Agreements with McElroy Metal approved
By Kristen Meriwether , Editor LPR
The Caldwell County Commissioners Court and the Lockhart City Council approved agreements with McElroy Metal on Tuesday, bringing the manufacturer one-step closer to becoming the first official tenant at the City’s new 75-acre industrial park.
McElroy Metal, which was founded in 1963, manufactures metal roofing, metal siding, and metal panel products for commercial and residential buildings. It has grown into a national company with service centers and manufacturing locations in 17 states. The company already has a strong footprint in Texas, primarily in DFW and Houston metro areas.
Chief Financial Officer Amanda Haskins called in to the Lockhart City Council to discuss the agreement and said the company had reached capacity at their other plants and the company was looking for new space.
“Lockhart was so welcoming when we visited it, we knew it was a perfect spot for us to open our new plant,” Haskins said. “We are very excited about coming to Lockhart!”
The company is planning a 30,000 square foot manufacturing facility on 10 acres initially, with plans to possibly expand with a retail facility soon after the first year. The initial investment is estimated at $3.25 million, and the company has committed to creating 11 full-time jobs over the first three years.
“We think you’ve chosen a perfect place,” Mayor Lew White said.
The economic development agreements approved by the County and City will give property tax rebates to McElroy Metal over the first five years, so long as performance metrics, such as job creation, are met. The company will receive a 75 percent property tax rebate from both the city and the county their first year, going down to 50 percent year two, and dropping down by 10 percent each year until the fifth year of the agreement, where they will get 25 percent back.
The City is expected to give a $59,645 incentive, while gaining a net benefit of $253,540 in taxes over 10 years. Caldwell County is expected to give a $64,779 benefit and see a net benefit of $243,271 in taxes over 10 years.