Navitas Utility will provide natural gas to TAC tenants
Texarkana, AR-TX, February 7, 2017– The TexAmericas Center (TAC) Board of Directors voted on January 24, 2017 to approve a contract with Navitas Utilities Corporation to be the primary natural gas provider for TAC-East tenants. The new partnership will allow TAC to offer a reliable natural gas supply for the first time to current tenants on their East Campus and will greatly aid in attracting new industries to the footprint.
The newly formed Texas subsidiary of Navitas Assets, operated by Navitas Utilities Corporation (et al “Navitas”) will own and operate a local natural gas distribution company serving TexAmericas Center’s East, its newest industrial park. The State of Texas consumes more natural gas than any other state and accounts for approximately one-fifth of total U.S. natural gas consumption. Subsequently, the absence of natural gas on the East Campus has been a detriment to TexAmericas Center’s business development and attraction activities. The approval of this contract will essentially solve one of the largest issues that TAC has faced in creating jobs for the region.
“Securing natural gas for TexAmericas Center is a strategic and necessary move for the future growth of TexAmericas Center,” said Scott Norton, CEO/Executive Director of TexAmericas Center, “With this infrastructure in place, we are more attractive and competitive than ever to industries that are heavy gas users, ultimately positioning us to have a better chance of winning more projects and creating new jobs for the region!”
TexAmericas Center is the entry point into the State of Texas for Navitas. The company has been actively growing their service area and customer base, most recently including a major expansion of their Albany, Kentucky system consisting of a nine-mile extension to an industrial facility in 2015.
Navitas’ experience will come into play as they begin immediate plans to construct a 15,000lf pipeline on TAC’s East Campus, servicing Expal USA. As part of the contract agreement, TexAmericas Center will aid-in-construction of the pipeline by providing $389,000 in funding to offset some of the project’s cost. Funds for this CIAC will come from the Texas Capital Fund Grant that Bowie County announced in November of 2016—resulting from the Expal USA project, which included a $24 million investment, 80 jobs created, and the reactivation of 80,000sqf of facility space. TexAmericas Center currently has an interlocal agreement with Bowie County to perform the work outlined in the $750,000 TCF Grant; other funds from the grant have been utilized to pay for the administrative fees, engineering services, and additional electrical infrastructure for the Expal USA site.
“The addition of natural gas onto TAC’s footprint through this partnership with Navitas will put us one step closer to offering more shovel-ready property— similar to our TEDC designated S.T.A.R Site on the Central Campus,” said Eric Voyles, Executive Vice President/ CEDO, “Having all of the essential infrastructure in place provides our clients speed to market, thus speed to profit.”
Navitas’ strategy is to develop a concentration of users on systems in rural areas that involve shorter runs of piping, which connect to limited, local industrial or municipal customer bases. TexAmericas Center’s focus on attracting heavy users of natural gas through competitive service pricing and the provision of additional, in-demand attributes of large scale industrial users blends well with Navitas’ business development philosophy. Navitas will establish an initial small service center on the TexAmericas Center footprint occupying less than one half of an acre, with plans to grow into a fully staffed operation.
“Navitas Utility is pleased to be partnering with TexAmericas Center and its continued development. This terrific entry into Texas coincides with expansion of the Navitas service footprint. We’ve found the people at TexAmericas Center very focused on getting the job done and assisting companies with reaching their goals. Navitas believes the quad-state area is well positioned today and into the foreseeable future. We are grateful for the opportunity to work with TexAmericas Center.”
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About TexAmericas Center
Located in the Texarkana metropolitan area, TexAmericas Center owns and operates one of the largest mixed use industrial parks in the United States. With roughly 12,000 development ready acres of land and about 3 million square feet of commercial and industrial product, TexAmericas Center services the four states (Arkansas, Louisiana, Oklahoma, and Texas) markets. Texas is the #1 state for business in the United States of America because of its regulatory environment, tax policies, and workforce quality along with exceptional educational resources, infrastructure, and quality of living. Founded in 1997, TexAmericas Center has the operating capabilities of a municipality but functions more like a traditional real estate development company, offering customized real estate solutions. In addition to controlling our own zoning and permitting processes and sustaining the life cycle of public infrastructure on the complex, TAC has the capability to lease, build-to-suit, or facilitate Greenfield owner-constructed projects in a timely and efficient manner. At TAC, we streamline leasing and manage government development processes all through a single point of contact. Our customers benefit from faster market entry by resolving zoning, permitting, inspection, and state and local incentive programs solely through our organization. Additionally, the Texas Economic Development Council (TEDC) designated a 101 acre site on TexAmericas Center’s central campus as the first S.T.A.R. Site in Texas (Sites That Are Ready for construction to begin), advancing speed to market for our customers. Tenants of TexAmericas Center tend to be private business owners and corporations seeking flexible and cost effective space solutions.
If you would like more information about this topic or TexAmericas Center, please contact Scott Norton at 903.223.9841 or email at Scott.Norton@TexAmericasCenter.com .
About The Navitas Companies
The Navitas Companies make strategic investments in energy assets. The primary focus of these companies is the development, acquisition and operation of downstream, pipeline distribution operations. Our focus on small, rural operations is key to our strategies. Navitas’ experience and operational capabilities creates significant potential for efficiency and effectiveness improvements. The Navitas Companies are structured to be flexible in approaching a potential investment. Investments in the actual assets are made by Navitas Assets, LLC, (NALLC). NALLC will consider owning all or part of an acquisition, and can act by itself or in concert with other asset-holding entities. NALLC operations are typically subject to regulation and is most often a rate holding entity.
If you would like more information about this topic or The Navitas Companies please contact Thomas Hartline at (714)242.4064 or email Thomas Hartline at (THartline@navitasutility.com)