Port approves $3.4 million investment to prepare former Rosemount building for Emerson

EAST WENATCHEE — The Chelan Douglas Regional Port Authority formally established a $3.42 million project budget Tuesday for tenant improvements at the former Rosemount Specialty Products building, advancing plans to bring new manufacturing activity into one of the region's long-vacant industrial facilities.

Although construction is already underway, commissioners approved the overall project budget after final costs were assembled for both tenant improvements and building maintenance items that will remain the Port's responsibility.

The project will prepare the facility for Emerson, which plans to occupy the building by the end of the year.

Economic Development and Capital Projects Director Stacie de Mestre said the recommended budget totals $3,420,993 and includes design work, permitting, construction, exterior maintenance and a 5% contingency.

The Port previously approved a construction contract with Cascade Central Construction. Tuesday's action established the overall project budget after final pricing became available for maintenance work, including exterior painting, drainage improvements, parking lot repairs, fence repairs, HVAC servicing and other improvements that will remain Port assets.

Funding for the project comes from several sources.

The Port has committed approximately $220,000 toward deferred maintenance and $1 million toward tenant improvements. Emerson will reimburse another $1 million through yearly-increasing rent payments over the next decade, while also repaying approximately $1.2 million in additional construction costs associated with its occupancy.

The project is also supported by a $2 million low-interest loan from the Community Economic Revitalization Board, commonly known as CERB. Port staff said they expect the loan to carry a 20-year term at a 3% interest rate.

Commissioner Donn Etherington noted that the investment represents more than building improvements, describing it as an opportunity to return an older industrial property to productive use.

Chief Executive Officer Jim Kuntz agreed, noting the building had suffered significant damage under previous ownership but now represents an opportunity to preserve existing industrial infrastructure while supporting new employment.

"It's good to keep these buildings alive," Kuntz said.

Andrew Simpson: 509-433-7626 or andrew@ward.media