Funding in place for airport tech park
County could close on 68 acre project by end of month

By Dan Pool

Funding through $5.5 million in industrial development revenue bonds to
allow the Pickens County Development Authority to buy and develop 68.4 
acres near the airport for a technology park was ³validated² in Superior 
Court last week.
This was just one of several steps in the lengthy process of 
issuing revenue bonds which is the preferred means of funding projects by
development authorities.
Rather than being sold on the open market which involves even more
paperwork, the bonds will be ³privately placed,² which means purchasers 
will be identified before the bonds are issued.
In the case of the airport project here, the funding package was
presented to the seven banks with offices in Pickens County to allow 
them the opportunity to take a share of the bonds. Initially, each bank will 
be offered up to 14.25 percent of the bonds. All banks are not expected to
exercise their option and the unsubscribed balance will be allotted 
among the participating banks. The development authority is confident all the
bonded indebtedness for this project will be placed with local banks.
Following a meeting Tuesday morning, the banks are to make their 
decisions by next Monday. 
The bonds will yield interest equivalent to the New York prime rate
which is currently at 4.5 percent, floating monthly. Interest payments 
will be made monthly.
Principal secured by the bonds will be repaid as property is sold. 
At the outset, the county will make the interest payments on behalf of the
development authority, but as lots begin to sell, the development 
authority will pay the interest and principal. After all the bonded indebtedness 
is repaid, the county will recoup their portion of the interest.
With funding being put into place, the county is moving towards a
September 30 closing date with property owners Lee Mullins and Jimmy
Stewart. The development authority is purchasing the graded property 
from the Pickens landowners, who had not owned the property long prior to 
the the contract with the county. The contracts call for a price of $32,000 per 
acre for the property, totaling $2,183,680, with up to $1.5 million for the
grading. The remainder of the funding goes to pay for final site 
development including streets and taxiway paving, utilities, etc.
Mullins¹ grading company, M&M Contractors, has cleared the property 
and will do the grading. They did the grading on a recently completed 
airport project when they substantially underbid two other companies for the 
work and have agreed to do the technology park grading at the same unit 
costs. County Economic Developer Larry Toney said the county is projecting 
to charge a minimum of $100,000 per acre for the property in the 
development park and more for lots fronting on the taxiway. He said it likely 
severalfirms will take more than one parcel.
Toney said he believes that the price of $100,000 and possibly more 
is in line with the market. He pointed out that one of the lots is already
³fairly well spoken for² at that price and the adjacent Airport 
Commercial Park, which charged similar prices has sold all of their lots.
³It is an excellent combination of airport location and Highway 515 
in the near proximity,² he said. ³This county is indeed fortunatc to have 
an airport this near a four-lane highway.²
Toney said he foresees two types of companies moving into the tech 
park. First would be technology-oriented companies, ³which will directly need 
or have some advantage in being close to an airport.² One scenario here is 
the company where the corporate executives regularly travel by jet to 
different operations.
Secondly, are ³small distribution firms.² Here the potential 
companies will have a natural advantage in being able to move cargo quickly from 
air to ground with the unique combination of small airport and easy access 
to Highway 515.
³At the prices the county will charge, it will keep most 
manufacturing firms away as they generally need several acres,² Toney said.
The county itself will keep 15 acres nearest the airport to 
construct hangars which will then be leased to the public.
He said. ³The county will retain ownership of anything that 
directly involves the airport.²
However other lots will be served by a taxiway, so a company might 
have a hangar or tie-down for a jet along with a small warehouse or office.
Following the validation hearing last week. The development 
authority can move ahead for a September 30 closing on the property.
³We could start marketing to potential firms by the end of the 
year,² Toney said.
Although a vision of outgoing Commissioner Bill Newton, the plans 
appear to also be supported by Commissioner-elect Robert Jones.
Toney said the commissioner-elect had attended a recent Development
Authority meeting and ³concurred² with the general concept of the plan.
³In about five years you will see a modern airport with ten nearby
businesses employing about 150 people in well-paying high tech 
companies,² Toney said.