Former Truck-Lite facility in Falconer

The former Truck-lite facility in Falconer is being sold to The Krog Group.

The Chautauqua County Industrial Development Agency Board approved a $900,000 Al Tech Loan, mortgage tax abatement, and sales tax abatement. The total project cost is $3,655,000.

IDA Business Development Manager Carol Rasmussen said Peter Krog plans to purchase and lease out the 160,000 square foot facility for office and manufacturing space. He will be doing some renovation work as well.

The IDA board also approved an updated payment-in-lieu-of-taxes (PILOT) agreement for the Welch’s Building project in Westfield.

Chief Financial Officer Rich Dixon said 2 Portage LLC previously had been approved for a 15-year PILOT by the IDA, “The developer was talking with his investors and with people who were making him the loan. They were hoping they could get more certainty as to what the tax payments would be after year 15. They originally came to us and talked about maybe a 30-year, 25-year (PILOT). We ended up with a compromise that I think is very fair.”

Dixon said the agreement is for a 20-year PILOT that has the same terms for years 0 through 15 as the current PILOT and then years 16 through 20 are at 100% tax at a fixed rate.

The Welch’s Building project previously received a $475,000 AL Tech Loan Fund as well as $1.5 million in Restore New York funds for the $18 million project.

Dixon said there is no change to the project other than the change to the PILOT.

The IDA Board also approved an Al Tech loan of $100,000 for BP Endeavors LLC to purchase Wildwood Acres Campground on Brown Road in Bemus Point. The total project cost is $668,000.

Rasmussen said the current owner, who has ran the campground for 21 years, is selling the property due to illness. The new owners plan to open up 20 to 30 new sites on the ground for rent.

Lexington Machining, Winchester Road (Google Maps)

The Chautauqua County IDA Board has approved an Al Tech Loan for Lexington Machining to make upgrades to a warehouse it owns in Lakewood.

Project Manager Carol Rasmussen told the IDA Board that the $218,900 equipment loan would be used for two air-vac units at the facility on 201 Winchester Road. It’s a seven year loan with a 4% interest rate.

Rasmussen said the air-vac units will help the facility become more manufacturing ready.

She said the building had been vacant for 10 years, but that Bush Industries is now leasing 59% of the building, “Bush is excited about them getting this ready for manufacturing. They’re very happy to be there. They’re on a month to month lease, but right now they’re very happy with their lease and they would like to get on a permanent lease.”

Rasmussen added that Lexington Machining has put about $1 million into the building, “They’re very serious about this. They’ve put new lighting in, new roofing, new units, a couple of doors, crate doors, and so they’re very adamant about keeping this building and leasing it out.”

IDA CFO Rich Dixon brought up the fact that active environmental monitoring at the site has scared away a few buyers of the facility, but he’s excited to see the investment by Lexington Machining to turn it into manufacturing space.

EDITOR’S NOTE: As a point of transparency and disclosure to our audience, the Chautauqua County Industrial Development Agency is a corporate underwriter for WRFA and has provided a financial contribution for the general operations of the station within the past year. Funding we receive for General Operations is not used to fund our coverage of local news in the community. That is only made possible through a Community Service Grant from the Corporation for Public Broadcasting. 

The board approved two Al Tech Revolving Loans for 3811 Holdings, LLC which is doing business as Ghostfish Brewing Company East. The first loan was $65,902 for machinery and equipment with the second loan totaling $100,000 for working capital.

The company will use the financing to set up brewing production in 5,100 square feet of space at the Grape Discovery Center. Ghostfish produces gluten-free craft beers.

The IDA Board also approved an Al Tech Revolving Loan to an Erie, Pennsylvania Print Shop owner to buy MW Graphics in Jamestown.

Barry Sharp, who owns Sharp Print Services, plans to purchase the building, equipment, and assets of MW Graphics located at 909 North Main Street.

IDA Business Development Manager Carol Rasmussen said the IDA is partnering with Cattaraugus County Bank on the deal, “His total project cost is $174,500. Catt County Bank will be doing a $75,000 ten year loan. He’s asking the IDA for $60,000 and an Al Tech Loan which includes a little bit of working capital and some of the building. The owners are, like him, very confident with him, he has a great relationship with them, so they’re in for $20,000 for a five-year loan.”

Rasmussen said Sharpe is putting in $19,500 of equity as well. She added that the two owners will stay on, with another employee being added in the future.

Lawton Boat Motors has purchased the former Fountain Bowl on Fluvanna Avenue with plans to turn it into a showroom and boat storage.

The IDA also approved a 15-year PILOT for real property and sales tax abatement. The total project cost is $945,000 and will create 6 construction jobs, and then 18 full-time jobs over the next three years.

Lawton hopes to have the boat storage completed by September with the showroom completed by April 2023.