Osage City offers incentive to possible new occupant of former KanBuild building – Osage County Online | Osage County News

Osage City offers incentive to possible new occupant of former KanBuild building

Tuesday night, the Osage City Council agreed to offer a Topeka company an incentive for purchasing the former KanBuild building, which has been vacant since KanBuild liquidated its assets in 2011.

After the council met in executive session for two 10-minute sessions at the end of the Sept. 10 meeting, Osage City Council Member Becky Brewer made a motion to “authorize the mayor to extend our standard electrical incentive to Asset Lifecycle.”

With all council members present, Osage City Council Member Bruce Schoepflin was the lone opposed vote on the motion, which passed with no other council discussion.

Osage City Manager Linda Jones told Osage County News Wednesday morning that Asset Lifecycle LLC, a company that recycles computer and office equipment, had recently expressed an interest in purchasing the building, and Osage City Mayor Quintin Robert had been working with a local real estate agent to facilitate the sale.

The council’s offer of the city’s standard electrical incentive agreement would provide the company with rebates on its electrical use based on the amount of money invested into the building and the number of jobs created.

The incentive’s agreement form states that a 10-percent rebate on electricity charges will be given for each $100,000 of direct investment into the facility and a one-percent rebate for each new full-time job created at the facility and maintained for a year. The total incentive cannot exceed 50 percent of the electric bill charges for any one year, and the incentive is offered over a five-year period.

Jones said the company expressed an interest in the building because it was searching for a location for a large machine that shreds business equipment. She said the former KanBuild building, located at 126 Nichols Road, has sufficient ceiling height for the company’s machinery.

According to Jones, the sale of the property has not been completed, but a closing date is possible within a few weeks. Osage County land records indicate the building and 22 acres are owned by Conway Bank, of Wichita, and have a current appraised value of $946,450.

Jones confirmed that the city still holds a lien on the property, which resulted from a Kansas Department of Commerce loan to KanBuild. Jones said city officials are now in the process of releasing the lien to allow the sale of the property to proceed. Osage City also remains involved in litigation against a former owner of KanBuild, John Samples, as a result of the unpaid $735,000 loan.

Jones said if the sale is completed and the Asset Lifecycle moves into the building, that it could employ up to 50 people by its third year of operation at the site.

According to the company’s website, it describes itself as “a small, woman-owned business that prides itself by providing complete asset disposition and recycling solutions for all information technology equipment.”

Asset Lifecycle’s location in Topeka is at 7215 SW Topeka Blvd., west of the Forbes Field area.

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