Tropicale Foods is a for-profit corporation that is expanding their operations to the City of Lubbock. They have purchased the former Dynamic Foods building at 1001 E. 33rd Street, and are planning to retrofit the facility to begin production of traditional Hispanic frozen food products. The company plans to invest $66.8 million in renovations and equipment, and the project will create 500 new jobs, with an average salary of $51,000. The Lubbock Economic Development Alliance (LEDA) Board of Directors voted to incentivize Tropicale Foods with the following:
- Job Creation incentive of $2.5 million at the rate of $5,000 for each Primary, Full-Time job created and maintained, to be paid out in equal amounts of $1,000 per year over a five-year period.
- Capital Investment Incentive up to $1.5 million for the purchase and installation of equipment inside the building, and to update the facility to meet City Fire Code. The Capital Investment incentive is to be paid out over five years in the following manner:
• $450,000 the January following LEDA's receipt of the recipient's Certificate of Occupancy for the project;
• $450,000 one year following the first payment and upon written verification from the company of continued business operations in the City of Lubbock;
• $200,000 one year following the second payment;
• $200,000 one year following the third payment; and
• $200,000 one year following the fourth payment.
The LEDA Board of Directors approved these incentives at their August 24, 2022 Regular Board Meeting, and recommend approval by the Lubbock City Council. |