Title
Resolution - A Resolution of the City Council of the City of Mansfield, Texas, Approving an Economic Development and Performance Agreement by and Between the Mansfield Economic Development Corporation (“MEDC”) and Hoffman Cabinets, Inc. and Authorizing its Execution by the President of the MEDC; and Providing an Effective Date
Requested Action
Consider a Request for Infrastructure Improvement Assistance from Hoffman Cabinets
Recommendation
At the February 7, 2023 MEDC Board meeting, the board recommended actual cost, not to exceed $135,000, for eligible infrastructure improvements, as described in the attached agreement.
Description/History
Hoffman Cabinets (Hoffman) is a 3rd generation family owned business that has made Mansfield home since 1978 on Sentry Dr. Hoffman manufactures custom cabinets for new homes and currently has about a 15% market share in the North Texas area and growing. The business has grown over the years from its original 10,000 SF to over 150,000 SF. They have not only grown in square footage, but also employees. They started with less than 10 and now employ over 500.
In 2015, Hoffman purchased the building at 1206 Antler Dr. At that time, MEDC entered into an Economic Development Agreement to assist with fire lane and electric infrastructure improvements. In addition to the Economic Development Agreement, MEDC sold Hoffman the adjoining 5.472 AC tract for a minimum 26,000 SF expansion. Due to their immense growth, they exceeded the minimum requirement and built approximately 76,000 SF.
Hoffman is now expanding into an adjacent 15,000 SF facility on Sentry Dr. The building is in disrepair and Hoffman is requesting assistance with utilities and the fire protection system. The total capital investment is estimated to be approximately $765,000. Initially, no jobs are expected to be created.
Justification
The additional space will allow for their Sentry Dr. operations to spread out and offer much needed additional parking. ...
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