The Hillman Group is seeking up to $200,000 in city incentives to expand its North Jacksonville distribution center and add 50 jobs.
The company provides hardware products to more than 25,000 customers, including Lowe’s, Home Depot, Tractor Supply, Ace Hardware and Walmart, according to an Oct. 7 memo from the Office of Economic Development to Mayor’s Budget Review Committee Chair Brian Hughes.
The MBRC will consider approving the request Oct. 12, which would introduce the legislation at the next City Council meeting.
The proposed expansion would add 90,000 square feet to its distribution center at 3650 Port Jacksonville Parkway, bringing the total square footage to 180,000.
It also would add 50 employees at an average annual wage of $30,000, plus benefits, no later than Dec. 31, 2023.
Cincinnati-based Hillman plans to hire logisticians, warehouse receiving and shipping personnel, truck drivers and support staff.
The Hillman Group is considering several other states for the expansion and noted that financial incentives are a material factor in its decision.
It plans an $8.45 million investment at its facility.
The city is proposing a five-year Recapture Enhanced Value Grant at 50% of the increase in property taxes at the site, up to $200,000. It requires that the private capital investment exceed $7 million and that the company create at least 50 jobs by the end of 2023.
The project does not meet one area of the city’s public investment policy criteria, which is that the jobs must have an average annual wage greater than or equal to the state average of $49,472.
The Office of Economic Development is requesting a waiver of that requirement, citing the desire to reduce unemployment.
The project meets the other three criteria, which are that the company must be in a targeted industry, it must create at least 10 new jobs and the company needs to commit to $3 million in private capital investment.