A Canadian manufacturer of decorative and protective coatings for concrete floors and walls wants to establish a U.S. production beachhead in Cattaraugus County, where it hopes to get tax breaks to assist with starting up its new plant.
The Hamilton, Ont.-based Daich Coatings Corp. is planning to pay $950,000 to purchase the vacant former SetterStix plant in the Village of Cattaraugus that was used to make paper sticks for lollipops and cotton swabs.
It would then renovate and reuse the 59,623-square-foot facility on 3.5 acres of land at 261 S. Main St., as its U.S. manufacturing base for its architectural finish coatings, which are already sold throughout the country at Home Depot, Lowe’s and Menards home improvement chains. This would be the company’s first U.S. operation.
Constructed in 1950, the two-story building and site are already zoned for manufacturing, and have only been vacant for a year. But Daich says it needs help from the Cattaraugus County Industrial Development Agency to cover the “duplicated and/or added costs of hiring, training, shipping, materials, new facility set-up costs, maintenance costs, additional tax burden and overall higher finance costs.” The total cost of the project is about $1.2 million.
So it’s seeking $24,000 in sales tax breaks on $300,000 in eligible spending, plus a mortgage-recording tax abatement of $12,500 and a 15-year payment-in-lieu-of-taxes on the property that will save another $12,257. Failure to approve “puts the new investment and project in flux,” the company said.
The mayor of the Village of Cattaraugus, Anthony Nagel, voiced his support for the project at a public hearing Sept. 18. The company has not yet submitted for site plan approval, according to its application.
If approved, the project could be completed by year-end, according to the application. Daich expects to add 15 to 20 full-time jobs within two years, at salaries of $44,000 to $60,000.
Founded in 1993 and owned by President Peter Daich, Daich Coatings makes natural, water-based and non-toxic decorative and maintenance paints and wall-finishing systems that are sold throughout Canada and the United States. The company started out with decorative coatings for stone, using expertise in polymer coatings chemistry to create a line of proprietary finishes that now are safer, more slip-resistant and more durable.
Reach Jonathan D. Epstein at (716) 849-4478 or jepstein@buffnews.com.
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Jonathan D. Epstein
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