Greenwood grants tax break for speculative building in growing business park

Feb 26, 2019

Another speculative building is coming to a growing Greenwood business park, and the city has agreed to give the Carmel-based developer a more than $1 million tax break.

Becknell Industrial plans to build a 151,800-square-foot facility and 104-car parking lot off Graham Road, in a complex dubbed Southtech Business Park. It will likely house two or three light manufacturing businesses, said Pat Sherman, a local accountant who is representing Becknell. Another similar building is currently being built in the same business park by the same developer, he said.

The new facility is expected to bring 15 jobs that pay, on average, $17.50 an hour, according to the company’s property tax abatement application.

Greenwood’s redevelopment commission on Tuesday unanimously approved the abatement for real property taxes over a 10-year period, a total of about $1.5 million. Becknell won’t pay any real property taxes on the building its first year, but will pay an additional 10 percent each year for 10 years.

For example, in year 10, the company will pay 90 percent of real property taxes on the facility and then the full amount after that.

It is an $8.7 million investment for Greenwood, Sherman said, and it will raise the value of the land significantly, to $60,100 per acre from about $1,500 per acre.

Becknell purchased the land for $450,000 and plans to make about $8.25 million in improvements to it.

Construction is slated to start no later than June 30 and will be complete the summer of 2020, according to city documents.