Elsmere city council approved an incentive package to support the location of Diversey in the city.
The South Carolina-based provider of cleaning and personal care products plans to occupy an 800,000-sq. ft. industrial building currently under construction on Foundation Drive.
Diversey plans to employ an estimated 300 workers at the cite.
As part of the approved incentive package, Diversey will receive an occupational tax incentive for ten years.
In late 2020, city council previously approved the issuance and sale of $45 million in Industrial Revenue Bonds (IRBs) for the Diversey project.
IRBs are a common economic development tool used on many projects in Northern Kentucky. Under state law, the bonds are permitted to be issued by a local government to help finance major projects. The local government, however, is not responsible for paying off the bonds.
Diversey is expected to move into Core5’s industrial building in the first quarter of 2022. About half of the planned 300 employees will work in the office while the others will handle the development, production and distribution of the company’s products. The company projects $60 million in payroll over the next 10 years.
“This is one of the few remaining shovel ready sites for industrial development in Kenton County,” said Elsmere Mayor Marty Lenhof. “That makes it very desirable, along with the fact that the site has direct access to Industrial Road and is close to several transportation lines, including a Norfolk Southern Railway line, Intestates 75, 71 and 275, the booming cargo hubs at The Cincinnati/Northern Kentucky International Airport and the Ohio River.”
Several other partners also helped make the Diversey project a reality and have been involved in setting the stage for future industrial development in the city:
- The Kentucky Economic Development Authority (KEDFA) has approved $3.1 million in incentives for Diversey.
- Kenton County Judge/Executive Kris Knochelmann and the Kenton County Fiscal Court have supported the grant of incentives for the project.
- The city received grants from the Ohio-Kentucky-Indiana (OKI) Council of Regional Governments for two major traffic improvement projects: The replacement and winding of the railroad bridge on New Buffington Road; and enhancements to the intersection of New Buffington Road, Industrial Road, Garvey Avenue and Autumn Road.
- The Elsmere Fire Protection District Board of Directors has supported the project.
- Sanitation District 1 installed a $5 million to $6 million sewer line to increase capacity in the area.
- Duke Energy performed a site-ready study for the area, which helped attract the project.
- Northern Kentucky Tri-Ed provided expert guidance on completing the transactions and coordinating communication between all stakeholders.
“This is a truly regional project,” said Elsmere City Administrator Matt Dowling
The city is also considering future plans for the development of four additional industrial buildings on farmland in the southern end of Elsmere near the existing Northern Kentucky Industrial Park by Core 5 Industrial Partners who is developing the project.
This additional investment of more than $86 million will create industrial space totaling more than 2 million square feet and eventually employ more than 1,000 workers in logistics and manufacturing.
“When all five buildings are completed, Elsmere will be a major hub of employment for the region,” Mayor Lenhof said. “The formation of a development of this magnitude was envisioned decades ago when Elsmere City Council members and property owners zoned this land for future industrial purposes. Decades later, we are now seeing the long-term benefits of that decision.”
The city has retained a traffic engineering firm to develop traffic flow solutions and to accommodate any traffic concerns from residents in the area. These discussions will take place in the future as the area continues to be studied.
-Staff report