Town hangs on to Dunkin’ Brands with TIF extension

The Canton Board of Selectmen and Board of Assessors have approved an extension of a tax increment financing (TIF) plan that has apparently convinced Dunkin’ Brands to remain at its present location at 130 Royall Street through 2025.

Selectman John Connolly said it was a very close and competitive decision, with Dunkin’ Brands exploring an option from Westwood officials to relocate its headquarters to the new University Station development.

However, Connolly said the TIF extension and the efforts of the building owner, H.N. Gorin, appear to have convinced the company to remain in Canton. Jason Maceda, senior vice president of finance for Dunkin’ Brands, is due to meet with selectmen on October 15 to seal the agreement, which also requires approval at the next town meeting.

As part of the new TIF agreement, Dunkin’ Brands is expected to receive a tax savings of over $1.2 million; in return, the company will remain in Canton for at least 10 more years and has also agreed to several mitigation steps that will benefit the town.

Specifically, the company has agreed to expand its workforce from 600 to 650 by 2020 with preferential hiring for Canton residents. Dunkin’ Brands will also donate $25,000 to the new Senior Center; establish a $5,000 scholarship for a graduating CHS senior beginning in 2015; and provide a monthly stipend to the Police and Fire departments for Dunkin’ Donuts coffee.

In addition, there will be new Dunkin’ Brands signage on the hillside adjacent to routes 128 and 93. The entrance to 130 Royall Street will be renamed Dunkin’ Brands Way, and 50 parking spaces will be added on the south side of the property.

Selectmen and the assessors had previously approved a five-year extension of the existing TIF from 2015 to 2020; however, Dunkin’ Brands wanted a further extension to 2025.

A special committee that included Connolly as well as Gene Manning of the Economic Development Commission and Assessor and state Representative Bill Galvin worked on the TIF agreement between January and September.  Manning said leaders from the Canton Association of Business and Industry, including representatives from Computershare, Boston Mutual, Meditech, Bank of Canton, and Organogenesis, placed calls to Dunkin’ Brands urging them to stay in Canton.

According to Galvin, the TIF requested by Dunkin’ Brands is not unreasonable for a company its size, particularly in a competitive situation. While the tax savings for Dunkin Brands is substantial, the town is still expected to receive over $5.6 million in taxes over a 10-year period from 2015 to 2025.

Check out this week’s Citizen for additional highlight’s from the October 1 selectmen’s meeting. 

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Posted by Mike Berger on Oct 3 2013. Filed under News, Town Government. Both comments and pings are currently closed.