The city of Paris made an offer to purchase the American Axle and Manufacturing plant in Paris in late August, according to Mayor Daniel Rogers.
The company announced this summer that it plans to close the facility by the end of the year. The facility has since been put up for sale. It was built in the 1960s to house Cloyes Gear and Products, Inc. There are 225 employees working at the plant, which is the largest manufacturer in Paris. The company also owns a manufacturing plant in Subiaco.
The company which has the plant listed for sale rejected the city’s offer, Rogers said.
“The building is for sale for $2.4 million,” Rogers said. “We offered $1.7 million with an offer for them to stay there through 2019 in case they wanted to lease it. Of course, that was contingent on City Council approval.
“The answer came from the company that’s got it listed for sale,” Rogers said. “They weren’t interested in coming down on the listed price. They said they were focused on selling it near or at the asking price.”
Rogers said the city wanted to buy the building with an eye toward the future.
“Our goal was to buy it with the goal of leasing it to Cloyes Aftermarket, which has expressed an interest in locating to Paris,” Rogers said. “They want to lease it. I hope that’s going to happen. Buying it will also give us some leverage if another company wanted to move into it. If we owned the building, we could tailor an offer that would bring a company here.”
Will the city make another offer?
“I’m going to be visiting with the Cloyes Aftermarket people to see what’s happening,” Rogers said. “But another offer from us could happen. We’ll look at that later. We’ll see what happens at the end of the year. We are going to be open about landing a new business in there. There’s a lot we can do even if we don’t own the building.”
Rogers also said he knew the Paris Area Chamber of Commerce was going to be working with state agencies to market the building.
“Hopefully, the state can send someone our way,” Rogers said.