Together with the Alamo EDC, Medek LLC has been approved to establish their location in the beautiful City of Alamo. With big plans to open a warehouse and office building, Medek LLC is expected to bring jobs and assist with the city’s continuous growth. This project represents a $1 million investment achieved through the Alamo EDC’s business incentive programs.
More and more businesses are locating in the city of Alamo! Contact the Alamo EDC to see how we can further your company’s growth to success.
Established in 2009, Medek LLC offers the wholesale distribution of single-use food service disposables, paper goods and janitorial supplies across northeastern Mexico, Brownsville, Laredo, San Antonio, Corpus Christi and Austin. With a growing number of clients that include restaurants, bakeries, convenience stores, meat markets, supermarkets, schools, hospitals, pharmacies, day cares, nursing homes and more, Medek LLC strives to continuously bring quality products to clients.
The company has already started laying the foundation to their new 12,000 sq. ft. warehouse and an adjacent 1,850 sq. ft. office building. This step towards establishing their success in Alamo was made thanks to the business incentives offered by the Alamo EDC.
The Alamo EDC provided a construction assistance grant for 12.5% of the total project cost from 4B sales tax funds. This incentive through the ½ cent sales tax was granted because of Medek LLC’s property improvements in the city and the investment of job creation. In total, Medek LLC represented $475,000 of property improvements with an average wage of full time employees to be $11.77 per hour and a payroll investment of $367,120 for a year. Also, the company will be creating 10 new jobs for the city. Through sales tax funds, the city’s general fund, property tax relief and Alamo EDC will be able to benefit and continue to promote projects that will create primary jobs.
Alamo’s Tax Increment Reinvestment Zones (TIRZ)
With areas specifically designed and created by the Alamo City Council, Tax Increment Reinvestment Zone (TIRZ) brings new investment opportunities to the city. 400 acres dedicated to the TIRZ allows for the promotion of the development of a defined area, including infrastructure, façade programs, landscaping, street-scaping or other public enhancements. This allows for more businesses and the city to prosper, creating appeal and generating more traction. In order for a TIRZ to be created, several steps must be taken:
- A petition for a TIRZ to the city is requested by property owners who possess over 50% of the appraised value of a district. The decision to create a TIRZ could also be made by the local government, but only if less than 10% of the land is residential.
- A lifetime for the TIRZ is decided.
- The assessed values of properties in the TIRZ boundaries are frozen for tax-collecting bodies, such as water districts or counties. The property values within the TIRZ are assumed to increase in the duration of the TIRZ’s lifetime.
- The property taxes made from the property value increase will then make up the “increment” which will be donated to the improvement fund. Local taxing authorities, independent from the TIRZ creating organization, will be in charge of determining how much of the increment will be donated.
- A governing body for the TIRZ, along with the formation of the zone as a legal entity, will be established by an ordinance passed by the municipality or county. A budget for the duration of the TIRZ, which determines which projects will be made along with how they will be financed, will be created by the governing body.
Revolving Loan Program
The Revolving Loan Program is just one of the incentives the Alamo EDC has established as part of our efforts to encourage business growth and job creation in the city. This program is designed to assist small businesses and start-ups by providing a low-cost alternative financing option for commercial activities such as renovations, repairs, construction, equipment purchases and real estate. The Revolving Loan Program involves the following:
- Filling out a loan application
- Submission of a business plan with the loan application (business plan must include a budget for the use of funds)
- Submission of all documents to the Alamo EDC via mail or hand delivery
Afterwards, the following will occur:
- The EDC begins the loan application review to determine eligibility
- The applicant will be notified of eligibility status
- If eligible, the loan application will be presented to the Loan Review Committee
- Committee recommendation will be presented to the EDC Board for final approval
- The applicant will be notified of the Board’s decision and loan specific terms, if applicable
Incentives for Your Business
Being minutes away from McAllen, Edinburg and Mission has made Alamo a prime location for many business to relocate or start up. Learn why more and more businesses are choosing to work with the Alamo EDC by calling 956.787.6622.