State approves tax incentives for Diamond V
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George C. Ford
Nutrition supplement company planning major expansion
By George C. Ford, The Gazette
The Iowa Economic Development Authority Board on Friday approved tax breaks totaling $1,996,000 for Cedar Rapids-based Diamond V.
The company is planning a $28 million expansion of its manufacturing complex in southwest Cedar Rapids to support increased production of natural nutritional health products for animals. The IDEA board approved a $1.4 million investment tax credit, a sales, service and use tax refund of $373,500 and a $225,000 research activities credit.
Dave Lusson, Diamond V executive vice president, said in a news release that the company has seen a roughly 20 percent annual growth over the last five years.
“With this expansion project, we will be able to continue the growth of our nutritional health products globally, including the adoption of our technology by the U.S. poultry, swine, beef and dairy industries,” Lusson said.
Pending regulatory approvals, construction is expected to start later this month on a second 97,800-square-foot facility at 2575 60th Ave. SW. Completion is projected for the end of June 2018.
Expansion of Diamond V, a privately owned company, will add manufacturing capabilities, including storage, fermentation, drying, grinding, packaging and transportation equipment. The capital investment also will create 16 jobs at a qualifying hourly wage of $24.70 in manufacturing, research and development, marketing, accounting and information technology.
The Cedar Rapids Planning Commission last month gave preliminary site plan approval for the new building, which will be constructed just south of the company’s existing 134,380-square-foot building on the 31-acre site.
The Diamond V project will include two detention basins to control stormwater and 22 parking spaces. Due to the building’s height — 92 feet — and proximity to The Eastern Iowa Airport, the project also will need approval from the Federal Aviation Administration.