Members of the Development Authority of Bartow County (DABC) voted unanimously Friday morning to approve a $30 million bond resolution for the Georgia North Logistics Center 2, LLC project in Adairsville.
“These bonds are not an obligation of this authority, they are not an obligation of the City of Adairsville, they are not an obligation of Bartow County, they’re not an obligation of the State of Georgia,” said DABC legal counsel H. Boyd Pettit, III. “The bonds are solely to be repaid between the tenant and the company for the Georgia North Logistics Center.”
New York-based investor Ashley Capital has constructed a nearly 770,000-square-foot spec building on a roughly 124-acre parcel, situated north of State Route 140 in between U.S. 41 and Interstate 75.
The property was previously owned by TK Holdings, Inc. Bartow County Board of Assessors data indicates the 124-acre parcel was sold to Ashley Capital subsidiary Adairsville Business Center 1, LLC for about $8 million in 2018. Over the last year, the fair market value of the property skyrocketed, increasing from a little under $5 million in 2019 to $33.8 million in 2020’s assessment.
Pettit said there have been efforts to get the property “into production” for as long as he’s been the DABC’s attorney.
“We try to work on timelines that benefit the companies,” he said. “One of our strong suits here in this community is the ability to get answers out of the commissioner’s office, the ability of this authority to meet quickly and to stay on a company’s timeline as they’re trying to get employees into this facility in Adairsville.”
Cartersville-Bartow County Department of Economic Development Executive Director Melinda Lemmon commented on the local investment.
"We are very pleased that more jobs will be coming to Bartow County, at a time when good jobs are greatly needed," she said. "We appreciate Ashley Capital’s sacrifices to offer ‘speed-to-market’ advantage that helped win this competitive project."
More updates on the project will be announced in "the near future," Lemmon added.
Pettit said Ashley Capital intends on leasing the building to a tenant, but did not specify an occupant by name at Friday’s meeting.
“They are in the process of putting in the office portion now,” he said. “This project’s going to bring 75 full-time jobs.”
He said the County also anticipates seeing additional investments inside the facility in terms of personal property.
“We were competing with other states, and we were excited to see that they choose this community,” Pettit said. “Even in light of what we’re all faced with and what we’re reading and what we’re seeing, there are still companies that are out there that are investing, they are hiring and they are preparing to open here.”
Pettit said the project is receiving the County’s standard incentives package — a graduated tax abatement on both real and personal property over a 10-year window.
He said employees could be onsite by the end of the year.
“They’re finishing up some of their buildout now, as I understand it,” he said. “We’re anticipating at or about the fourth quarter.”
The bonds are on pace to be validated on June 10.
“We’ve been very fortunate to do a number of projects in and around the Adairsville area in the last few years, and we’ve seen those projects expand,” Pettit said. “We certainly hope we have the same luck with this particular project.”
DABC board members also approved a resolution allowing the authority to transfer funds to the Bartow County government.
“We have been accumulating funds in the Development Authority’s account in order to assist with economic development projects,” he said. “We worked with the County in order to have the majority of those funds now deposited with the County — of course, they’re secure, they’re able to get a better interest rate than what we were able to do, so it works out well.”
Pettit said the total value of the transfers comes out to $925,000. Where the local government funding will be allocated was not specified.
“We’re going to keep two accounts open,” Pettit added. “We have two large grants that we are going to be dealing with over the next couple of months, one at Loloi
and one at Chick-fil-A
. And those will hit our accounts, and when they do, it puts us so far over the insured limits that I felt like we ought to look at having this in place.”