field that employed almost 300 persons in high paying jobs. The company was able to find a suitable location to quickly occupy with room for future growth that was close to its labor pool. As important, the company was able to receive enough incentives to make the move financially viable.