Teresa Bair, vice president of legal affairs and corporate development for Athenex, discusses the $208 million project in the town of Dunkirk during the county Industrial Development Agency's Board of Directors meeting in Jamestown. Bair was accompanied by Richard Nasser, Athenex official who will oversee the construction, and Robert Murray, counsel for Athenex. P-J photo by Jimmy McCarthy

With tax abatements in place, the biopharmaceutical company Athenex Inc. is getting set to construct its state-of-the-art facility in the town of Dunkirk.

The Chautauqua County Industrial Development Agency’s Board of Directors granted sales and property tax exemptions to the company during Tuesday’s meeting in Jamestown. With IDA approval, Athenex has obtained state and local tax incentives needed to move forward at its site on Lake Shore Drive East.

Teresa Bair, vice president of legal affairs and corporate development for Athenex, was in attendance for the board meeting. She told members they will begin building by the fall.

“We’re very excited about this project,” she said.

Incentives include a sales tax exemption, with an estimated value of $9.1 million, and a 20-year payment in lieu of tax agreement for the construction and outfitting of the $208 million facility. Bair said sales and property tax exemptions from the IDA were placed within the deal during negotiations with the state. The state’s $200 million investment was approved a few months ago.

“It’s always been considered that we were going to have some sort of arrangement in place in this regard,” she said. “We’re very pleased with how it’s worked.”

IDA and Athenex officials said the project would have been in question if financial assistance through the IDA wasn’t granted for the project. And it could have jeopardized the 450 jobs that will be created within the first five years.

“Without that, they could be in another state,” said Kevin Sanvidge, administrative director and CEO for the IDA. “It’s a real big event in Chautauqua County. It’s probably one of the biggest developments in the county.”

The state was originally going to own the 320,000-square-foot facility, which would have meant no property taxes being paid to the school district and local municipalities. Athenex ended up coming forward to negotiate a PILOT with the IDA and take ownership of the building. George Borrello, county legislator and IDA board member, commended Athenex officials for working out a deal.

“I think it’s appreciated and it certainly wasn’t a part of the original plans, so it’s a bonus for everyone,” he said.