Mason City, Iowa to Consider Incentives for $240M Prestage Foods Facility With 1000 Jobs

Prestage Farms has announced the forming of a new company, Prestage Foods of Iowa, LLC, to build and operate a new fresh pork processing facility in Mason City, IA.

Prestage Foods of IA Mason City Facility

Prestage Foods of IA Mason City Facility (rendering – prestagefarms.com)

Supported by state and Mason City economic development tax incentives, the company plans to make a total capital investment in excess of $240 million to build a state-of-the-art facility that will be over 650,000 square feet.

Prestage expects to employ as many as 1,000 people in a single shift, killing 10,000 hogs per day. Future expansion plans will be able to accommodate a second shift with another 1,000 employees.

Later today, the City Council of Mason City is scheduled to hold a meeting in which it will consider approving a resolution of support for Prestage Foods of Iowa, LLC’s application to the Iowa Economic Development Authority for state incentives under the High Quality Jobs Program (HQJP). The IEDA Board will consider this application at its meeting this Friday.

Prestage Foods of Iowa, LLC is expected to receive a 50 percent rebate on its property taxes in Mason City for a 10-year period, for a total maximum of $13,950,000. The state incentives for the project under HQJP are pegged at $11,160,000. According to the HQJP application, the facility will employ 922 employees at an average wage of $15.51 per hour, and an average wage of $17.04 after three years.

The City will also commit to making water and sewer utility improvements to support the project needs, and will seek financial support from the Iowa DOT RISE grant program for road improvements.

Dr. Ron Prestage, DVM, on behalf of the Prestage family, said in a statement that “We have been impressed with the help and support provided by local and state officials, the Iowa Pork Producers Association, NPPC, and the National Pork Board.”

“Having produced market hogs in IA for the past dozen years, we believe Mason City is the right place for us to strategically build this new plant,” added Dr. Prestage.

IEDA, the City of Mason City and regional economic development group North Iowa Corridor have been working with Prestage Foods of Iowa to ensure that the company locates its facility in Mason City. An initial site visit and tour of the community was conducted in December last year, and discussions continued after the initial visit was deemed favorable for Mason City.

Prestage Farms, Inc. is a family-owned and operated business that already directly employs more than 2,000 people, contracts with more than 450 farm families in seven states, and produces more than 1 billion pounds of meat annually.

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