FRANKFORT, Ky. (Sept. 19, 2023) – Today, Gov. Andy Beshear highlighted another quality project in Kentucky’s signature bourbon and spirits industry taking place in Anderson County. AATW, an owner and operator in the bourbon sector, is investing $11.8 million to build nine rickhouses that will create 10 full-time jobs by the end of the project.
“The momentum we are seeing in Kentucky’s signature bourbon and spirits industry shows no sign of slowing down,” said Gov. Beshear. “This investment by AATW is going to continue strengthening our bourbon production and bring quality jobs to Anderson County. Every time a company commits to planting roots here in the commonwealth, it’s a testament to our thriving economy and extensive workforce. I want to thank the leaders of AATW for believing in us and look forward to seeing their success here in Kentucky.”
AATW will be developing nine large bourbon rickhouses, which will provide the company with increased storage and transportation capabilities as well as the opportunity to offer third-party storage to support fellow businesses in the industry. The warehouses will be on a 52-acre property with direct access to the Bluegrass Parkway, facilitating seamless transportation. Each warehouse will have the capacity to hold up to 16,500 barrels of bourbon. In total, AATW’s storage capabilities will increase by 148,500 barrels. The site also presents an opportunity for tourism and event hosting. The property features an event space, the Barn at McCall Springs, which will be used for both private and public events. This will be the company’s first location in Anderson County.
“AATW is excited to be launching Extended Stave Warehousing in Lawrenceburg, Kentucky,” said Lev Orlov, partner of AATW. “The newly developed bourbon barrel warehousing facility will be available to third-party clients who need a safe, secure, accessible and state-of-the-art facility for their bourbon aging needs. We plan on aging our own bourbon alongside clients’ bourbon within the warehouses. The site will ultimately be home to nine warehouses, which can each hold 16,500 barrels creating a total capacity of 148,500 barrels. In addition to the warehouses, the site is home to an event space which will be rebranded this winter and be made available for various events ranging from weddings to barrel releases. We are excited to serve the bourbon community’s third-party warehousing needs and become a part of an industry with such deep roots in Kentucky.”
AATW is an owner and operator in the bourbon industry. The venture is led by partners Jason Taylor, Lev Orlov and Raj Patel.
Anderson County Judge/Executive Orbrey Gritton spoke on the company’s decision to locate in the county: “We are thrilled to hear of AATW’s strategic decision to locate in Anderson County and further contribute to the region's thriving bourbon industry. This new project represents a significant investment in our community and underscores a corridor that is prime for economic growth.”
Anderson County Forward Chair Amanda Schoonover showed her excitement for the project: “I am excited to hear of AATW’s investment in Anderson County. Given the vital role the bourbon industry plays in our community, the continued growth and investment in this sector are truly exciting.”
AATW’s investment and planned job creation furthers recent economic momentum in the commonwealth.
Last month, Gov. Beshear reported that General Fund receipts for July 2023 totaled $1.1 billion, marking the 11th straight month with revenues over $1 billion. The Governor also recently announced that his administration secured the largest General Fund budget surplus and Rainy Day Fund, as well as the most jobs filled in state history.
The General Fund budget surplus at the end of fiscal year 2023 was more than $1.55 billion. Nearly all of the $1.55 billion surplus will go into the commonwealth’s Rainy Day Fund, bringing the fund to a record balance of $3.7 billion – a 2,700% increase since Gov. Beshear took office in 2019.
This year, the Governor announced that Kentucky set the record for the longest period with the lowest unemployment rates in state history.
Since the beginning of his administration, Gov. Beshear has announced more than 880 private-sector new-location and expansion projects totaling approximately $27 billion in announced investments. This is the highest investment figure for any governor in state history.
The robust job creation has been accompanied by rising wages across the commonwealth. The average incentivized hourly wage in 2022 was $26.78 before benefits, the second-highest mark since 2010 and an 11.5% increase over the previous year.
The Governor also secured the best two-year period in state history for economic growth and announced the two largest economic development projects in state history. In September 2021, Gov. Beshear and leaders from Ford Motor Co. and SK On celebrated a transformative $5.8 billion investment that will create 5,000 jobs in Hardin County. In April 2022, the Governor was joined by leadership at AESC to announce a $2 billion investment that will create 2,000 jobs in Warren County. These announcements solidify Kentucky as the EV battery production capital of the United States.
That position was strengthened even further in May 2023, when the Governor and leaders at Toyota announced a $591 million investment across multiple projects as the company’s largest manufacturing operation in Georgetown introduced its first battery electric vehicle. Growth within the EV sector continued into June as Gov. Beshear joined INFAC North America to break ground on the company’s $53 million investment to support EV-related production in Campbellsville.
Over a two-month period this year, Kentucky secured two credit rating increases from major agencies. On May 12, Gov. Beshear announced that his administration obtained the first state-level credit rating upgrade in 13 years and the first-ever upgrade from Fitch Ratings. On June 29, Gov. Beshear announced the commonwealth received its first-ever rating increase from S&P Global Ratings.
Site Selection magazine recently placed Kentucky first in the South Central region and top-5 nationally in its 2023 Prosperity Cup ranking, which recognizes state-level economic development agencies for their success in landing capital investment projects. The publication also placed Kentucky second nationwide and first in the South Central region for its annual Governor’s Cup ranking for 2022, which recognizes state-level economic success based on capital investments.
Gov. Beshear recently announced a new “Supply Kentucky” initiative with the goal of boosting job growth, reducing costs and providing more security in the supply chains of our Kentucky companies.
The Kentucky Economic Development Finance Authority (KEDFA) approved AATW for up to $150,000 in tax incentives through the Kentucky Enterprise Initiative Act (KEIA). KEIA allows approved companies to recoup Kentucky sales and use tax on construction costs, building fixtures, equipment used in research and development and electronic processing.
By meeting its annual targets over the agreement term, the company can be eligible to keep a portion of the new tax revenue it generates. The company may claim eligible incentives against its income tax liability and/or wage assessments.
In addition, AATW can receive resources from Kentucky’s workforce service providers. Those include no-cost recruitment and job placement services, reduced-cost customized training and job-training incentives.
More information about AATW can be found here.
A detailed community profile for Anderson County can be viewed here.
Information on Kentucky’s economic development efforts and programs is available at CED.ky.gov. Fans of the Cabinet for Economic Development can also join the discussion at facebook.com/CEDkygov, on Twitter @CEDkygov, Instagram @CEDkygov and LinkedIn.
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