Incentives fuel business expansion in Cedar Park

Nov 22, 2013
Community Impact

Economic development leaders in Cedar Park are seeing the fruits of their labor as a Fortune 500 company plans to open its research and development facility in the city by March

The city’s 4B Community Development Corp. approved a 10-year, $1.2 million incentive package for Dana Limited Corp. on Nov. 12. The deal aims to bring $12 million in capital investments and 80 jobs to the city by 2019, Economic Development Manager Larry Holt said. The agreement is set to go before City Council on Nov. 21

If approved by council, the performance-based incentive package for Dana will piggyback two of the city’s active economic incentive deals with Scottsdale Crossing Commerce Park and Fallbrook Technologies Inc.

Dana, a supplier of automotive and off-highway drivetrain, sealing and thermal-management systems products, is slated to occupy the first of seven office buildings at Scottsdale Crossing Commerce Park, a mixed-use project at Toll 183A and Scottsdale Drive that broke ground in January. The city of Cedar Park offered the site’s developer, TIG Real Estate, $681,891 toward infrastructure and construction of the first building, which was completed in early summer

Ultimately the business park is expected to host shopping, restaurants and professional offices that abut an 84-lot neighborhood. TIG Principal David Alsmeyer said about 14,000 square feet is being added to building Dana plans to occupy, and construction of a second, unleased 30,000-square-foot office building will begin mid-March

Rob Smithson, Dana vice president of powertrain innovations engineering, said his company began considering Texas for its new research and development facility about a year ago when Cedar Park–based Fallbrook Technologies announced a new partnership with Dana

“For us, a big part of the draw was to be close to Fallbrook Technologies, which is a company we licensed [and developed] new technology from,” Smithson said, adding that Dana considered opening its facility in Ohio. “But Dana likes to use technical centers as a way to expose the company to outside ideas, so certainly the entrepreneurial culture of the Greater Austin area is a great draw as well.”

In 2011, the city approved a $1.6 million economic incentive agreement with Fallbrook that requires the company to employ at least 125 people in Cedar Park by the end of 2013. CEO William Kehlm III said the company is in line with the agreement and has added 14 employees in the past year, almost all of them in Cedar Park

Print Article opens in new window