In 2019, O’Fallon issued $19 million of industrial revenue bonds to provide funds to construct a 200,000 square foot manufacturing facility on 25 acres at 521 and 601 Pearl Drive. The facility was built and opened in April 2020.
O’Fallon leases that property and the facility to Point West Properties LLC, which subleases it to Cosmos Corp., a pet care manufacturing company. Proceeds from that lease are used to pay off the bonds.
The property is located at the very edge of O’Fallon’s eastern border with St. Peters and is next to MEMC’s large semiconductor chip facility. Although actually within O’Fallon city limits, the location appears to use a St. Peters post office address.
To accommodate growing customer demand for Cosmos’ pet care products, Point West Properties now desires to construct an approximate 150,800 square foot addition to the facility, a 75% increase in facility space, and has asked the city to issue an additional $8 million of industrial revenue bonds to pay the cost of construction. Cosmos’ sublease payments then will be increased to pay off those new bonds.
There is a large vacant field immediately adjacent to the existing Cosmos facility where the additional space will be built.
Additionally, the city will provide a sales tax certificate for an exemption on all construction materials used for the 2021 addition.
At its June 10 meeting, the O’Fallon City Council voted 8-0 to approve issuing the $8 million in additional bonds, following appropriate procedures. Council members Dave Hinman (Ward 1) and Katie Gatewood (Ward 5) were absent/excused.