NEW CASTLE, PA.
Magnetic Lifting Technologies has received a $700,000 loan from the Pennsylvania Industrial Development Authority to construct a building in New Castle.
The company has purchased land and plans to replace its current facility in Struthers at 15 Union St., Building 15, with a larger one in New Castle, said Rick Frischolz, manager of international sales and marketing for Magnetic Lifting Technologies.
“If things go according to plan, we should be out of Struthers and into the new facility by September,” he said.
The loan for Magnetic Lifting Technologies, which is a subsidiary of Coraopolis, Pa.-based HK Holding, is for 15 years at a 2.25 percent interest rate. The company manufactures electro- magnetic lifting equipment and related components used primarily by the metal-scrap industry.
The move will create 20 jobs in Pennsylvania and was sponsored by the Lawrence County Economic Development Corp. The company stated it wanted to have all operations in Pennsylvania, according to the release from the Pa. Department of Community & Economic Development. Struthers was the only facility the company had in Ohio.
The business has been in Struthers for only a few years. In 2010, as an incentive to locate its operations in the Mahoning Valley, the Ohio Tax Credit Authority granted Magnetic Lifting Technologies a job-creation tax credit. The six-year, 45-percent tax credit was dependent on the company’s plans to hire at least 19 people over three years. The company, to fulfill the terms of grant, was required to remain on the site for nine years.
It is unknown if Magnetic Lifting Technologies ever received the tax credit. The Ohio Tax Credit Authority did not respond to a reporter’s question. The loan for Magnetic Lifting Technologies was one of four approved by the industrial- development authority in Pennsylvania.