Lakin General plans to build a 60,000-sf manufacturing facility where Archer Daniels Midland once operated a factory. Pending City Council approval, Lakin General will buy the 5.7-acre site from the city, get financing from $6.6 million in industrial revenue bonds and get their property tax assessments lowered through the Cook County Class 6(b) incentive program. Because the former Archer Daniels Midland site is in an enterprise zone, Lakin is eligible to receive additional city and state tax credits.

The Cook County Class 6(b)incentive program will lower Lakin's property assessment from 36% of market value to 16% for the first 10 years, 23% in the 11th year and 30% in the 12th year. The most recent property tax bill for the property was $35,522, based on a market value close to what Lakin will pay for it.

The 84-year-old company has operated its roller division, which makes machine parts and covered rollers, at 2865 N. Paulina Ave. and a tire recycling facility at 1323 W. Cortland St. in an industrial area in the Lincoln Park neighborhood. The company's plans for the Paulina Avenue facility were unavailable.

The company may buy land and build a 50,000-sf facility for its tire recycling operation in the 1800 block of N. LeClaire, next to the roller division site. A plant that recycles tire liners for car and agricultural equipment is likely to remain at 2004 N. Dominick St.

From the city's standpoint, the deal not only keeps Lakin's 80 jobs in Chicago, but the possibility of another 40 within three years. "Although we're always looking to attract new companies to Chicago, it's even more important that we retain our long-time employers so they can employ even more people and make the Chicago economy even stronger," Mayor Richard M. Daley said.

Although it is in a different city ward, the new Lakin site is located about two miles north of the Brach & Brock Confectionary's Austin plant that is closing within three years. "I'm thrilled that the new facility will be in the Austin neighborhood, in my ward, where it will take advantage of a very enthusiastic local work force, great transportation and a site with room to expand," said 37th Ward Alderman Emma Mitts.

The city got the land through foreclosure as a result of demolition liens. Archer Daniels Midland removed 25 underground storage tanks and paid $350,000 toward environmental remediation costs as part of a settlement agreement.