EDWARDSVILLE — The Madison County Board has added to the Gateway Commerce Center enterprise zone's boundaries to include an expansion of 111 Used Auto Parts, a salvage yard at 2188 Illinois 111 in Pontoon Beach.
The board voted Aug. 19 to expand the zone by approximately 20 acres that will be the site of a $10 million expansion that includes an office headquarters, processing facilities, parts warehousing and retail sales office.
Madison County Community Development Economic Development Coordinator and Deputy Administrator John Herzog said the project will create 20 construction jobs and 25 full-time jobs. The county and Pontoon Beach will receive revenue from an estimated $2.5 million in annual retail sales.
The enterprise zone allows the county to abate property taxes that can be attributed to improvements on the property. The taxes for 111 Used Auto Parts will be completely abated for seven years, along with three years where the business will pay progressively more taxes. The full tax bill will be due after 10 years. Other enterprise zone benefits include a sales tax exemption for building materials purchased in Illinois, machinery and equipment tax exemption, utility tax exemption, an investment tax credit and a job tax credit for hiring dislocated workers.
Since the 5.89-square-mile zone’s inception in 1997, Herzog said businesses within its boundaries have added 5,000 jobs and 9 to 10 million square feet in new buildings. It was created to spur the development of warehouses at Gateway Commerce Center.
“It seems to have had an impact,” he said.