GEIDC Awarded State Rail Grant

February 13, 2008

The Greater Erie Industrial Development Corporation was recently awarded $840,000 in State Rail Transportation Capital Grant assistance funds to continue to improve the rail service at the SB3 Industrial Park located on East Lake Road. These funds will primarily benefit Lake Erie Biofuels (LEB), providing them with enhanced access in and out of the plant on the north yard portion of the former International Paper site. “We are extremely pleased to receive continued support from the Commonwealth for our redevelopment efforts,” said John Brigham, president and CEO of Erie Management Group/SB3. “We have committed resources, long-term, to grow our businesses here in Erie, and this grant will assist us in doing that.”

GEIDC and SB3 LLC have invested over $4 million to date to bring the rail lines back up to usable condition, as well as adding new rail spurs, improving the rail bridge over East Lake Road, providing rail storage capacity, and constructing an off-loading facility to serve LEB. In addition, this work allows for the potential to serve other businesses that need access to rail that may choose to locate on the site. “Demand for rail served sites has increased tremendously as the price of gas increases,” added Monica Brower, president and CEO of GEIDC. “It is crucial that we have rail served sites on which to locate companies who rely on this infrastructure to be globally competitive.”

In total, nearly $100 million has been invested in the former IP site by EMG and GEIDC. In addition to the rail work, this includes water lines, sewer lines, access roads, foundation removal, removal of asbestos in the former administration building, build out of office space, completion of environmental remediation work on the South Yard portion of the site, and the construction of the Lake Erie Biofuels plant.

Senator Jane Earll, a supporter of the application and proponent of continued development on the former International Paper site, commented, “Continued enhancements to the infrastructure at the former IP site will provide future development opportunities in the City of Erie and jobs for our workforce. I am thrilled that the Commonwealth sees the potential of the project and is willing to step up and partner with GEIDC and Lake Erie Biofuels to make this phase a reality.”

The Greater Erie Industrial Development Corporation is an affiliated agency of the Economic Development Corporation of Erie County. GEIDC develops shovel-ready industrial land and facilities at a reasonable cost and is the main conduit for grants and loans through the Pennsylvania Land Recycling Act for site assessments and remediation of environmental contamination. In addition, GEIDC owns and leases space in several industrial buildings as well as Knowledge Park.

Contact
Katrina Smith
814-899-6022
814-602-2033 Mobile phone