Shell/Spec Building Program

North Carolina’s Northeast Commission is committed to creating new opportunities with our local economic development partners to support new job creation and investment.

North Carolina's Northeast Commission has implemented a regional shell/spec building program that will leverage Commission and other revenues to assist local efforts to construct new manufacturing space to spur economic activity.

Overview

To stimulate the construction of new industrial buildings in North Carolina’s Northeast Region resulting in the creation of new jobs and investment.

• Provide loan funds equal to three years of interest payments when a County is committing their funds to the construction of a shell/spec building

• Commission [via 501(c)(3)] will be repaid when the County is repaid through property taxes

• The Commission will loan an amount to cover three (3) years interest payments by the County for the building up to a maximum of $150,000 at zero interest

• Commission will invoice the County for three annual payments to reimburse for interest for three years

• Repayment to Commission will begin in the year property taxes are received (beginning the first year after building is sold or leased)

• County will repay over three years (one-third of the amount borrowed each year) from property taxes realized – When the County begins realizing funds (property taxes, etc.) the Commission begins to be repaid

• If county or non-profit retains ownership of the building and leases the facility where no property taxes are paid, Commission participation requires that the County incorporate a payment in lieu of taxes OR Triple Net Lease into any lease or purchase agreement

• County can initiate another building project for Commission participation when 1 of the 3 annual payments has been made

• Minimum job and investment goals

• If program is abandoned in total, funds can revert to the Northeast Commission on a prorated basis

For additional information on the Northeast Commission's Shell/Spec Building Program, contact Ray White at rwhite@ncnortheast.com.