"This tax credit program will accelerate our business's progress and was a crucial factor in our decision to locate at University Enterprise Laboratories in St. Paul's Bioscience Zone," says Jeff Cosgrove, chief operating officer of Prism Research. "UEL is the perfect, centralized location that allows our volunteers easy access for participation."
Prism Research will create at least 18 new jobs at its UEL facility. Kraus/Anderson, University Enterprise Lab's general contractor, is accelerating its renovation so that Prism will be able to move into the 15,000 sf of space by March 1.
"I'm hoping it's the first step in the development of a full-blown research park to support the development of a large number of new companies in this burgeoning field of bioscience," says Mayor Randy Kelly.
Prism's facilities in the UEL building at Highway 280 and Territorial Avenue in the city will comprise a 52-bed inpatient research facility with semi-private rooms, extensive recreation areas, state-of-the-art examination and treatment rooms and 24-hour medical monitoring. The central local allows Prism Research's volunteers easy access for participation.
The bioscience tax credit supports new start-up or expanding companies locating in the Bioscience Zone--there are zones in St. Paul, Minneapolis and Rochester. Prism's proposal was made to the Minnesota Department of Employment and Economic Development along with a business plan and expense projections. After the state review it, a public hearing was recently held and this week final approval made by the St. Paul City Council.
Prism's lease helped University Enterprise Labs land $24.2 million in financing. The proceeds of the financing, arranged through Wells Fargo, will go to pay off the City of St. Paul's ownership interest in the 120,000-sf facility, as well as pay for renovation and operating costs. The complicated financing includes $5.3 million in federal income tax credits.
Meanwhile, the incubator is rapidly filling up its office and research space. Besides Prism, UEL tenants include Cima Nanotech, Gel- Del Technologies, ANDX, StenTech, MD Biosciences, Innovative Surface Technologies, Silicon Informatics, MNBIO, Carlson Venture Enterprises, the Minnesota Research Fund and the University of Minnesota Office of Business Development.
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