The entrance to Nachi America Inc.’s corporate headquarters in Greenwood is seen in 2013.
Daily Journal File Photo
A high-end manufacturer of bearings and precision cutting tools will receive a more than $376,000 tax break from the city of Greenwood.
The Greenwood City Council unanimously voted 8-0 — with one member absent — to approve granting a three-year, $376,710 tax abatement to Nachi Tool America, 713 Pushville Road. Nachi Tool is a subsidiary of Nachi America, a global manufacturer of products including bearings, precision cutting tools, hydraulic equipment, machine tools, robots and high-speed steel. Greenwood is the company’s North American corporate headquarters, housing three subsidiaries: Nachi Tool America, Nachi Technology and the Nachi Technology Center.
The abatement was requested as Nachi Tool America prepares to expand and purchase new equipment and machinery. They are expected to invest $13.6 million in the project, according to city documents.
Over the life of the three-year abatement, the company would still pay $165,790 in taxes, city documents show.
Alex Sowder of KSM Location Advisors, which is representing Nachi, told the city council last month that there is a potential for the project to have a Phase 2, in addition to the $13.6 million currently planned to be invested.
“But for the purposes of what we’re here to present to you this evening and hopefully garner your support for, it’s kind of for an unofficial phase one, if you will,” Sowder said.
Thirty-five jobs will be retained by the company, and they will create five new skilled jobs with an average wage of at least $22 an hour by year-end 2024. But the company could create even more jobs than that, Sowder said.
“As we apply and set expectations, we want to under-promise, over-deliver,” she said.
A confirmatory resolution on the tax break will be voted on by the city council next month.
