Crystal Cabinets applies for expansion grant

princeton – The Princeton City Council approved at its June 1 study session a resolution for a business subsidy agreement with Crystal Cabinets as the local company applies to the Minnesota Department of Employment and Economic Development’s Minnesota Investment Fund for a $450,000 grant to expand operations.
According to the city’s documents, the basis for the grant is the creation of new jobs. The rules say any owner must finance at least 50 percent of the project costs through equity, lending and other private sources. Terms for the money include a 20-year payback period for real estate and a 10-year payback period for machinery and equipment; the interest rate is negotiable.
City Administrator Mark Karnowski provided information about the potential grant and said while the money comes from the state, the business subsidy agreement, if a grant is awarded, would be between Crystal Cabinets and Princeton. He mentioned that the expansion would be just north of the company’s current location. Karnowski said the city is required to hold a public hearing about the application and potential, subsequent expansion, so the City Council set the public hearing for 7 p.m. June 22 during the regular City Council meeting.