Missouri-based NorthPoint Development now officially owns part of a 340-acre tract that will house its second project in Hanover Township and Nanticoke, according to a deed filed Monday.
The project will include three buildings, including one expected to be 1.2 million to 1.4 million square feet, which would make it the largest such structure in Northeastern Pennsylvania, a company representative told Luzerne County Council members last month.
The developer paid the nonprofit Earth Conservancy $2.83 million for an 85-acre parcel in both municipalities, or $33,333.33 per acre, says the deed transferring ownership to NP Hanover Industrial II LLC.
Earth Conservancy Executive Director Mike Dziak said Monday he expects to close on the sale of the second 255-acre tract to NorthPoint in October.
Proceeds from the sale will be spent on other projects in the nonprofit’s mission to put former Blue Coal land back into productive use, including mine reclamation and the construction of roads linking some sites to the new South Valley Parkway, Dziak said.
Elected officials approved a tax break for the NorthPoint project at the start of the year.
Known as “Hanover 9,” this partially wooded land runs along Route 29 on the east side and will be accessible from both the parkway and Kosciuszko Street across from Luzerne County Community College, maps show.
The company will receive full real estate tax forgiveness on new construction for seven years, 90 percent exemption in the eighth year, 80 percent in the ninth and 70 percent in the 10th and final year.
However, NorthPoint must pay taxes on the land during the break, and the land has been tax exempt under Earth Conservancy ownership.
The amount of taxes NorthPoint will pay on the land is unknown at this time because the tract it has purchased has been subdivided and must be carved out separately with new parcel identification numbers and assessments, county officials say.
The 85 acres covers parts of five existing parcels, the deed says.
NorthPoint brought Chewy.com, Adidas and Patagonia Inc. to its first 172-acre project, which also was on former Earth Conservancy land in Hanover Township.
NorthPoint’s Brent Miles told council he is in discussion with a “very well-known company” to occupy the massive building at the second project site, predicting an executed deal would attract national publicity due to the company’s identity, capital investment and jobs.
NorthPoint expects to begin construction shortly on that building and a second smaller one on the Nanticoke portion that already has attracted an unidentified tenant, he has said.
He had estimated 1,300 to 1,500 jobs would be created at the site, possibly 2,000 to 3,000.
Dziak said Monday the new property sale to NorthPoint will transform the blighted section and boost the local economy.
“It’s a significant sale because NorthPoint already is in the process of preparing the land to build a new building that will house another company and provide more jobs,” Dziak said. “It’s a real positive thing for the community.”
Taxing bodies also recently granted a tax break for NorthPoint’s third project on 150 acres it plans to buy from Earth Conservancy and the Greater Wilkes-Barre Chamber of Commerce along Dundee Road in the township.
Reach Jennifer Learn-Andes at 570-991-6388 or on Twitter @TLJenLearnAndes.