WHITSETT, N.C. – Prepac Manufacturing, an RTA manufacturer based in British Columbia, plans to invest $27.1 million in a new 260,000-square-foot plant here that will employ 201 workers.
The facility will be an East Coast manufacturing arm of the business, supplying customers on the Eastern seaboard with products such as bedroom, dining room, home office, living room furniture and utility and garage storage products.
The project was announced by the N.C. Department of Commerce on Friday. In the announcement,company President Jim Mathison said the Whitsett site was among several locations it had considered.
“Ultimately, we chose North Carolina and specifically Guilford County due to several key factors, including the availability of a highly skilled workforce, easy access to major markets and compelling state and county resources to help ensure that this project is successful given these uncertain times.” Mathison continued, “We look forward to expanding our North American Manufacturing base in Guilford County and are excited to be moving forward with this project.”
He declined to comment further, pending a decision by the Guilford County Board of Commissioners on an incentives package for the project. According to local news sources, the economic incentives package is valued up to $597,286.
However, according to the N.C. Department of Commerce, the project also is being supported by a Job Development Investment Grant approved by the N.C. Economic Investment Committee on Friday.
This authorizes a potential reimbursement to the company of up to just over $2.1 million over 12 years, based on estimates that it will grow the state’s economy by $376.3 million during this time.
The JDIG funding formula is based on new tax revenues generated by the new jobs. Payments occur following performance verification by the state departments of commerce and revenue showing that the company has met its incremental job creation and investment goals.
According to the Department of Commerce, JDIG projects result in positive net tax revenue to the state treasury, even after consideration the grant’s reimbursement payments to a given company.
According to the N.C. Department of Commerce, wages will vary by position. However, the annual payroll is expected to net more than $9 million a year for the state and local economies.
“North Carolina is the leading manufacturing state in the southeast United States, with nearly 20% of our economic output coming from this important sector,” said N.C. Commerce Secretary Anthony M. Copeland. “It’s good to see innovative companies like Prepac Manufacturing choose our state for the next stage of their growth.”