Potential spec building sale could bring 66 new jobs, $7.3M in investment to Rock Hill

City economic officials say they’re looking forward to sealing a deal that could lead to 66 new jobs and bring around $7.3 million in capital investment to Rock Hill.

The Rock Hill Economic Development Corp. voted Tuesday to approve a letter of intent to sell the second speculative building at Waterford Business Park for around $2.175 million.

In the non-binding letter of intent, the potential buyer is listed only as an “electronic manufacturing services” firm. The company would look to hire 66 new employees, according to Rick Norwood, the city’s director of industrial recruitment.

“The advantage of these spec buildings is the speed to market,” Norwood said. “We’ll be happy to finish this up and move onto the (next project).”

RHEDC leaders look to move into a more formal purchase agreement relatively quickly, said Norwood, adding he’s buoyed by the fact that a company would enter into a letter of intent soon after a spec building is completed.

The initial Waterford spec building was constructed in fall 2014, and was sold later that year to Beacon Partners, a Charlotte-based commercial real estate agency.

The new project was made possible, in large part, by a $1.3 million, three-year interest-free loan from Santee Cooper. After paying loans back to Santee Cooper and the city of Rock Hill, the RHEDC stands to collect a profit of around $372,000.

The potential buyers were established in 2002, according to Bev Carroll, a local attorney and former RHEDC chairwoman. Carroll said the company will look to employ engineers, test operators, technicians, machine operators and managers.

In total, the company will look to bring around $7.3 million in capital investment, RHEDC leaders say.

“This particular sale, this is exactly what we had in mind when we started to do spec building development,” Carroll said.

Builders finished Waterford’s 40,000-square-foot spec building last week, after putting up storefront windows, repairing roof leaks, installing metal panels, and completing temporary seeding.

The site is located on Apex Drive near Dave Lyle Boulevard Extension. In total, the buyer will purchase 8.65 acres, including a stormwater pond, roadway and utilities.

RHEDC leaders are working on 19 projects, 12 of which involve manufacturing, according to Norwood, who said it was important for the city to see a balance between manufacturers and distributors.

Officials have hosted two site visits and received one request for further information on the 432,000-square-foot spec building at Legacy West Business Park, east of Interstate 77. The RHEDC recently sold around 40 acres at Legacy West Park to Indianapolis-based developer Scannell Properties.

Meanwhile, officials chose Merriman Schmitt Architects for the preliminary design of the proposed spec building at Rock Hill’s TechPark.

Stephen Turner, Rock Hill’s economic and urban development director, said the city received a $300,000 grant for site preparation, cleaning and grading from the S.C. Department of Commerce.

The board met Wednesday at the Palmetto Room at Historic Old Town, rather than its usual monthly spot at the City Club of Rock Hill. The private club was forced to temporarily cease operations this week after failing to come to a mutual agreement with the building’s landlord. Staff was asked to vacate the site by Monday.

This story was originally published February 7, 2017 at 6:17 PM with the headline "Potential spec building sale could bring 66 new jobs, $7.3M in investment to Rock Hill."