Claremore Daily Progress

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March 7, 2013

100 new jobs coming to Claremore

CLAREMORE — Claremore City Council approved Monday a measure for CEIDA to purchase the former facilities of Burgess Norton in Claremore for approximately $1.6 million.

The purchase will provide an opportunity for two area companies to bring approximately 100 new jobs to Claremore.
“The purchase will protect an economic asset from declining value,” CEIDA Director Mickey Thompson said. “It will allow us to employ an asset for economic development.”
City council approval was required to allow CEIDA to incur the debt. The purchase provides an opportunity to lease the property, therefore providing $190,000 per year to be used for debt service.
The Burgess Norton building has been out of production since 2009. This purchase will bring it back into a productive economic use, according to Thompson.
Local banks and the Oklahoma Industrial Finance Authority will serve as the financing entity for the purchase.
The 102,562 sq. ft. facility and a portion of the 29 acres the site is built on, will serve as security for the transaction.  Fifteen acres of the land will be sold to a local manufacturer, generating approximately $375,000 in revenue, that wll assist n the purchase price. The environmental impact is currently being reviewed and any issues or threat will be resolved through the transaction, according to Thompson.
The total price will be $2.4 million, however the seller will be contributing one third of the adjusted price.  Additionally, the price may be adjusted based upon environmental and other concerns, issues and remediation as needed, according to Thompson.

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