Buncombe County Commissioners preview: Manufacturing a deal

The Buncombe County Board of Commissioners is expected July 26 to approve a large real-estate sale to Linamar Corp. as part of an economic incentives package aimed at ensuring the Canadian-based auto-parts manufacturer fulfills its plans to operate in Buncombe County.

The board agreed to purchase the former Volvo plant in Skyland June 28; Two days later they announced plans to sell it to Linamar for at least the same price they bought it for ($7 million). As part of the deal, the company agreed to invest $125 million in to the facility and create at least 400 full-time jobs, with the average wage totaling $39,000 per year – about $5,000 more than the county’s current annual average.

In exchange for meeting those criteria, the county would award the company with $10 million in grants from its General Fund by 2014. Those grants would be subject to recapture, however, if the company doesn’t fulfill its employment and investment obligations by December 31, 2020.

Meanwhile, the county is asking Linamar to pay $8 million to purchase the 65 acre site and 405,108 square-foot building on January 15, 2012. Until then, the company would lease the site from the county, including the $548,461.88 cost of the lease in the purchasing price. Over the next 10 years, the county estimates that the project will generate $2,424,493 in property tax and $1,404,248 in sales and use tax.

The board will hold public hearings on these matters during the July 26 session, which will be held at 5 p.m. in the commissioner’s chambers, located at 30 Valley St.

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About Jake Frankel
Jake Frankel is an award-winning journalist who enjoys covering a wide range of topics, from politics and government to business, education and entertainment.

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