DeFelsko Corp. and A.N. Deringer Inc. will create 55 new jobs between them and stay in Ogdensburg as a result of an expansion and relocation announced on Friday.
DeFelsko, a manufacturer of coating thickness gauges and precision instruments located at 802 Proctor Ave. in the Ogdensburg Bridge and Port Authoritys Commerce Park, will buy the Deringer customs brokerage building next door at 800 Proctor Ave. for $300,000 to accommodate its expansion. The purchase will be made from the OBPA, which will first buy the building from Deringer for the same price.
Deringer, meanwhile, will pay the OBPA $450,000 for an industrial building at 835 Commerce Park Drive, where it will relocate.
The OBPA board approved the transactions at a special meeting on Friday. Keeping the two businesses in Commerce Park, said Chairman Samuel J. LaMacchia, was essential as DeFelskos need for more room apparently prompted both companies to consider looking elsewhere.
This is a long-term investment, he said. These two businesses have decided to invest here.
In a prepared statement, DeFelsko President David Beamish expressed his satisfaction with the deal.
This acquisition will allow DeFelsko to expand to meet the demands of its growing business, he said. In the past few years DeFelsko has expanded its product range and
introduced successful new technologies which have increased the production requirements of the existing fa
OBPA Executive Director Wade A. Davis said the agreement capped nine months of negotiations.
Were very pleased that we can do this, he said.
The benefits of the deal, according to Mr. Davis, include:
—$11.5 million in wages and benefits from the new jobs which includes 50 manufacturing positions at DeFelsko that will be added at a rate of 10 jobs annually over a five-year period.
—$1.3 million in new tax revenue for the city of Ogdensburg, its school district and St. Lawrence County.
—$170,000 of retained Ogdensburg-Prescott International Bridge toll revenues over a 10-year period.
—The avoidance by OBPA of having to pay $44,000 in utility costs.
DeFelsko, in Commerce Park since 1991, employs 70 people in its sales and manufacturing departments, according to Randy Beeson, the companys manufacturing manager.
Deringer, in Commerce Park since 1990, has seven customs brokers and will add five more with the relocation.