Principals of local commercial real estate brokerage Summit Realty Group are seeking a tax abatement from the city of Indianapolis to build a 542,000-square-foot distribution facility on the city’s west side.
7600 Rockville Road LLC, the entity established by the principals, expects to invest $14 million to construct the warehouse on 33 acres at 7600 Rockville Road. The site formerly housed a commercial greenhouse and nursery, which closed within the past 10 years.
To receive the 10-year abatement, the group is willing to commit that the facility it plans to build will be leased or sold to a company that will create at least 50 jobs by 2018.
The $14 million investment should result in an increase to the city tax base of $9.8 million of assessed value, according to city development staff.
During the span of the abatement, 7600 Rockville Road is expected to save about $1.5 million in real property taxes, or about half the amount it would pay without a tax break.
7600 Rockville Road estimates that a company occupying the distribution facility will pay an average wage of $16.35 per hour.
The city’s Metropolitan Development Commission is set to hear the abatement request at 1 p.m. Wednesday.
Correction: A previous version of this story incorrectly referred to Summit Realty Group as a developer.