When attempting to construct a brand new facility, a variety of hurdles may crop up. For instance, coming to an agreement with city officials on a commercial real estate deal can be challenging in some cases. In Pensacola, however, plans for a new $37 million project appear to be moving forward and should end up bringing hundreds of jobs to the area.
The work is being done at the Pensacola International Airport, where both private and government funds will cover the construction of a large aircraft maintenance facility on nearly 19 acres of land owned by the city. The city recently reached a tentative agreement with company ST Aerospace to build the facility. City officials have signed a memorandum of understanding with the company, which repairs commercial aircraft.
Officials from the city and county also have tentatively agreed on how to split the millions of dollars in funding still required to make the project happen. The city also is in the process of working out final details regarding the lease for the facility. The facility is slated to add 300 jobs to the locale.
Sometimes commercial real estate deals, including those involving aircraft maintenance facilities, do not go smoothly. If the deal is mishandled and both sides cannot come to an agreement on how to approach it, it could end up failing. Companies that wish to construct facilities on new sites need to take a variety of complex matters into consideration, such as funding and area tax laws. With the right guidance, it is possible to create a new building with minimal risk, thus taking advantage of opportunities for business expansion in the state.
Source: pnj.com, City, county to discuss cost sharing for ST Aerospace deal, No author, Feb. 10, 2014