(LBF) -- Jim Beam Brands plans to build as many as 15 barrel-aging warehouses to meet future demand.
The new warehouses were noted in a filing with the Kentucky Economic Development Finance Authority. The KEDFA board considered a $585 million industrial revenue bond for the distiller, one of the largest in Kentucky.
Under state statute, industrial revenue bonds may be issued by state and local governments in Kentucky to help finance industrial buildings, according to the Kentucky Cabinet for Economic Development's website. The issuer — in this case, Bullitt County — serves as a conduit to provide a lower interest rate to the borrower — Jim Beam, in this case. The issuer is not obligated for debt repayment.
According to the KEDFA filing, the project is expected to create five full-time jobs with an average annual salary of $52,000. The biggest cost for Jim Beam in this project is for equipment, which represents about $493 million of the investment, the filing said. The documents also note of $2 million in land costs and $90 million in building and improvements costs.