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Sun King Brewing Co. hopes city officials will give it a $100,000 tax break on its plans to expand its downtown facility and create 15 jobs by 2020.
As IBJ reported in March, the brewery is embarking on a project that will enable it to nearly double production and begin distributing throughout Indiana.
It intends to construct a 1,200-square-foot addition and install three fermentation tanks at the rear of its current building at 135 N. College Ave. The additional three tanks would allow it to nearly double annual capacity, from 30,000 barrels to 55,000 barrels.
Sun King has applied to the Metropolitan Development Commission for a four-year tax abatement on the $2.1 million in new brewing and logistics equipment. The commission is scheduled to consider preliminary approval of the requests on Wednesday afternoon.
As part of the agreement with the city, Sun King would commit to hiring 15 people by 2020 at an average hourly wage of $17.10 It currently employs about 70 full-time workers in the Indianapolis area.
Under the terms of the abatement, Sun King would save about $97,900 in personal property taxes over four years, while continuing to pay about $10,100. After the abatement expires, Sun King would pay about $19,000 per year in taxes for the equipment.
Department of Metropolitan Development staff has recommended approving the abatement.
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