New company promises 300 jobs in three years


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  • | 3:51 p.m. September 1, 2014
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The property may someday be annexed into the city

Business people and government officials were happy last week to learn that Blue Coast Bakers LLC, a commercial wholesale bakery, had purchased the old US Foods plant at 1899 N. U.S. 1, and those in Ormond Beach were especially pleased.

The plant is on the main corridor leading into the city, and will likely someday be part of Ormond Beach as the city continues annexation up U.S. 1 as part of the Interlocal Agreement with Volusia County.

The company has promised to create 300 jobs and invest $12 million within three years in the 200,000-square-foot facility. The existing plant contains a refrigerated warehouse and manufacturing facility, according to information supplied by Team Volusia, the local economic development corporation that assisted the company in finding the location. A spokesman said the plant will be retrofitted and will be expected to produce $50 million in annual revenue.

City Manager Joyce Shanahan said it’s the city’s desire to eventually annex all the way to the county line, but no one is forced to be annexed.

But she said taxes are lower for property owners after being annexed.

“We will have a conversation with them,” she said. “No one has objected to annexation except Cheaters.”

Cheaters is a gentlemen’s club on U.S. 1 that recently agreed to stop certain practices that the city said violated codes. It was in the county when constructed and later annexed into the city.

The Interlocal Agreement with Volusia County does not become final until 2015, and then future annexations will be done in an orderly fashion, Shanahan said.

“There’s a lot of work in annexation,” she said. “We have to make sure we can provide services, such as police and fire. It will go before the City Commission.”

When the city supplies water and sewer to a business on U.S. 1 located in the county, the business normally signs an agreement to be annexed when the property becomes contiguous. The city supplies water and sewer to the Blue Coast Bakers property, but no agreement was signed for that property, according to Ormond Beach officials.

Ormond officials hopeful for more development

Local officials who have been concerned about the development of U.S. 1 were pleased with the announcement.

“We’re very excited at the Chamber about the 300 jobs,” said Rick Fraser, executive director of the Ormond Beach Chamber of Commerce. “That property has been vacant for quite some time.”

The North U.S. 1 corridor has been targeted for development, because it is a major gateway into the city.

“It will fit in nicely with what is going on in that area,” Fraser said.

Peggy Farmer, leader of the North U.S. 1 Coalition, a group of business people concerned with the corridor, also is pleased with the announcement.

“It’s excellent news,” she said. “It shows the economy is improving.”

She believes the area is on a positive path, along with the planned the Trader Joe’s distribution center in Daytona Beach.

“Maybe Ormond Crossings will take off now,” she said.

Ormond Crossings is a planned residential and business development on North U.S. 1.

Kambiz Karrabi, CEO of Blue Coast Bakers LLC, said Florida was chosen because of its favorable tax climate, and Volusia County was seen as business friendly and a good location to serve their customers in the South and Mid-Atlantic regions.

Blue Coast Bakers plans to employ 150 workers within the first year of operations, of which 25 will be upper-level management with an average salary of $60,000, according to the Team Volusia statement. CareerSource will host a job fair in fall of 2014. Until that time, applications can be made at careersourcefv.com.

 

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