Sugar Land: Council Gives Industrial Developer a Tax Break in Sugar Land Business Park
Feature Illustration (above): The site plan for an industrial complex being planned for Sugar Land Business Park. Courtesy: Powers Brown Architecture.
by Adolfo Pesquera
Sugar Land (Fort Bend County) — City Council approved an agreement with a South Carolina-based national developer that will lead to construction of two industrial buildings, an $11.6 million investment.
The council members voted June 4 to create a Reinvestment Zone and to provide a tax abatement contract to Johnson Development Associates Inc. (JDA) of Spartanburg, South Carolina.
Reinvestment Zone No. 2019-02 encompasses a 17.862-acre tract in the Sugar Land Business Park. The tract faces Gillingham Lane and is south of the Gillingham/West Airport Boulevard intersection.
JDA proposes to build on speculation buildings with gross areas of 148,921 SF (Building 1) and 166,970 SF (Building 2).
Aerial view of the reinvestment zone created for JDA. Image: Google Earth.
Devon Rodriguez, the city’s assistant director of Economic Development, said construction will begin later this summer and reach completion by Dec. 31, 2020. While the property is under construction, JDA will be marketing their facilities and anticipate having them leased by March 2021.
Sugar Land Industrial Properties LLC is the special purpose entity that will own the project and is controlled by JDA.
The tax abatement is for 35% of the value of improvements to the land every year for 10 years. JDA must maintain the property at a minimum value of $9.28 million. The effective period is from 2021 to 2030.
Adolfo Pesquera (Reporter/Editor) is a veteran news journalist. He has worked for Hearst Corp., American Lawyer Media, News Corp and Freedom Communications. His work has been published in newspapers and magazines across the USA. He is a journalism graduate of UT-RGV. He writes, edits and creates digital pages for VBX.