Business Incubator Tenants to Occupy Privately Owned Space

ANDERSON, IN - As the City of Anderson’s 2010 budget goes into effect, initiatives funded at reduced levels are striving to adapt to their constraints while continuing to offer effective programming.

The Anderson Business Incubator (ABI), a division of the Flagship Enterprise Center (FEC), will receive $25,000 in funding for 2010, a reduction of $50,000 from 2009 funding levels. Currently housing five clients, the ABI is located at 700 Meridian Street in downtown Anderson.

DeWayne Landwehr, Executive Director of the Flagship Enterprise Center, says the reduction in funding has caused the ABI to “sharpen our focus” on the mission of the ABI, a process that involved calling on the resources of Anderson University and Dean of the Falls School of Business, Dr. Terry Truitt, who worked with City Economic Development officials, FEC leaders, and downtown building owners to develop an action plan for the future of ABI.

“The solution which emerged will effectively expand the ABI, provide revenue for downtown landlords, help ABI clients enter the market more effectively, and save the City of Anderson $50,000 annually”, Dr. Truitt explained.

The ABI action plan involves using City funds to supplement rents in privately held space for clients of the ABI. As clients grow their business through the programmatic guidance of the ABI and become more economically viable, their rent will gradually increase to market rates. Landwehr pointed to another benefit of the plan; “now, clients will ‘graduate’ when they move from being subsidized clients to being full-pay clients, without ever having to deal with the expense and hassle of moving business locations.”

Mayor Kris Ockomon explained, “Our intent is to move economic activity from the public sector to the private sector. It makes little sense for the City to pay several thousand dollars each year to house these businesses when there are commercial property owners with vacant space available.”

In a related move, City of Anderson Economic Development Director Linda Dawson provided a bid package prepared by the Anderson Redevelopment Commission for the dispensation of the present ABI building at 700 Meridian Street. The building has been appraised at $115,000 and is being offered for sale or lease.

Bid packets are available from the City’s Economic Development Department and may be requested by email from Dawson at LDawson@CityofAnderson.com. Dawson said that three private parties had inquired about the building and that she expected them all to complete bid packets. Bids are due on February 2, and will be opened in a public meeting of the Anderson Redevelopment Commission at a 4:30 pm meeting on that date.

Any parties interested in learning more about the programs of the FEC or ABI, or building owners who would be interested in partnering with the ABI can reach DeWayne Landwehr by calling 622-0800.