Two businesses have agreed to stay put in Islip Town after its Industrial Development Agency crafted tax break deals that enticed them to decline out-of-state offers to relocate, a town official said.
The Islip IDA, composed of the town board members, unanimously voted at a meeting last week on resolutions to allow Freeport Paper/Avco Industries Inc., of Central Islip, and EastWest Industries Inc., of Ronkonkoma, to expand their current sites.
Freeport Paper, which manufactures pizza boxes stamped with advertisements from clients like HBO and Netflix, is currently located at 120 Windsor Place, and is looking to expand and invest $2.2 million to purchase and renovate a 10,000-square-foot building at 50 Windsor Place, said IDA executive director William Mannix.
The company, whose principal is Gil Korine, employs 120 people and would be looking to create an additional 30 full-time positions, Mannix said.
“They are growing very rapidly,” Mannix said, adding that the company was looking at offers from Pennsylvania and Georgia. “We’re very happy he’s decided to stay in Central Islip.”
If the deal goes through, the company would save $19,425 on mortgage recording tax; $350,000 on sales tax to purchase equipment and supplies; and $384,205 on property taxes.
EastWest Industries, a woman-owned family business, manufactures aerospace products including aircraft seating and life support products, Mannix said. The company, whose principal is Teresa Ferraro, employs 60 people and is looking to create 23 new full-time-equivalent positions upon expansion, Mannix said.
The company’s proposed $2.6 million investment would include moving and leasing a different facility at 2002 Orville Dr., North Ronkonkoma. The company would save $22,331 in sales tax and $314,611 on property taxes, Mannix said.
“It’s a company that could have relocated anywhere,” Mannix said.
EastWest had been entertaining offers in Louisiana, Alabama, Florida and North Carolina, all states in a “growing aerospace cluster in the Southeast” that “actively recruit aerospace companies from our region,” Mannix said.
Both inducements are subject to a public hearing, which has yet to be scheduled, and a final vote by the IDA board, Mannix said.