Quick Facts

Project Name
Honeywell International, Inc.
CDE
East Baton Rouge Community Development Entity (EBRCDE)
Total Development Cost
$34,400,000
EBRCDE Allocation
$17,500,000
Location
2966 Lupine Avenue
Baton Rouge, LA 70807
NMTC Consultant
taxadvantagegroup, llc
QALICB
Honeywell Baton Rouge Real Estate Company, LLC
Leveraged Lender
Self-Leveraged
NMTC Investor
Chase Community Equity, LLC
Permanent Jobs
211
Construction Jobs
98
Low-Income Community
Poverty Rate 39%
MFI 52.6%
Unemployment Ratio 4.57x
DRA Distressed Area
State Enterprise Zone
Financing Complete
June 2012

Honeywell International, Inc.


Baton Rouge, LA

The Project

The project, located on a 57-acre site, is the design, procurement, construction and startup of a new facility to produce a low-global-warming blowing agent and propellant (technical name – 1234ze) used in insulation and aerosols. The project’s environmental benefits include: ultra-low global warming potential, zero ozone depletion potential and a near drop-in replacement of R-134a. 1234ze has been accepted for use and sale in foam and aerosols by the U.S. Environmental Protection Agency. It is also currently used in Europe and Japan, with the majority of demand coming from Europe. As a significant quality job creation and retention project, it was greatly supported by state and local governments, receiving state and local commitments through the Industrial Tax Exemption, Retention and Modernization Program and Quality Jobs Program. Honeywell’s Baton Rouge facility was built in 1945 and continues to serve as one of its main manufacturing sites for its specialty materials business. Products made at the facility are shipped to customers around the world.

THE FINANCING

With a total project cost of $34.4 million, EBRCDE served as the lead CDE, providing the largest allocation of $17.5 million. Subsequent to EBRCDE’s first-in investment, the project was supported by Chase New Markets Corporation and Community Reinvestment Fund.

“One of the products the facility makes was becoming obsolete due to changes in environmental regulations. The funds will help Honeywell upgrade its facility to produce a new, more environmentally friendly product and retain jobs.”

– Mark Goodson, Executive Vice President of the East Baton Rouge
Redevelopment Authority

taxadvantagegroup (tag) is one of the country’s most successful consulting firms specializing in New Markets Tax Credits, a powerful financing tool for community development projects in the United States.

Since 2004 tag has helped revitalize low-income communities across the U.S. by securing low-cost, flexible financing for high impact projects and providing a full suite of NMTC management services.

For more information contact:

Tammy C. Propst | 864.271.2737 | tpropst@taxadvantagegroup.com