Editor’s note: This article has been updated to provide more information about incentives offered to SRS Distribution and developer KDC.
Wholesale roofing supply company SRS Distribution announced Monday that it will build a new corporate office in McKinney.
The four-story 100,000-square-foot building will sit on 4.2 acres of land in the Hub 121 mixed-use development at the northwest corner of SH 121 and Alma Road, according to a news release from the city of McKinney. The campus will also include a 300-space structured parking garage.
This building is among the early projects taking shape at Hub 121. Not only will it help grow the city’s tax base, but it will also provide high-paying jobs.
Construction will begin in the spring and must be completed by August 2020.
SRS Distribution has more than 250 locations in 44 states. SRS is currently headquartered in McKinney at 5900 S. Lake Forest Drive, Ste. 400.
“SRS has long believed that we grow not only by investing in our business but also in our people and our community,” Dan Tinker, president and CEO of SRS, said in the release. “… SRS has experienced exceptional growth over the last decade, and we are eager to get started on our new corporate campus that will embody our company’s fanatical culture and help us continue to attract the best and brightest talent to our growing platform.”
According to incentive agreements with the city, SRS will create up to 160 new jobs over the next 10 years.
The property will be developed and owned by KDC, the same developer for Independent Bank’s headquarters.
The city and McKinney Economic Development Corp. offered economic incentives to both SRS Distribution and KDC to develop the new office.
According to incentive agreements, KDC will receive up to $2.4 million from the city of McKinney based on capital expenditure for the facility of no less than $22.5 million.
KDC will also receive a 50 percent tax abatement from tax year 2021-27 for a taxable value of up to $18.750 million.
“The additional taxable value of real property will achieve the public purpose of promoting economic development and diversity, increasing employment, reducing unemployment and underemployment, expanding commerce and stimulating business and commercial activity,” according to the Chapter 380 agreement between the city and KDC.
SRS will receive up to $1.29 million for new and retained employees. The company must retain 136 employees and create up to 160 new full time employees. The company will receive incentives for employees hired at a salary greater than $50,000 with higher incentives for higher salaried positions, according to the agreement. SRS will also receive up to $189,000 related to capital expenditures at the facility that generate a taxable property value of more than $3 million.
SRS began in February 2008 and has acquired 60 companies, including Southern Shingles, Garland Wholesale, and most recently, Roofing Products & Building Supply. According to the company’s website, SRS is on a mission to “form the strongest national network of independent roofing distributors with the industry’s most talented team of people working together to deliver the industry’s best products and service.”
Hub 121 is a 22-acre mixed-use development that will include restaurants, entertainment, urban residences, retail, office space and a hotel.
“Hub 121 is poised to be the next big mixed-use development in Collin County, and we are thrilled SRS has chosen this location for their new corporate headquarters,” Mayor George Fuller said in the release. “Along with the new Independent Bank headquarters under construction at Craig Ranch, these two companies are anchoring an important section along the Sam Rayburn Tollway that will continue to attract progressive businesses to the area.”