HERMITAGE City proceeds with plans for technical park tax breaks

Only high-tech companies will be allowed to build in the tax abatement area.
HERMITAGE, Pa. -- The city will move ahead with plans to create a zoning designation that will include tax breaks for companies locating in LindenPointe, a planned technical park project on South Hermitage Road.
City commissioners had a public hearing on the zoning and tax changes Monday, and no one spoke in opposition to the plan.
Hermitage is a partner in the park project with KAKE Development Co. of Hermitage. The city owns 58 acres and KAKE owns 59.
Commissioners introduced legislation in August that would set up a tax abatement program in a specially designated portion of the park as well as determine just what types of businesses can be built there.
It sets aside a total of 71 acres (43 owned by the city and 28 owned by KAKE) as a Planned Technical Park 2 zoning district that would benefit from the tax abatement package.
Amount of abatements
That package offers a 100 percent break on city property taxes on new construction for three years followed by a 75 percent break in the fourth year, 50 percent in the fifth and 25 percent in the sixth.
Mercer County is expected to approve the same tax break.
The Hermitage School District offers a lesser form of abatement at 50 percent for two years and 25 percent in the third. The school board has yet to vote on extending that tax break to LindenPointe.
The city also is specifying just what businesses can locate in the tax abatement area. General business offices would be banned.
Manufacturers of electronics, data processing equipment, computer hardware and software, scientific and medical instruments, precision optics, robotics and pharmaceuticals would be acceptable.
Commissioners will take a final vote Oct. 22 on the park proposals.