NEW PORT RICHEY — For the second time this month, Pasco County commissioners have approved a multimillion dollar economic incentive to help a company locate a large new industrial building near the interchange of Interstate 75 and State Road 52.
Known now only by code name Project Channel, the project is expected to bring a 1.39-million-square-foot industrial building that will be occupied by one of the county’s primary target business types. It will be located on a 218-acre site just northeast of the interchange on Pasco County fronting Pasco Road.
Pasco commissioners agreed to provide a $6.3 million incentive package to Northpoint Development LLC, owner of the parcel. The company is proposing to spend more than $200 million to build the facility and create approximately 2,400 new jobs.
Pasco’s Economic Growth Director David Engel said the commissioners had seen this project before on a smaller footprint, but now it is larger after another parcel was added. In fact, the building planned there could hold two football fields of floor space. He also said that like the other recent incentive package the commission approved nearby, paying out to the developer was completely performance-based.
“This is an exciting project,” said attorney Clarke Hobby representing Northpoint. The plan he said was to build “a major regional distribution center.”
He said his client was very confident in the future development and he predicted that construction would begin by September. Hobby also said the Kansas City-based developer was one of the largest industrial developers in the country and he hoped that meant addition projects for Pasco County in the future.
The new site will require construction of $9.9 million in on-site and off-site road work and the company has asked the county for $6.3 million to help defray those costs. The county’s Office of Economic Growth offered an incentive that will reimburse the company over a 20-year period for a portion of what it pays in property taxes.
To collect the incentive, which will be kept in escrow, the company will have to have gotten its certificate of occupancy for no less than 1.15 million square feet of light industrial space.
Earlier this month, the commission approved a $55.8-million incentive project for the Pasco Town Center on the southeast corner of the same interchange. The developer of that site also will be reimbursed for infrastructure after a specified term of completion. That project will encompass 965 acres.
The developer, PTC Boyette LLC based in Dallas, plans 4 million square feet of industrial construction, 725,000 square feet of offices, 400,000 square feet of retail, 3,500 housing units and 300 hotel beds on the site.
Like the Pasco Town Center, the project commissioners discussed Tuesday is also expected to bring Pasco an economic boost that far outstrips the cost of the incentives. Based on information provided by Northpoint, the value of property tax generated in the first 20 years is $19.1 million. The county estimates that return on the county’s investment overall will be $195 for every $1 spent by the county.
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“I’m glad to see this project come forward,” said County Commissioner Ron Oakley.