A subsidiary of Dublin, Ohio-based Cardinal Health Inc. is seeking tax breaks from the city of Indianapolis to help it open a $14.4 million local drug-production facility that would employ 85 workers by 2017.
Cardinal Health 414 LLC produces a cancer treatment locally at a compounding center on Georgetown Road. The Indianapolis Department of Metropolitan Development said Cardinal wants to expand production of the medication by opening a second facility in an existing 64,000-square-foot warehouse at 4343 W. 62nd St.
DMD staff said the company also is evaluating a potential site in Colorado.
If the project goes forward locally, the company said it would spend $11.5 million to make the building suitable for pharmaceutical production and another $2.9 million in manufacturing and research equipment for the facility.
The plant would eventually employ 85 workers making an average of wage of $30 per hour, the company said.
DMD staff support a tax abatement on real property that would save the company $529,519 over 10 years. During that time, the company still would pay $540,216 in property taxes.
After the abatement period ends, the company would pay an estimated $107,000 in property taxes, in addition to $61,000 currently paid on the property.
In addition, DMD staff backs a 10-year personal-property tax abatement related to new equipment that would save the company $160,778. Cardinal would still pay $107,953 in personal property taxes during that time, plus an estimated $23,034 annually after the abatement period.
The Indianapolis Metropolitan Development Commission will consider the incentives at a Wednesday meeting. If approved, they would move to a public hearing scheduled for Sept. 3.