Arlington approves grant for Canales Furniture to redevelop vacant Fry’s Electronics
Arlington’s city council approved 8-0 a resolution that could give Canales Furniture incentives to create a showroom, warehouse and corporate headquarters on Interstate 20, bringing up to 100 jobs to a currently vacant building within the next 10 years.
Mayor Jim Ross was not present to vote at the meeting.
The 200,000 square foot facility would employ 70 people, with a requirement to have 100 workers by the end of a 10-year period, if the council gives it the final go-ahead at the next meeting, according to city documents. The site, currently vacant, was most recently home to a Fry’s Electronics.
Deputy City Manager Jim Parajon said he expects the company, based on its track record, will hire more than the required 100 employees in the next 10 years.
Under the agreement, Canales Furniture would complete a $3 million renovation on the building and receive grants from the city for meeting specific goals. The company would receive a $1,000 grant for every Arlington resident given permanent full-time employment, up to $100,000. It would also receive a $1.5 million reimbursement grant to cover half the expenses of the renovation, paid over three years.
The city would also purchase $3.4 million in surplus property on the old Fry’s site that Canales does not currently need. The furniture company would have five years to buy the property back from the city at the same price before the city can look into redeveloping that property, according to city documents.
The city expects future sales taxes and use of the property to offset the cost of these grants.
If Canales does not meet the requirements of the agreement for the 10 years of the contract, such as the employment minimum, the time by which they move into the property, meeting goals for diversity in employment and keeping their headquarters in the building, the city will recall the grant funds given to the company and take possession of the property.
This story was originally published December 14, 2021 at 9:18 PM.