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Impact Innovations

Project Number: 20111101
Project Type: Standard/Basic
Parcel ID: 09370000574C
County Commission District: 3 | City Council District: 3, 8

Summary

Initially, Impact Innovations was approved for a six-year PILOT to enable the company to bring 25 new jobs and nearly $1 million in capital investment to the area. In 2016, the PILOT was amended to include 20 additional net new jobs for a total of 45 net new jobs and an additional $1 million investment in personal property and $85,000 in real property; bringing the total investment for the project to $11.7 million in real and personal property. With this 2016 amendment, the PILOT was extended an additional three years.

Based in Minnesota, Impact Innovations will use its nine-year PILOT to open a new facility at 6269 East Shelby Drive and make efficiency improvements to their facility at 4800 Southridge. The 45 net new positions created by the PILOT will earn an average salary of $53,636 annually. The PILOT allows for Impact Innovations to increase their domestic production of gift wrap versus relying on overseas production.

In 2011, as a part of the Cleo acquisition, Impact Innovations acquired converting equipment from Cleo, which converted jumbo gift-wrap rolls to consumer-sized rolls. Founded in 1968 in Clara City, Minnesota, Impact Innovations specializes in seasonal and commercial paper product manufacturing. The company’s products can be found at national retailers including discount, drug, grocery, and home improvement stores in the United States, as well as internationally in Canada, Mexico, Central and South America.

PILOT Term:

9 years

Projected New Jobs:

45

Projected Retained Jobs:

Not applicable

Total Jobs:

45

Projected Average Payroll of New Jobs:

$53,636

Projected Average Payroll of Retained Jobs:

Not applicable

Annual New Direct/Indirect Payroll:

$3,017,025

Annual Retained Direct/Indirect Payroll:

Not applicable

Total Capital Investment:

$11,713,430
Real Property Investment:
$285,000

Personal Property Investment:
$1,000,000

Community Reinvestment Credit (CRC):
$9,678,439

Capital Investment not in PILOT:
$750,000

Projected Tax Revenue:

$2,373,232

Projected Taxes Abated:

$1,957,272
City: $996,570
County: $960,702

Benefit/Cost Ratio:

1.21

Projected MWBE/LOSB Spending:

$250,900

Incentive Provided:

$1,957,272

Compliance Information

Not applicable

Approved

11/16/2011

Ramp up Period

2 years

Closing

Not applicable

Effective

Not applicable

Lease Begins

Not applicable

Lease Expires

Not applicable

Amended

9/21/2016

Property Details

Lease Began

Not applicable

Lease Expires

Not applicable

Impact Innovations

6267 East Shelby Dr, Memphis, TN 38141