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A manufacturing company that makes corrugated packaging and display boards plans to build one of its largest North American facilities on a site off Randall Road and Interstate 90 in Elgin, city officials said.

Atlantic Packaging Holdings expects to spend about $30 million on the 488,450-square-foot operation to be built on 38 acres at Mason Road and Alft Lane in the Daching Business Park.

An incentive package valued at about $500,000 helped seal the deal and persuaded the company to choose Elgin over a location in Wisconsin. Elgin City Council members have tentatively approved the deal.

The site is already zoned for office, warehousing and distribution from when the Great Lakes Coca-Cola Bottling company submitted plans last year for a new building. That project never moved forward because of the COVID-19 pandemic, city officials said.

The Elgin Development Group was authorized to offer Atlantic Packaging a deal in which permitting would be fast tracked and building and development fees valued at $500,000 waived, according to city documents.

Council members are expected to discuss the incentive package Wednesday at their Community of the Whole meeting and will likely approve the package formally at a future meeting.

Elgin’s Planning and Zoning Commission was given the first look at the company’s plans last week.

Atlantic Packaging manufactures corrugate board and corrugated boxes from recycled paper, Senior Planner Damir Latinovic said at the Aug. 2 meeting. The building would have 33 loading docks on the east and west sides, and a 6-foot-high ornamental fence and extensive landscaping will help shield the parking areas from public view and neighboring properties, Latinovic said.

“This is one of the two largest corrugated facilities in North America. They are building another one in Canada at this time,” said Charles Swanson, director of architecture at Ware Malcomb in Oak Brook, which has been hired to design the facility.

“As we know with the increase in e-commerce, it’s a good business to be in. That’s why they are looking at a large plant expansion,” Swanson said. “It’s a pretty exciting project.”

An amendment to the site’s planned development map and a conditional use permit require council approval and were recommended by the Planning and Zoning Commission, which endorsed the project.

Gloria Casas is a freelance reporter for The Courier-News.