Project Number: 20151103
Project Type: Standard/Basic
Parcel ID: 094200 00480C
County Commission District: | City Council District:

Summary

Pacific Paper Products, Inc. (Applicant) is seeking a 3-year Basic PILOT to enable the company to add 27 net new jobs in addition to its 43 employees currently located in Memphis, Tennessee. The Applicant will invest more than $3.6 million at its facility located at 5300 Hickory Hill Road.

The Applicant will invest $300,000 in real property improvements and $2,035,000 in personal property improvements at the Hickory Hill facility.

The Applicant will receive $1,360,800 in Community Reinvestment Credit (CRC) for the expansion into 54,400 additional square feet (5 percent) of the Hickory Hill location, for a total capital investment of $3,695,800.

The average annual salary of the 27 net new jobs will be $27,271.

The project will create $202,279 in new tax revenue for Memphis and Shelby County, and has a benefit to cost ratio of $2.20 in new tax revenue for every $1 of taxes abated.

For over 50 years, Pacific Paper has been manufacturing high quality paper products sold at competitive price levels for the most demanding professional and commercial environments.

The principal business of Pacific Paper is paper products manufacturing. The current business is at capacity, demanding additional equipment and building space. The PILOT will allow Pacific Paper to invest in additional capacity and upgrade its equipment to remain competitive.

PILOT Term:

3 years

Projected New Jobs:

27

Projected Retained Jobs:

Not applicable

Total Jobs:

27

Projected Average Payroll of New Jobs:

$27,271

Projected Average Payroll of Retained Jobs:

Not applicable

Annual New Direct/Indirect Payroll:

$920,396

Annual Retained Direct/Indirect Payroll:

Not applicable

Total Capital Investment:

$3,695,800
Real Property Investment:
$300,000

Personal Property Investment:
$2,035,000

Community Reinvestment Credit (CRC):
Not applicable

Capital Investment not in PILOT:
$1,360,800

Projected Tax Revenue:

$445,420

Projected Taxes Abated:

$202,279
City: $88,396 (75%)
County: $113,883 (75%)

Benefit/Cost Ratio:

2.20

Projected MWBE/LOSB Spending:

$480,750

Incentive Provided:

$202,279

Compliance Information

Not applicable

Approved

11/18/2015

Ramp up Period

Not applicable

Closing

Not applicable

Effective

Not applicable

Lease Begins

Not applicable

Lease Expires

Not applicable

Amended

Not applicable

Property Details

Lease Began

Not applicable

Lease Expires

Not applicable

Pacific Paper

5300 HIckory Hill, Memphis, TN 38141