PROJECT FALCON FIVE FTZ LETTER OF SUPPORT - 02-19-2021 FINAL DRAFT.PDF

FOREIGN TRADE ZONE
REQUEST FOR NON-OBJECTION
PROJECT FALCON FIVE (PFF)
City of Mesa Foreign Trade Zone No. 221
Generally located at the southwest corner of Ray Road and Hawes Road in the Mesa Gateway Area, parcel
304-30-071. The owner and site developer is MarWest Enterprises, LLC.
Summary from the owner’s representative
Project Falcon Five (PFF) is applying for Foreign Trade Zone (FTZ) designation for the southwest corner of
Ray Road and Hawes Road in the Mesa Gateway Area, parcel 304-30-071, to be included in the City of
Mesa’s Foreign Trade Zone No. 221. FTZ designation will allow reclassification of this property from Class
2 with a tax assessment ratio of 15% to Class 6 with a tax assessment ratio of 5% under A.R.S. 42-12006.
PPF is an advanced manufacturing company in the automotive industry. This will be the company’s first
factory in the United States. The company has tentatively selected a site for a 230,000 SF build-to-suit
facility. The new manufacturing facility is schedule to be operating in early 2022 and is expected to create
205 new job positions over a 10-year period with a total annual payroll at the end of 10 years of $11.9M
and average annual salary of approximately $60,000. The total investment planned for real property
improvements and personal property is approximately $25.8M and $22.1M, respectively.
Status of Taxing Jurisdiction Concurrence Letters
• Received Concurrence Letters
o City of Mesa
o Maricopa Community College District
o Pinal Electrical District 6
o Central AZ Water Conservation District (CAP)
• Pending Concurrence Letters Expected by March 2, 2021
o Queen Creek Unified School District
o East Valley Institute of Technology (EVIT)
o Maricopa County Special Health Care District (a.k.a. Valleywise Health)
Fiscal and Economic Impact
Economic Impact estimates are provided by Greater Phoenix Economic Council (GPEC).
• PFF will add approximately 205 jobs with an annual payroll of $11.9 million at the end of 10 years.
• Estimated $668.4 thousand in direct tax revenues and $103.4 thousand in indirect tax revenues
for a total of $771.8 thousand in tax revenue to Maricopa County over a 10-year period.
• Estimated $109.6 million of direct personal income and an additional $39.0 million of indirect
personal income for a total of $148.6 million to Maricopa County over a 10-year period.
• Over a 10-year period this project will create $1.2 billion in economic output, with $1.1 billion in
direct economic output, and $127.9 million in indirect output.

Property Tax Impact
• Property taxes for this parcel when improvements are completed and as a Class 6 property under
FTZ designation, will grow to approximately $35,000 annually for Maricopa County.