Flower Mound’s Town Council had a full list of agenda items, but only one “big-ticket” item; consideration of a proposed Chapter 380 Agreement between the town and Mannatech, Inc., to relocate its global headquarters from Coppell.
Economic Development Director Andrea Roy said the company will occupy the approximately 52,992-square-feet of existing space (formerly occupied by Stryker and adjacent to Haag Engineering) at 1410 Lakeside Pkwy. and will make an approximately $3.4 million capital investment to the space.
At its new global headquarters, Mannatech, a multi-national multi-level marketing firm of dietary supplements and personal care products, will host multiple corporate events annually that will bring visitors from all over the world. Mannatech boasts some 222,000 independent sales associates.
The proposed Chapter 380 Agreement provides for a roadway impact fee rebate, sales tax grant up to $51,225 and a five-year, 50-percent tangible personal property grant. Per the Town’s Impact Fee Ordinance– and due to the defined “change of use” of the lease space, from predominantly warehouse (when occupied by Stryker), to office (as planned by Mannatech)– additional roadway impact fees of an estimated $60,000 are due to the town.
Mannatech will be required to provide proof of a minimum taxable value of the personal property and improvements of at least $1 million by Dec. 31, 2019 and employ a minimum of 125 fulltime equivalent positions.
A 10-year cost-benefit analysis indicates a total cost to the Town of $134,738, providing a net benefit of more than $2.1 million. The payback period to the Town is less than one-year.
Following Roy’s financial overview and no discussion from either the public or council members, the agreement was passed with a 4 to 1 vote; Council member Bryan Webb voted nay.