Zingerman's lands $1.1M tax credit for Kerrytown expansion

Wednesday, October 27, 2010 | Source: Concentrate

Ann Arbor's iconic Zingerman's Delicatessen will be receiving brownfield tax credits to help fund its expansion in Kerrytown.

The $1.1 million Brownfield Michigan Business Tax credits, awarded by the Michigan Economic Development Corporation and the state of Michigan, will be part of the proposed $6.7 million cost for redevelopment and expansion of Zingerman's existing deli space. The project will include the construction of a new 10,400-square-foot, two-story addition that will house a new kitchen, extended dining area, storage, offices, and retail area. It also includes the rehabilitation and renovation of the annex and deli buildings, and the demolition of the 322 E. Kingsley property and storage garage, formerly a residence.

The Michigan Economic Development Corp predicts that Zingerman's expansion will create 65 new jobs.

"What's particularly exciting is that we have an established business that is really known around the world in terms of providing superior products and services," says Elizabeth Parkinson, Ann Arbor SPARK's vice-president of marketing and communications. "We're just delighted they could expand in Ann Arbor."

In similar news, the MEDC also announced that Madison Heights' Powertrain Integration will be investing $2 million in local firm New Eagle Engineering Services.

The 'Average Joe' benefits from these announcements from business growth in the county, region, and state, says Parkinson. Additional tax revenue and job creation are among the benefits.

Zingerman's got approval from the city's Historic District Commission in September and was hoping to begin demolition by next month once the tax credits went through. A best-case scenario would be completing the expansion by March of 2012, which will be the deli's 30th anniversary.

Source: Elizabeth Parkinson, vice-president of marketing and communications for Ann Arbor SPARK
Writer: Kristin Lukowski