Parkdale Mills will invest $60 million in plant here
Cherokee County Council is expected to approve an inducement agreement today that will clear the way for a large textile maker to invest a whopping $60 million in a plant here.
According to the terms of the agreement, Parkdale Mills, the world’s biggest independent cotton yarn producer, will receive a sizeable tax break in the form of a fee-in-lieu and an infrastructure tax credit in exchange for at least $60 million in new investment.
For confidentiality reasons, the inducement agreement identifies the textile maker as “Project Mill.” However, a source familiar with the negotiations confirmed that Parkdale Mills is the company referred to in the agreement.
Last month, Parkdale Mills entered into a lease/purchase agreement with Wellstone to take over Wellstone’s four plants, including the Wellstone Mills plant on Wilcox Avenue in Gaffney. The company’s other plants are located in Georgia.
Parkdale’s decision will save 160 jobs at the Gaffney plant that appeared in jeopardy over a legal dispute between Wellstone and Bridgeport Properties, which hoped to purchase the plant as part of a $6.8 million sale/lease-back agreement.
Under the terms of that deal, Wellstone would have sold the Gaffney plant to Bridgeport Properties and lease back 200,000 to 220,000 square feet of space in the plant.
Bridgeport Properties had plans to use only the plant’s weaving operations.