Space antenna firm Tendeg seeks incentives for Louisville expansion

LOUISVILLE — Tendeg LLC, a Louisville space antennas and deployables company, is planning to expand its local production capacity and is seeking a tax and fee incentives package from the city to open a new plant.

The request, which will be reviewed Tuesday by the Louisville City Council, comes on the heels of an April offer from the Colorado Economic Development Commission of more than $4.9 million in tax incentives. 

Tendeg, which, according to a Louisville city memo, “is growing quickly and must expand its manufacturing capabilities in order to meet customer demand,” operates out of two sites in the Colorado Technology Center — one on Prairie Way and the other on Boxelder Street — that total about 43,000 square feet.

“Though still considering other locations, Tendeg is evaluating two 100,000 square foot facilities in Louisville,” the memo said. 

Tendeg, representatives of which did not immediately respond to requests for comment Monday, “indicated that it hopes to make a decision on the new expansion site this summer and hopes to have a project completed in summer 2024,” according to Louisville staffers. The two sites the company is considering are both in unspecified, under-construction spec buildings.

The city said that Tendeg has estimated that its tenant improvements would total about $10 million, with another $15 million in machinery and equipment purchased planned for the next five years. 

Louisville estimates the tax and fee incentives package to be worth more than $335,000.

Should city officials approve the offer, Tendeg would have until the end of 2024 to complete the expansion or risk voiding the agreement. 

Tendeg is the first company to be considered by Louisville officials for an incentives package. Last year, the city entered similar agreements with Basecamp Concepts LLC, Scherer Violin Shop, The Fitness Team LLC, The Simon LLC and Modern Folklore, with incentive-values ranging from $5,000 to $237,000.

To qualify for the full, nearly $5 million in incentives from the state, Tendeg, founded in 2007 by space-industry veterans Gregg Freebury, Neal Beidleman and Jamie Gull, would pledge to create 451 new jobs.

Should the company accept the incentives — Tendeg is also considering Florida and Texas for its antenna factory, with costs and access to talent as major factors in the decision, according to the Colorado Office of Economic Development and International Trade — and expand its Colorado operations, the new Boulder County jobs would pay an average annual wage of $121,421.The Boulder region, particularly along the U.S. Highway 36 corridor, is a well-established aerospace hub, home to the likes of Sierra Space Corp.; Maxar Technologies Inc. (NYSE: MAXR); Ball Aerospace and Technologies Corp.; and relative newcomer Orbit Fab Inc., a Lafayette aerospace company developing technologies to refuel spacecraft in orbit that last month closed on a $28.5 million Series A fundraising round.

Source: BizWest

Related Articles