‹ Back To Pilot Programs
Pristex Solutions, LLC
Project Number: 20201001
Pilot Type: Jobs
Status: Approved
Parcel ID: 073101 00814
County Commission District: 11 | City Council District: 03, 08
Pilot Type: Jobs
Status: Approved
Parcel ID: 073101 00814
County Commission District: 11 | City Council District: 03, 08
Summary
Pristex Solutions, LLC (“Applicant”) was approved for a 13-year Jobs PILOT to enable the company to create 439 Net New Jobs with an average wage of $34,644 and invest $11,608,422 at 4259 Delp Street in Memphis, Tennessee.The total project investment includes construction costs of $2,008,600 and new personal property of $7,254,222. Community Reinvestment Credit has been requested for the value of the vacant space to be occupied ($297,300 land and $2,048,300 building).
Parcel 073101 00814 (4259 Delp Street) is 7.6 acres and contains a 151,200 square foot building. The Applicant will occupy the entire building. Both real property improvements and new personal property will be included in the PILOT.
Pristex Solutions is being created to directly serve Pristex Medical. Pristex Medical was launched in May by Gabe Velasquez and Kyle Wallgren to connect Personal Protective Equipment (PPE) manufacturers with high volume buyers such as healthcare groups, governmental entities, and large distributors. Their goal was simply to help move products from warehouses to hospitals. But now, with long-term contracts in place with a diverse array of purchasers, revenue of more than $631,000 per month, and a continuing shortage of necessary product, the company needs increased manufacturing capacity.
Pristex Solutions is being formed to fill this need for additional manufacturing. The ownership is evaluating locations in Texas, Mississippi and Tennessee for a facility that will produce commercial and household cleaning products and disinfecting wipes. The facility will have initial production capacity of approximately three million units (canisters) per month.
The location produces $67,985 today in City of Memphis and Shelby County property taxes annually. Estimated annual property taxes will be $47,333 during the PILOT term and $144,017 after. Staff projects $28,537,950 in total local tax revenues to be received during the PILOT term of this project and a $1,509,925 benefit to the Applicant.
PILOT Term:
13
Projected New Jobs:
439
Projected Retained Jobs:
Not applicable
Total Jobs:
439
Projected Average Payroll of New Jobs:
$34,644
Projected Average Payroll of Retained Jobs:
Not applicable
Annual New Direct Payroll:
$15,208,716
Annual Retained Direct Payroll:
Not applicable
Total Capital Investment:
$11,608,422
Real Property Investment:
$1,826,000
Personal Property Investment:
$5,315,000
Community Reinvestment Credit (CRC):
$2,345,600
Capital Investment not in PILOT:
$2,121,822
Projected Tax Revenue:
$28,537,950
Projected Taxes Abated:
$1,509,925
City:
$665,986
County:
$843,939
Benefit/Cost Ratio:
18.90
Projected MWBE/LOSB Spending:
$682,989
Incentive Provided:
$1,509,925
Compliance Information
Not applicable
Approved
10/21/2020
Ramp up Period
2
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