By Paul Post<\/p>\n
A Clifton Park firm\u2019s proposed $8.9 million project would help bring new business to the area, and give existing small ventures a place to expand.<\/p>\n
The Clifton Park Industrial Development Agency recently approved a nearly $1.3 million incentive package for DCG Development to build 57,360 square feet of office and warehouse space on currently vacant land at 26 Wood Road, just east of Northway Exit 10.<\/p>\n
Plans call for three separate structures, ranging from 7,200 square feet to 26,400 square feet, which would be built on speculation\u2014meaning DCG develops the facilities without having signed leases from tenants.<\/p>\n
\u201cWe\u2019re hoping to break ground as soon as the weather breaks and have space available for lease in the third quarter,\u201d company vice president Donald MacElroy said. \u201cIt\u2019s a matter of continuing with a successful formula.\u201d<\/p>\n
DCG previously developed, leased and later sold Tech Valley Flex Park, directly across Wood Road from the proposed new construction site. The Flex Park\u2019s 36-acre campus is home to more than 20 different businesses. Its largest tenants are Death Wish Coffee and WyreStorm, an audio and video equipment manufacturer.<\/p>\n
\u201cWe had great success with that first project,\u201d MacElroy said. \u201cIt gives people the opportunity to run a business where they need an overhead door, some warehousing space, or maintain a small on-site office. We\u2019ve dealt with everyone from distributors to small contractors and we\u2019ve done a good deal of business with folks servicing or involved with construction of the GlobalFoundries complex over the years. I would see that continuing in the future.\u201d<\/p>\n
<\/span><\/span><\/b><\/span>GlobalFoundries is pursuing plans to build\u00a0 <\/span>a second, large semiconductor manufacturing plant at Luther Forest Technology Campus in Malta adjacent to its current plant.<\/p>\n \u201cThere are national and international companies that have to set up a local source of service, and provide parts and labor to support GlobalFoundries, both during initial construction and ongoing operations,\u201d MacElroy said.<\/p>\n But demand for business space was strong even before GlobalFoundries announced plans for a new plant.<\/p>\n \u201cThis is only going to heighten it,\u201d said Tori Riley, Saratoga Economic Development Corporation vice president. \u201cWe\u2019ve lost a few projects because we don\u2019t have \u2018spec\u2019 space readily available. We\u2019re also seeing huge demand for smaller spec space, around 1,800 square feet from folks starting small businesses. It\u2019s gone from a hobby to business model and they can\u2019t operate out of a garage any more.\u201d<\/p>\n Others such as Clifton Park-based M.J. Properties and Luther Forest Corp. President Cailean Mackay and investment partners are pursuing plans for spec space, too.<\/p>\n \u201cThey\u2019re developing different size facilities for different needs based on inquiries they\u2019re receiving,\u201d Riley said.<\/p>\n Outside firms seeking to locate in Saratoga County typically lease space and establish a market presence before expanding and building facilities of their own. Projects such as DCG\u2019s makes it possible for them to pursue such plans, Riley said.<\/p>\n The Clifton Park IDA\u2019s incentive package was for $262,500 in sales tax exemptions, $57,720 in mortgage tax exemptions and a payment-in-lieu-of-taxes agreement worth $958,160 over 10 years. The package is expected to save DCG almost $1.2 million, which it says is critical in the face of rapidly increasing construction costs.\u00a0<\/span><\/p>\n By offsetting such costs, DCG said it can keep rental fees down, making the project competitive with similar facilities in the area.<\/p>\n Earlier in its history, DCG did a number of multi-family developments, but sold its residential portfolio in 2005. The company is now focused on retail, office and light industrial projects. It developed Congress Plaza in Saratoga Springs, Malta Gardens near Northway Exit 12 and owns four Hilton Hotels along the I-87 corridor.<\/p>\n","protected":false},"excerpt":{"rendered":" By Paul Post A Clifton Park firm\u2019s proposed $8.9 million project would help bring new business to the area, and give existing small ventures a place to expand. The Clifton Park Industrial Development Agency recently approved a nearly $1.3 million incentive package for DCG Development to build 57,360 square feet of office and warehouse space […]<\/p>\n","protected":false},"author":89,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[7],"tags":[],"class_list":["post-38578","post","type-post","status-publish","format-standard","hentry","category-business-news"],"yoast_head":"\r\n