The City of Plymouth Common Council granted a tax abatement to support AK Industries planned capital investment in equipment. Granted was a phased in seven-year abatement on the increased assessed value of the personal property investment. This investment in equipment will be at the company’s 1301 Stanley Drive, Plymouth location.
AK Industries is a locally grown company that has become a leading producer of fiberglass and polyethylene products for the wastewater industry. This $750,000 capital expenditure is for equipment that is integral in their production and is estimated to retain 155 jobs at their Plymouth facility.
Brothers John and Butch Sabo founded AK Industries in 1981; the company has grown to include four divisions. The company manufactures polyethylene septic tanks, sump pits, basins, and plumbing accessories. AK Industries also offers custom rotational molding services.
“I appreciate the council members approving the seven-year phased in tax abatement to support this capital investment that AK Industries is making towards their long-term success in our city,” said Mayor Mark Senter. “This business has been an important industrial member of our community. Businesses continuing to make investments of this type speaks well for the continued success of our city.”
This expansion is supported by a seven-year phase in, personal property tax abatement, where the additional value of the equipment is gradually added to the assessed value property to be taxed thus the city receives additional taxes each year. The abatement was approved by the Common Council following a public hearing on Monday, November 23rd. This hearing was the second step in the tax abatement process. The first step took place on November 9th when the Council passed a resolution designating the facility as an economic revitalization area.
For more information, please contact Greg Hildebrand, MCEDC Economic Development Project Manager, at (574) 935-8499.
Courtesy of MCEDC