Jan. 19--Wooed by politicians and aided by a tax break, Richelieu Foods, a Massachusetts-based food manufacturer, will open a frozen pizza and salad dressing plant in suburban Wheeling this year.
The plant -- where Richelieu will employ about 125 people -- has been vacant for a couple of years. Previously occupied by Orval Kent, the property at 120 W. Palatine Road is subject to a frequently used tax break intended to recycle empty industrial facilities in suburban Cook County, said John Melaniphy, director of economic development for Wheeling.
Richelieu is expected to make improvements at the 115,000-square-foot facility -- a requirement of the tax break -- and begin hiring in the second half of the year, Melaniphy said. The plant will make private-label frozen pizzas for grocery store chains like Jewel-Osco and Mariano's, he said.
"We were competing with several other states for this food production facility," Melaniphy said.
To help make the case for Wheeling, Gov. Bruce Rauner, Rep. Bob Dold and Wheeling Village President Dean Argiris all reached out to Richelieu executives, Melaniphy said.
The pizza plant will not get tax breaks through the state's Economic Development for a Growing Economy program, commonly referred to as EDGE tax incentives, he said.
Richelieu executives couldn't immediately be reached for comment.
The Cook County Class 6B tax incentive reduces the assessment level for qualified manufacturing and warehouse distribution facilities from 25 percent to 10 percent for the first 10 years; 15 percent for year 11; and 20 percent in year 12, at which time it returns to the full 25 percent.
The property tax bill for the Wheeling facility was about $50,000 in 2014, Melaniphy said. In 2010, the last time the property was eligible for the 6B tax break, property taxes were about $35,400, he said.
gtrotter@tribpub.com
