Private business park seeing big success without offering incentives
By Mike Elswick email@example.com
Aug. 29, 2011 at 1:10 a.m.
In the world of business park development, River Bend Business Center and Industrial Park stands out. Instead of doling out public funds in the form of job creation grants, tax abatements and capital investment incentives, the private development has added more than $38 million in taxable value to Gregg County entities.
Randy Brogoitti, Kilgore businessman and one of the developers in the project, said interest in the first 175-acre phase of the park is picking up.
"It's 100 percent privately funded with no tax abatements or other types of incentives," he said
But Brogoitti said comparing the privately developed River Bend with public business park developments like those of Longview Economic Development Corp. and Kilgore Economic Development Corporation's Synergy Park is not really valid.
"We're catering to an entirely different clientele," he said Friday. "While they're working with large public national companies, we're mostly dealing with mid-sized private companies."
And, while LEDCO and KEDC may be able to offer as much as hundreds of acres to entice major corporations like Neiman Marcus, Holt Cat or Dana Corp., Brogoitti said most of River Bend's tenants are on tracts of 10 acres or less.
"Our plans are to open up more 1-to-5-acre tracts to meet demand," he said. "In Phase II of our plans we have about 300 acres that can be developed."
River Bend opened in May 2008. Of the 23 tracts making up the first phase of the development, only three are left, Brogoitti said. Clint Brogoitti works hand-in-hand with his father, Randy, in developing the project. While the elder Brogoitti focuses on making deals and other administrative details, Randy handles much of the planning, designing, budgeting and field supervision duties that go with commercial property development. Partners in the development are former Gregg County Judge Mickey Smith and his brother, Denny Smith.
The development is located between Longview and Kilgore on the north side of Interstate 20 and west of U.S. 259 and Texas 31, off of FM 1252.
"We're in kind of a unique area - we're in both the Sabine and Kilgore school districts, the Liberty City Water District, Gregg County and the extra territorial jurisdiction of Longview," he said.
"Construction and leasing activities have increased significantly," Brogoitti said. He credits the region's booming energy industry and an improving economy.