Newmark is pleased to announce the award of an economic incentive package to its client, AAON, Inc. (AAON) for its manufacturing facility expansion at 203 Gum Springs Road in Longview, Texas. The package includes a $23 million New Markets Tax Credit (NMTC) allocation, a Longview Economic Development Corporation (LEDCO) Cash Grant, tax abatements from the City of Longview and Gregg County, as well as a Skills Development Fund Grant from the State of Texas Workforce Commission. Newmark Executive Managing Director John Beach represented the client in securing the various economic incentives.
AAON, a leading heating and cooling product manufacturer, is expanding its existing Longview location with a 195,000-square-foot building - to function as both warehouse space and manufacturing operations - with an expected completion date of fall of 2020. Between the building construction and equipment, AAON’s $28 million capital investment in its expansion will positively impact the Longview market, as well as result in over 100 new jobs at the facility.
“In working to meet AAON’s needs, we thoughtfully evaluated and assessed several options for expansion at various existing company locations. AAON’s history in Longview gave them confidence in the local labor force and their ability to staff the new facility,” said Beach. “The NMTC allocation was a unique aspect of expanding in Longview, in addition to the opportunity to train its existing and new employees through the Skills Development Fund, Texas’ premier job-training program.”
The NMTC Program helps stimulate economic growth in economically distressed communities by providing investors and business owners with tax credits. Communities benefit from the jobs associated with these investments, as well as greater access to community facilities and commercial goods and services. The Texas Workforce Commission administers funding for the Skills Development Fund program with the support of the Kilgore Community College.
Newmark (“Newmark”), operated by Newmark Group, Inc. (“Newmark Group”) (NASDAQ: NMRK), is one of the world’s leading and most trusted commercial real estate advisory firms, offering a complete suite of services and products for both owners and occupiers. Together with London-based partner Knight Frank and independently-owned offices, Newmark’s 18,000 professionals operate from approximately 480 offices on six continents. Newmark’s investor/owner services and products include investment sales, agency leasing, property management, valuation and advisory, diligence, underwriting, government-sponsored enterprise lending, loan servicing, debt and structured finance and loan sales. Occupier services and products include tenant representation, real estate management technology systems, workplace and occupancy strategy, global corporate services consulting, project management, lease administration and facilities management. For further information, visit www.ngkf.com.
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