It's the economic shot in the arm that London needs.
About 100 new, full-time manufacturing jobs are coming to the Forest City after council agreed to sell 60 acres of industrial land in east London to Sodecia Canada.
The decision was made at Wednesday's council meeting.
The auto parts manufacturer plans to consolidate its local operations as part of a new 450,000 square foot plant to be built near Veterans Memorial Parkway.
London Mayor Joe Fontana said the deal is a boon to both parties.
"They've got, as I understand it, a new mandate, and therefore they want to reinvent, they want to expand their facilities, expand their reach, and we're happy to see that we're able to accommodate their needs by essentially making it possible for us to sell them the land at a very competitive price."
Construction is slated to start within the next eight months.
Questions raised about previous development opportunity
Back in 2011, the same land was being considered by Sysco Canada to build a food distribution centre, but council decided against paying $720,000 to re-grade the land and the deal fell through.
Now council will be doing some re-grading work on the property as part of the sale, but fewer jobs will be created.
Peter White with the London Economic Development Corporation says it’s an investment in the city’s prosperity.
“It’s new jobs in the city and as well they’ll build a global innovation centre here in London.”
But as for whether a failed deal with Sysco 15 months ago that could have brought up to 350 jobs to the city was a hard lesson, the mayor won’t say.
“Look, I’m not so certain that’s exactly the fact. The fact is you try to meet the needs of particular clients, whether it’s Sysco or in this case Sodecia.”
The details of the failed Sysco deal remain confidential, but the amount of re-grading for Sodecia is expected to be less.
