Caterpillar announced Wednesday plans to expand its Lee County manufacturing facility with a tax base investment of $1 billion, the largest such investment in Lee County history.
The announcement came weeks after the Sanford City Council and the Lee County Board of Commissioners agreed to an economic incentive worth more than $85 million. The county will give the company $46 million, and the city will give $39.5 million over 12 years, contingent on payment of annual property taxes and the company maintaining at least 1,950 jobs at an average wage of more than 65,000.
Caterpillar’s investment includes plans for a new modern manufacturing facility in Sanford, designed to increase production of compact track loaders and telehandlers to meet customer demand. The project supports Caterpillar’s Cat Compact strategy, which is focused on delivering a more streamlined and convenient experience for small contractors and growing businesses.
“As demand for compact equipment continues to increase, we’re investing to better serve this growing segment of customers,” said Caterpillar Construction Industries Group President Rod Shurman. “This investment is another way we are solving our customers’ toughest challenges by expanding access to the products, solutions and services they need to work more efficiently.”
The Sanford City Council approved its part of the incentive package on September 15; Lee County Board of Commissioners followed suit on September 21.
Companies involved in economic development projects with incentives are not typically named prior to a decision being made. Officials with the Sanford Area Growth Alliance referred to the project in question as Project Paragon.