Pinal Today

The Maricopa, Arizona, City Council approved Tuesday the purchase of 230 acres of farmland from Red River Cattle and Pinal Feeding Co., for $12 million, to help the city "compete for major industrial projects that will create high-paying employment."

The city purchased the land with the provision it could lease the property, located east of White and Parker Road, back to Pinal Feeding so the cattle there can mature before being sold, according to an In Maricopa report.

Maricopa City Manager, Rick Horst, said the opportunities created by the sale were too good for the city to pass up.

“We have competed nationally and internationally and gotten down to the top five, even the top three, but we’re talking about people who want to invest $200 million to $1 billion in capital investment to grow a plant to house these jobs,” Horst said.

“Now, $12 million is a lot of money,” he said. “But the city is not borrowing the money. We’re not going to pay any interest on the money. We’re not going to raise taxes for the money. It’s actually in the city reserves for the purposes for which I am about to explain.”

One reason the purchase was necessary was due to a lack of real estate, Horst said.

“We have missed out on opportunities because we need land,” he said. “And not only do they say they want to make a $200 million or $400 million investment, but they need land to grow. And if they can’t have adjacent land where they can build a second phase, they are not interested. Not only do they want to have room to build, but they also want to have room to expand.”

That's what made the site attractive, Horst said.

“This particular site, which is right over here by the ethanol plant off Maricopa-Casa Grande Highway, also has an added benefit in that it has a one-mile railroad spur, which provides opportunities – and I stress opportunities – for an inland port.”

The city benefits by avoiding debt while having the opportunity to profit from the land purchase in the future, Horst said.

“So, we have the opportunity to purchase the land, and understand that we’re going to turn around and sell the land,” he said, “so, we will recoup our money, and I suspect we will sell it for more than what we buy it for. But more importantly, we will land jobs and capital investment and create a better quality of life.”

Horst also said more deals could be coming.

“We have been working with the Greater Phoenix Economic Council, the Arizona Commerce Alliance and MEDA and through city efforts, and over the last six to nine months we have entertained a large number of national and international prospects, who could bring anywhere from 200 to 500 jobs in the $60,000 to $80,000, sometimes $90,000 per year average,” Horst said.

Former Maricopa Mayor, Christian Price, said the city controlling the land will have many benefits.

“This is part of a bigger plan for growth and industry in this area,” Price said. “The city having control over it allows them to plan and work with surrounding landowners to help attract things that aren’t currently in Maricopa.”

Some of those benefits could take a while to materialize though, Price said.

“It’s the last feed lot in town, so we might get rid of the occasional aromas,” Price said. “If you’re not aware, there are 60,000 cows out there. This process will take about a year.”